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SEI Investments Co. SEIC announced the launch of SEI Strategies in collaboration with Capital Group, to enhance tax solutions for its clients through model portfolios.
Rationale Behind SEIC’s Product Launch
SEI Investments aims to capitalize on the rising demand for model portfolios as investors seek better tax solutions and investment strategies.
The newly launched model portfolios complement SEIC’s existing suite of core building block solutions for investor portfolios. These models consist entirely of exchange-traded funds (ETFs), combining the company’s disciplined and strategic approach to asset allocation and portfolio construction with Capital Group’s ETFs.
The new portfolios are structured in a unified managed account (UMA) framework, offering flexibility to combine investment strategies and manage geographic exposures and tax sensitivity. These include six SEI strategies with Capital Group, six SEI U.S.-focused strategies with Capital Group, six SEI Tax-Managed strategies with Capital Group and Six SEI U.S.-focused Tax-Managed strategies with Capital Group.
The 12 newly introduced tax-managed models are uniquely designed to leverage ETFs' tax efficiency, offer exposure to municipal bond ETFs for tax-free income and integrate systematic and opportunistic tax-loss harvesting. Moreover, they include an "Estimated Taxes Saved" report, reinforcing SEI Investments' robust commitment to tax-managed investment strategies.
Erich Holland, head of client experience for SEI Investments' advisor business, said, “The SEI Strategies with Capital Group combine the synergy of SEI's rigorous and disciplined investment approach with the Capital System, Capital Group's multi-manager approach to investing, to provide a diverse range of portfolio building blocks.”
This move aligns with SEIC’s growth efforts. In January 2025, it launched depository services for Luxembourg alternative investment funds while in December 2024, the company acquired LifeYield to boost multi-account tax management.
Zacks Rank & Price Performance of SEI Investments
Shares of SEI Investments have risen 8.4% against the industry’s decline of 4% in the past six months.
Image Source: Zacks Investment Research
Currently, SEIC carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Growth Efforts by Other Finance Firms
Last month, State Street Corp. STT agreed to acquire global custody and related businesses outside of Japan from Mizuho Financial Group, Inc. MFG. These businesses aid the international investments of Mizuho’s Japanese clients.
Following the completion of the deal, STT will partner with Mizuho Financial to support its Japanese clients with global custody and related services. Meanwhile, MFG will continue to offer trust and custody services for domestic assets within Japan, capitalizing on its expertise and network.