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Russell Investment Management Review

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This review was produced by SmartAsset based on publicly available information. The named firm and its financial professionals have not reviewed, approved, or endorsed this review and are not responsible for its accuracy. Review content is produced by SmartAsset independently of any business relationships that might exist between SmartAsset and the named firm and its financial professionals, and firms and financial professionals having business relationships with SmartAsset receive no special treatment or consideration in SmartAsset’s reviews. This page contains links to SmartAsset’s financial advisor matching tool, which may or may not match you with the firm mentioned in this review or its financial professionals.

Russell Investment Management (RIM) is a global financial advisor based in Seattle. While this fee-based firm manages billions of dollars in client assets, the vast majority of those assets are managed by behalf of investment companies. 

RIM is part of Russell Investments, a broader financial company. Some of the other branches of Russell Investments include Russell Investments Implementation Services, Russell Investments Capital, Russell Investments Commodity Advisor, Russell Investments Institutional Funds, Russell Investments Funds Management, Russell Investments Trust Company and Russell Investments Financial Services. There are also affiliates headquartered in countries all over the world, including Canada, Cayman Islands, the United Kingdom, Ireland, France, Australia, New Zealand, Korea and Japan.

The firm was named a top global manager of institutional outsourced income by CIO Magazine in 2019 and was a winner of the Barron’s Industry Award for Field Sales Distribution in 2018.

Russell Investment Management Background

Russell Investment Management was founded in 1982. It is an indirect, wholly-owned subsidiary of Russell Investments Group, Ltd., a company domiciled in the Cayman Islands.

The limited partners of certain private equity funds affiliated with TA Associates Management, L.P. indirectly hold a majority ownership interest in the parent company, while the limited partners of certain private equity funds affiliated with Reverence Capital Partners, L.P. indirectly hold a minority ownership. Additionally, members of Hamilton Lane Incorporated’s parent company also hold minority positions in Russell Investments. 

Russell Investment Management Client Types and Minimum Account Sizes

There are also institutional clients at RIM. These include investment companies, pooled investment vehicles, pension and profit-sharing plans, other investment advisors, insurance companies, sovereign wealth funds and foreign official institutions and corporations.

There is no strict minimum account size at RIM. All of its individual clients are classified as non-high-net-worth on the firm’s SEC filings. The investment needed to procure the services RIM offers is negotiated individually by each client. The final determination will depend on a number of factors, notably the services each client will be needing.

Services Offered by Russell Investment Management

The following services are offered at RIM:

  • Investment management
    • Asset allocation
    • Third-party money manager selection
    • Portfolio management and construction
    • Alternative asset advisory services
  • Model portfolios
    • Personalized managed accounts
    • Wrap-fee programs
  • Consulting services for institutional clients

Russell Investment Management Investment Philosophy

RIM has a multi-asset approach to investing, focusing on diversification, research and selection of unaffiliated money managers and portfolio managers. Short-term and fixed-income investments are used.

For money managed by RIM itself and not outsourced to money manager strategies, RIM uses both quantitative and qualitative analysis to build portfolios. The firm also uses a proprietary asset allocation model that is based on a client's preferences for risk, objectives and goals, investment horizon and liquidity needs. 

Fees Under Russell Investment Management

Fees vary based on investment strategy, product type, account type and size, customization requirements and the range of additional services provided to the client or fund. All fees are negotiated in advance and are specified in the written agreement between the firm and each client.

Investment management fees are typically expressed as a percentage of assets under management (AUM). These fees, which are not published in the firm's brochure, are generally billed quarterly in arrears.

What to Watch Out For

According to SEC filings, RIM has had three disclosures involving violations of investment-related regulations in the last 10 years. Only one of those disclosures involved the firm directly and resulted in a $13,400 fine paid to the Securities and Futures Commission of Korea. 

As a fee-based firm, RIM may be compensated when recommending clients to affiliated Russell Investments entities. Despite this conflict of interest, the firm and its representatives are bound by fiduciary duty to act in the client's best interests. 

 

Opening an Account With Russell Investment Management

Individuals cannot directly open accounts with RIM. It serves financial advisors and institutional investors. If you want to contact about those services, call 1-800-426-7969.

All information is accurate as of the writing of this article. 

 

Investing Tips

  • While this firm generally doesn’t directly serve individual investors, working with one who does can be a great idea. Finding the right financial advisor that fits your needs doesn’t have to be hard, though. SmartAsset’s free tool matches you with financial advisors in your area in five minutes. If you’re ready to be matched with local advisors that will help you achieve your financial goals, get started now.
  • When investing, don't forget to consider the tax implications of your transactions. Use our capital gains calculator to determine what you tax liability may be when selling an investment. 

How Long $1mm Lasts in Retirement

SmartAsset's interactive map highlights places where $1 million will last the longest in retirement. Zoom between states and the national map to see the top spots in each region. Also, scroll over any city to learn about the cost of living in retirement for that location.

Least
Most
Rank City Housing Expenses Food Expenses Healthcare Expenses Utilities Expenses Transportation Expenses

Methodology We analyzed data on average expenditures for seniors, cost of living and investment returns to determine how many years of retirement a $1 million nest egg would cover in cities across America.

First, we looked at data from the Bureau of Labor Statistics (BLS) on the average annual expenditures of seniors. We then applied cost of living data from the Council for Community and Economic Research to adjust those national average spending levels based on the costs of each expense category (housing, food, healthcare, utilities, transportation and other) in each city. Using this data, SmartAsset calculated the average cost of living for retirees in the largest U.S. cities.

We assumed the $1 million would grow at a real return (interest minus inflation) of 2%. Then, we divided $1 million by the sum of each of those annual numbers to determine how long $1 million would cover retirement expenses in each of the cities in our study. Cities where $1 million lasted the longest ranked the highest in the study.

Sources: Bureau of Labor Statistics (BLS), Council for Community and Economic Research