Unlike many investment advisors, Wilshire Advisors (formerly known as Wilshire Associates) offers both investment technology and investment advisory services. This approach stems from the founder's vision to merge actuarial science with investment principles. The firm was purchased by two private equity firms called CC Capital and Motive Partners in early 2021.
Wilshire is a fee-only firm headquartered in Santa Monica, California. The financial advisor firm has billions of dollars under its management, as well as a large staff of advisors. The firm works with a range of clients, and it offers a global presence, with locations in Pennsylvania, Colorado, New Jersey, Illinois, Singapore, London, The Netherlands, Hong Kong and China.
Wilshire Advisors Background
Wilshire functions as an investment technology and advisory firm founded by former CEO Dennis A. Tito in 1972. Following its 2021 sale to CC Capital and Motive Partners, the firm is now run by CEO Mark Makepeace and president and chief operating officer (COO) Jason Schwarz. The firm has multiple businesses it uses to carry out its financial and investment solutions.
Wilshire is indirectly owned by CC Capital and Motive Partners through holding companies CC Monica Holdings, LLC and Motive Monica, LLC, respectively.
Wilshire Advisors Client Types and Minimum Account Sizes
Wilshire Advisors primarily serves an array of institutional clients, but the firm also serves non-high-net-worth individuals. Its institutional clients include trusts, estates, pension and profit-sharing plans, charitable organizations, corporations and retirement plans. Firm professionals may also advise U.S. or foreign government entities, public international organizations, state or municipal government entities, investment limited partnerships and other investment vehicles.
The firm’s account minimum size requirement varies depending on client type. Wilshire’s minimum account size requirement for institutions ranges from $1 million to $50 million.
Services Offered by Wilshire Advisors
Wilshire offers its clients a range of discretionary and non-discretionary advisory services, including:
- Portfolio Management
- Pension consulting
- Selection of other advisors
- Investment consulting research
- Private markets research
Wilshire Advisors Investment Philosophy
Wilshire Advisors describes on its firm brochure that it believes asset allocation has the greatest impact on long-term returns. As part of its investment process, the firm utilizes its version of an integrated asset/liability modeling technique. Wilshire Advisors also uses risk management and portfolio optimization models.
Wilshire Advisors says on its website that its mission is to provide innovative investment solutions and unbiased, independent investment guidance to investors on a global level.
Fees Under Wilshire Advisors
The firm’s management fees vary based on account type, and Wilshire Advisors separates these fees by division. The management fees for analytics range from 0.01% to 0.25% of AUM. Institutional investment consulting’s services present a range of different fees. For non-discretionary advisory services, the firm receives an annual fixed retainer fee between $35,000 and $4 million. Wilshire receives 0.05% to 0.65% of AUM for discretionary advisory services, while its actuarial fees range from $10,000 to $500,000. Risk management services come with a fixed annual fee of $250,000 to $3 million.
Private market services charge a management fee between 0.50% to 1.00% for separate account management. For pooled investment vehicles, the firm charges a percentage of the vehicle's invested capital. Wilshire Funds Management charges fixed retainer fees that range from $100,000 to $5 million, and the firm charges asset-based fees that range from 0.05% to 0.50% of AUM.
What to Watch Out For
Wilshire Advisors doesn’t have any disclosures listed on its SEC-filed Form ADV.
Some clients of Wilshire may have performance-based fees included in their fee schedule. This can cause a potential conflict of interest, as "advisors may devote more time to developing and analyzing investment strategies or allocate opportunities preferentially to accounts for which it could share in investment gains," according to Wilshire's Form ADV. Despite this arrangement, the firm abides by fiduciary duty, legally binding it to act in clients' best interests.
Opening an Account With Wilshire Advisors
Prospective clients have a few options for opening an account with Wilshire. You can either visit any of the firm’s offices, or you can call to set up an appointment with an advisor. If you’re interested in opening an account at the Santa Monica office, you can contact the firm at (310) 451-3051.
All information was accurate as of the writing of this article.
Tips for Saving for Retirement
- Whether you’re looking to invest, form an estate plan or create a budget, professional assistance can push you closer to your goal. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you. If you’re ready to find an advisor who can help you achieve your financial goals, get started now.
- Investing is one of the most effective ways to save for retirement. Whether you’re an experienced or new investor, you can generate significant returns through things like asset allocation and portfolio diversification. If you’d like to see what your investments could earn you over time, consider using our investment calculator.
