Institutional Funds Defined
Most Diversified Funds Available
Institutional funds usually have lower operating costs and higher minimum investments than retail funds. Often their main objective is to reduce risk, so they invest in thousands of different securities, which makes them among the most diversified funds available. They also have a lower than average turnover ratio, so they are able to keep operating costs to a minimum.
Offered by Independent Financial Advisory Firms
Institutional funds are offered by independent financial advisory firms organized and licensed under the Security and Exchange Commission or Banking Laws' oversight agency.
An Approved Financial Advisor
Wealth Management LLC is one of 750 approved firms across the nation to offer institutional funds, specifically Dimensional Fund Advisors. The individual investor must use one of these approved financial advisors to have access to these unique funds.
Access Through a Registered Investment Advisor
Although in the past investors typically needed at least $2 million in order to invest in the funds offered by Dimensional Funds Advisors, nowadays investors have access to these funds for smaller amounts through an approved Registered Investment Advisor, like Wealth Management LLC or your firm should you choose to align yourself with Wealth Management LLC.