The simplest form of managing your assets is a direct banking relationship: You deposit your money at the bank of your choice and the client advisor presents investment opportunities to you. This form of cooperation, while simple and direct, has its disadvantages however:
Conflict of interests
All banks basically strive to maximize their profit. Client advisors may not always recommend the most appropriate investments to clients but, instead, those that generate the most profit for the bank. For clients, it is hard to tell when this is happening, often due to hidden fees, a lack of comparison with other investments, and the sheer complexity of investment products.
Lack of comparison
Is your bank the cheapest? Does it provide the best investment opportunities? Answering these questions takes a lot of time, effort and specialist knowledge.
What is independent asset management?
- The assets remain at the client’s bank of choice, i.e. account agreements are signed between the bank and the client. On request, the bank sends account statements and transaction documents to the client.
- The client grants PARSUMO Capital limited power of attorney, giving it the authority to manage the client’s assets as per written agreement. This explicitly excludes the possibility of transferring money.
- PARSUMO Capital signs an agreement with the client’s bank of choice, can view their custodial account and manage their assets.
Client benefits
- Favorable bank conditions: PARSUMO clients benefit from much lower banking fees and save up to 50% compared to standard charges.
- Independent advice: We compare investment solutions independently and indicate any unjustified costs, including hidden ones. Nothing affects performance more than unnecessary costs.
- Individual advice: We take your individual wishes and requirements into account. We do not offer standard vanilla products.
- Specialist expertise: We have decades of experience in the asset management business and provide private clients with access to investment solutions that have traditionally been the preserve of institutional clients.
- Consolidated overview: On request, we can provide you with an overview of all your assets even if these are deposited at different banks.
How do PARSUMO clients benefit? An example.
A bank with which PARSUMO Capital works informed its clients of a planned price increase for 2016. PARSUMO Capital examined this adjustment to the price and concluded it was not justified. After tough negotiations, most of the clients were spared the announced price increase. In this way, they save several thousand Swiss francs in a year.
Which investors can become PARSUMO Capital clients?
We currently serve investors who are domiciled in Switzerland and have assets in excess of CHF 1 million. We look forward to hearing from you.
