Definition of Advisor account:
An advisor account is a type of investment account where investment advisory services are included to help a client formulate and implement investment purchases and strategies. With the growth of robo advisory services, advisor accounts can include multiple levels of service and advice. Many platforms also provide a mix of both automated and personal interaction, known as hybrid advisor accounts. The fee structure of any advisor account is typically asset based, with an annual fee paid by the client based on the percent of assets held in the account.
Advisor accounts provide a range of different services for investors. Advisor accounts are for investors who seek a more holistic approach to investing. However, advisory account services can range broadly for investors. Accounts may support holistic portfolio management, personal financial planning or targeted capital assets. In general, assets managed in advisor accounts are subject to fiduciary standards, which means their investment recommendations are based on comprehensive portfolio fit. These accounts will also usually incur an asset-based fee which includes the cost of operational transactions and portfolio management expenses.
An investment broker will set up this account to help a client with his or her financial needs. This account gives sole rights to the client based on advising from the investment broker.
Meaning of Advisor account & Advisor account Definition