SILICON VALLEY, Calif., Feb. 6, 2018 /PRNewswire/ -- To serve the evolving needs of its rapidly growing client base, leading digital wealth manager Personal Capital today announced a new service which will offer clients socially responsible investment strategies through its Socially Responsible Personal Strategy®.
This news comes as Personal Capital continues on a rapid growth trajectory. The company has nearly doubled AUM in the last 12 months (adding 76 percent in assets), surpassing $6.5 billion in AUM* with an average client relationship of more than $430,000.
"There has been a surge of investor interest in aligning their money with their values," added Craig Birk, Executive Vice President of Portfolio Management at Personal Capital. "We're excited to give our clients the ability to select a personalized socially responsible investment strategy with our signature promise of a single flat fee as an alternative to paying high fees for an actively-managed portfolio or a tax-inefficient mutual fund."
"Selecting a socially responsible investment strategy should be easy. With our new Socially Responsible Personal Strategy, customers have a turnkey solution allowing them to invest in companies that make them feel good," said Jay Shah, CEO of Personal Capital. "It's available at no extra cost, and because we do all the work, it saves customers countless hours of researching the sustainability practices of companies they want to invest in."
Personal Capital's socially responsible investment methodology screens U.S. equity holdings based on environmental, social, and governance factors (a.k.a. "ESG") to find best-in-class companies in each domestic peer group. All ESG ratings are provided by Sustainalytics, a global leader in ESG and corporate governance research with a history spanning 25 years. The Socially Responsible Personal Strategy retains the same features as Personal Capital's core portfolios, including exposure to all six major liquid asset classes and the benefits of individual stocks. It also employs Personal Capital's proprietary Smart WeightingTM methodology to balance exposure to size, style and sectors within the U.S. equity asset class. To read more about how ESG impacts socially responsible investing, click here.
As with all Personal Capital portfolios, the socially responsible component of Personal Strategy® portfolios will be managed with automation and investing tools including tax loss harvesting, tax location, rebalancing and fully transparent reporting through a dashboard. The socially responsible offering is another way that Personal Capital offers customized, personalized portfolios, which the company has been doing since inception. Approximately 30% of Personal Capital client portfolios have advanced customizations tailored to the individual investor, enabling clients to exclude any stock or sector that they do not want to hold.
Personal Capital manages more than $6.5 billion in assets on behalf of its clients and tracks over $500 billion for 1.6 million registered users.
About Personal Capital
Personal Capital is the smart way to track and manage your financial life. Personal Capital combines award-winning online financial tools that provide unprecedented transparency into your finances with personal attention from registered financial advisors. The result is a complete transformation in the way you understand, manage and grow your net worth. For more information and to open an account, visit https://www.personalcapital.com/.
*As of January 31, 2018
SOURCE Personal Capital