Wealth Management
Model portfolios are quietly transforming the wealth management industry, gradually replacing the once-standard approach of bespoke portfolio construction. More than 80% of fee-based advisors now use models for at least some assets, with trillions in AUM shifting toward this streamlined, outsourced method.
While models bring scale and efficiency, they raise hard questions about advisor value, especially when clients can access similar portfolios at a fraction of the cost. As robo-advisors like Vanguard grow in market share, the pressure mounts for human advisors to offer more than commoditized investment solutions.
To stay relevant, advisors must differentiate through advanced planning, alternative investments, tax strategies, and highly personalized service.
The future of financial advice hinges not on portfolio management alone, but on the depth and breadth of the advisor-client relationship.
Gold futures spiked sharply above spot prices after reports suggested the U.S. would impose unexpected tariffs on 1 kg and 100 oz bars, a major disruption for Switzerland, the global refining hub.
These bar sizes are central to U.S. trading, and the sudden policy shift triggered short-covering and a widening of the exchange-for-physical (EFP) spread, echoing past dislocations during COVID and earlier tariff fears. The turmoil has raised doubts about the reliability of New York futures markets for price discovery, as policy volatility increasingly distorts trading signals.
Meanwhile, the December gold contract hit a record $3,534, but analysts caution that spot prices, not futures, reflect gold’s real value. A similar drama unfolded in copper markets, where a tariff scare caused prices to soar—only to collapse when Trump reversed course.
Finssum: Heavy trader losses, bloated U.S. inventories, and mounting questions about the integrity of U.S. commodity pricing amid tariff uncertainty are the result.
Morningstar’s latest 2025 research shows that managed accounts can significantly improve retirement outcomes for defined contribution plan participants, especially those not on track. Among 84,875 users studied, 73% were initially projected to replace less than 70% of their salary in retirement, and 65% of those increased savings after enrolling in the managed account service.
These participants, often self-directors without target-date funds, also saw a 33% median increase in deferral rates, with 10% raising contributions enough to maximize employer matches. The service functions similarly to a robo-advisor, offering personalized recommendations based on full financial profiles and the plan’s fund menu.
For younger users and off-track investors, Morningstar found substantial improvements in projected retirement wealth and income—up to 43% and 26%, respectively.
Finsum: These results reinforce the value of managed accounts in driving healthier savings behavior and more prudent portfolio construction within workplace retirement plans.
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The Nationwide Strategic Income Fund (NWXHX) has surpassed $1 billion in assets under management, reflecting strong investor demand and consistent outperformance. Since its 2015 inception, the fund has averaged a 6.07% annual return, 2% higher than its peer group, and earned a 5-star Morningstar rating.
Its flexible, benchmark-agnostic strategy allows the fund to adapt to changing markets, guided by a seasoned management team with over a century of combined experience. The fund invests across fixed income sectors and can serve as a core or complementary bond holding.
Following Amundi US’s merger with Victory Capital, the fund was renamed in June 2025 but retained its structure, management, and investment approach. As its profile rises, Nationwide emphasizes institutional-level oversight and manager selection to deliver long-term value.
Finsum: Strategic income invests across fixed income sectors and can serve as a core or complementary bond holding.
Uranium ETFs have gained traction as investor interest in clean energy and nuclear power—especially in the context of artificial intelligence’s energy demands—has grown. Although the uranium ETF market is still in its early stages, net inflows have been rising steadily, with equity-based ETFs dominating due to the lack of SEC-approved physical uranium funds.
Major offerings like the Global X Uranium ETF (URA) and the Sprott Uranium Miners ETF (URNM) provide access to mining stocks and limited exposure to the Sprott Physical Uranium Trust (SPUT), which holds physical uranium but is structured as a closed-end trust.
Canada remains the geographic hub for investable uranium stocks, and companies like Cameco dominate ETF holdings, while new entrants like the Roundhill and ProShares filings reflect continued market enthusiasm.
Finsum: Until a true physical uranium ETF is approved, access remains indirect, and investors must weigh sector volatility and geopolitical risks.
For decades, private equity was the domain of ultra-wealthy investors, endowments, and pensions—but that’s rapidly changing as defined contribution (DC) plans like 401(k)s begin incorporating private market access.
In a major shift, BlackRock and Empower are launching target-date funds that include private investments, with allocations between 5% and 20%, signaling the democratization of alternative assets for everyday retirement savers. This movement is being fueled by policy, with President Trump’s recent executive order directing agencies to support private equity and other alternatives within DC plans.
The $12 trillion DC market is a major prize for private equity firms, who are now tailoring products to meet the liquidity and transparency requirements of retirement accounts. While private equity offers higher return potential, experts warn it also carries greater risk and limited transparency, raising concerns about suitability for all investors.
Finsum: As public markets shrink and private companies stay private longer, including private equity in DC plans may become a necessary evolution in long-term retirement strategy.