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Multi-asset income models and funds have been attractive vehicles for accessing pockets of yield as they emerge. However, for investors needing income from their taxable portfolios, the tax implications of these inherently opportunistic approaches have been (and continue to be) problematic. But now there’s a solution.

Our unique name often invites the question, “Where did ‘55ip’ come from?” To provide the answer to the origin of ’55ip’, it’s necessary to start at the beginning.  

InvestCloud, the global leader in digital transformation for the financial industry, and 55ip, the tax-smart investment platform, today announce a breakthrough partnership to integrate 55ip’s tax-smart investment technology into the InvestCloud Financial Supermarket™.

Last year’s market declines drove advisors to look for new investment solutions and new ways to communicate with their clients. It also put tax loss harvesting front and center for clients to improve overall financial planning and create non-investment performance value. Let’s take a look back at the year while we move forward into 2023.

For investors there are, thankfully, relatively few years when the best thing that can be said about a year is that it’s over. And usually, it’s the stocks causing the dismay. Stock volatility is a known and compensated risk. Bonds on the other hand, what the… heck.   

We have officially been in a bear market since June 13th, when markets reached a 20% decline. Unlike the market drawdown seen in 2020, which lasted only about one month, the market drawdown seen this year has been steady and has provided many opportunities for tax-loss harvesting.

Volatile markets are creating continuous opportunities for tax-loss harvesting. Direct indexing and improved technology now make these opportunities easily accessible.

Tax-loss harvesting has quickly come back to the table in conversations with clients, and likely will become part of the tax planning discussion as we turn the corner towards the end of the year. The volatility we saw in 2020 during the pandemic sell off may very well be overshadowed…

There is little doubt we are living in turbulent times. A two-year global pandemic has led to supply chain issues that have created macro-economic disruption, impacting everything from computer chips to baby formula. While skyrocketing gas prices are dominating the headlines and the coffee-shop talk, inflation isn’t just hitting the…

While the decision to move towards delivering scalable investment solutions through models can be transformative for an organization, making the decision to move to a model-based practice is only the first step.  Initial Considerations As advisors look to optimize their investment offering and operational infrastructure with…

As we at 55ip reflect on 2021 and the challenges it presented, we feel incredibly fortunate that we were still able to make game-changing strides in our mission: to help advisors break down barriers to financial progress. As 2022 begins, we are proud of the fact that over 200 advisory…

Given the increasing importance of tax management, many advisors understand the basics when it comes to tax-loss harvesting. Yes, it’s about enhancing after-tax returns—or “tax alpha” as it’s often called—but there are other, less obvious benefits advisors should communicate to their clients to convey the full value of this…

Today’s market environment is increasingly challenging for investors. Long-term capital market assumptions forecast U.S. equities returning a meager 4.1%, a decline of 1.4% from 2020. Alpha is harder to come by for even the most skilled active managers. As a result, tax management has come to the forefront, as an extra…

Everyday demands for advisors have multiplied in recent years, handling financial planning, investment management and client services. But for many RIAs and Independents, there’s one more task on your plate that you might not have planned for: the role of Chief Marketing Officer.  For many advisors, finding new prospects,…

At 55ip, one of our core competencies is helping advisors unlock the use of model portfolios for taxable accounts.  After a long bull market and the “Covid Crash,” a sharp recovery propelled the stock market to even higher record levels. As a result, accumulated capital gains and potential…

Recently, President Biden proposed funding his American Families Plan with an increase of the long-term capital gains rate for those with over $1 million in income, an increase in the top marginal income tax rate for those making over $400,000, and an elimination of the cost basis step…

Technology is transforming the world of wealth management, enabling advisors to deliver greater capabilities to clients with increased efficiency. Among these potential capabilities is a more advanced systematic approach to year-round tax management – it no longer needs to be a burdensome, manual, year-end process reserved for larger accounts.

The explosion of low-cost investment products and model portfolios provides significant opportunities for advisors to transform and grow their practices while improving client outcomes. However, there is a major obstacle getting in the way of advisors taking full advantage of these opportunities – Taxes!

Differentiating your practice based on performance is a challenge. Client portfolios are increasingly geared toward benchmark exposures, given the prevalence of low-cost, passive investing versus active management…

Tax-smart transitions allow advisors to help investors and grow their businesses With tax season and market uncertainty on the minds of investors, now is the time for advisors to capitalize on one of their greatest opportunities to drive new assets to their practice: tax-smart portfolio transition. Recent market volatility,…

As we at 55ip reflect on 2020 and the challenges it presented, we feel incredibly fortunate that we were still able to make game-changing strides in our mission: to help advisors break down barriers to financial progress. We now have over 120 advisors with over $30 billion in discretionary assets…

Advisors need systematic tax management to compete & win “Money-in-motion” generally means opportunity for financial advisors. But what’s driving money-in-motion in the current environment? At 55ip, our belief is that industry trends and innovation—specifically, the shift to fee-based advice, the growth of models and indexing, and demographic transition from savings…

Market volatility and proposed tax plans support the benefits of automated tax technology For many financial advisors, tax-loss harvesting is a burdensome year-end process. It requires substantial manual effort and is often reserved for larger client accounts. This year could be especially onerous, with the gains realized as the market…

Today, the role financial advisors play in helping clients tackle uncertainty and volatility has become increasingly vital. By leveraging an innovative, tax-smart strategy, advisors can drive better outcomes for clients, adding tangible value.

Watch Dennis Follmer, Head of Investments at 55ip, discuss how advisors can seize opportunities created by market volatility to better serve new and existing clients, transition them into updated strategies while managing their tax bill, and use losses created by market turmoil to further those portfolio transitions using tax-smart investment management tools—all executed simply and quickly with 55ip’s ActiveTax Technology®.

With the presidential election just a few days away, the country is living in a state of heightened uncertainty, unsure of the outcome and the ripple effect it may have on the already fragile U.S. markets and economy. A major consideration in overall financial stability for investors is tax planning,…

Using model portfolios is a great way to scale your practice, but client-specific customization and implementation can be difficult and time-consuming. Whether you are starting with your own models, a third-party model, or designing them from scratch, 55ip will help you develop your own menu of investment strategies. Plus, the…

Advisors today are being asked to do more than ever for their clients. Financial planning, investment management, and client service are all part of the required service package, yet each is essentially a full-time job. Investment management is potentially the key practice area where efficiency gains have the most potential…