Smartleaf was founded to give all investors the level of portfolio oversight that once was the exclusive preserve of the ultra wealthy. Building on 15 years of innovation, Smartleaf offers the most advanced automated rebalancing software, applying institutional-grade analytics to the challenge of managing highly customized portfolios at scale.
We do one thing — automated intelligent rebalancing — and we do it better than anyone else. Our central goal is to keep pushing the frontier of what is possible for both automation and investor outcomes. We take a long run perspective and are dedicated to doing things right. I think our development team is without equal — an unusual combination of CFAs, PhDs in physics and math (some who are also CFAs) and seasoned software developers. It’s a high level of firepower, and it’s needed to do what we do. People trust us with their investments, and we take that responsibility seriously.
Investors are demanding more for less, and we make this possible. Investors are going to expect more customization and more effective tax management. At the same time, they won’t tolerate underperformance resulting from a failure to deliver what the firm promises. And they’ll want to pay less.
It is possible to deliver on these investor expectations. That’s because there is a lot of room for improvement with current practices. In particular, most firms do a pretty poor job of rebalancing — they’re simultaneously inefficient, inconsistent and ineffective. More than half the drift between the average portfolio and its target is just noise. The drift isn’t there because of customization or tax management or any other good reason. It’s there because most firms don’t have the ability to do better.
When we implement our automated rebalancing solution, the average dispersion drops by more than 60%, without any sacrifice in customization or tax efficiency (in fact, tax drag is also reduce by more than 60%). All at much lower cost.
The upshot of all this is through automating rebalancing we free firms to deliver their best thinking to every client — and meet rising investor expectations.
One of our clients quintupled his book and credited us. We helped in four ways. we tripled the time he had to spend with prospects and clients; we enabled him to tell his clients that he reviews their portfolios every day; we saved more in taxes than he charges in fees, and we make it possible to have every portfolio customized.
Gerard Michael, President and Co-Founder
Robert McKinley, Stefan Mitropolitsky, Mark Nitzberg
RIAs, TAMPS, broker dealers, banks, wealth managers