U.S. Bank Wealth Management, a St. Paul, Minnesota-based firm, provides financial advisory through U.S. Bank, one of the largest financial institutions in America, and U.S. Bancorp Investments. Although they do work together to run its client accounts, U.S. Bank and U.S. Bancorp Investments each have its own specialties. U.S. Bancorp Investments focuses on financial planning, investments and insurance, whereas U.S. Bank is more versed in banking, trusts and investment support.
The services at this fee-based firm are marketed alongside U.S. Bank’s personal and business banking products, although it is distinctly its own entity. The firm primarily serves individuals, though it also works with institutions. The vast majority of this firm’s 45,000 clients are individuals who do not have a high net worth.
U.S. Bank Wealth Management Background
U.S. Bancorp Investments, Inc. and U.S. Bank are owned by U.S. Bancorp, a financial holding company. The firm has been in business since 1974, but it registered with the U.S. Securities and Exchange Commission (SEC) in 2007.
U.S. Bank Wealth Management’s advisors range from financial industry newcomers to seasoned veterans. The firm has a massive team of financial advisors on staff.
U.S. Bank Wealth Management Client Types and Minimum Account Sizes
Individuals who don’t have a high net worth make up the majority of the client base at U.S. Bank Wealth Management. In fact, the firm currently has more than 42,000 such clients. Aside from this group, U.S. Bank Wealth Management also serves high-net-worth individuals, charitable organizations, corporations, pensions and profit-sharing plans, as well as government organizations.
U.S. Bank Wealth Management offers a variety of services and portfolios. The firm has varying account minimums for its available programs:
- Automated Investor Program: $1,000
- Personal Portfolios Program
- Fund Managed Portfolio: $25,000
- Unified Managed Portfolio: $250,000
- U.S. Bancorp Investments Managed Portfolios: $25,000
- Managed Account Strategies: $25,000
- Advisor Select Account: $25,000
- Guided Unified Managed Account: $150,000
- U.S. Bancorp Investments Managed Portfolios
- Core: $25,000
- Unified Managed Account: $500,000
Services Offered By U.S. Bank Wealth Management
There’s no shortage of services available through U.S. Bank Wealth Management. The firm offers the following planning, management, analysis and asset allocation services:
- Wealth planning
- Proprietary portfolio design
- Regular financial plan updates
- Investment management
- Asset allocation adjustments based on market shifts
- Investment analysis and rebalancing
- Banking services
- Integration of banking products into financial plans
- Self-directed investing
- Supreme sovereignty over investments
- IRA rollovers
- Automated Investor program
- Tax minimization
- Automatic rebalancing
- Insurance analysis
- Review of current insurance
- Exploration of insurance options
- Legacy planning
- Philanthropic gift planning
- Beneficiary planning
- Business planning
- Cash flow evaluation
- Tax-efficient succession planning
U.S. Bank Wealth Management Investment Philosophy
Likely due to the massive size of U.S. Bank Wealth Management, its investment ideology is extremely fluid. When you first meet with an advisor, you will discuss and determine your risk tolerance, time horizon, liquidity needs and any other variables that you deem to be important. The firm uses proprietary software that aids its advisors in refining your financial goals to develop a clearer picture as to what level of return is needed to reach them.
These facts then determine the investment styles your advisor will utilize. More specifically, the firm may use any combination of asset allocation, long-term purchases, short-term purchases, trading and other strategies.
Fees Under U.S. Bank Wealth Management
All financial planning services offered by U.S. Bank Wealth Management are completely free. However, clients may pay charges related to securities commissions, fees for account maintenance and possible asset-based fees.
The firm’s wrap fee programs have a fairly standard fee structure, with fees based on the size of clients’ portfolios. Note that your fees may end up being higher than these percentages, though, depending on anticipated or past transaction activity, if you’ve used sub-account managers, whether or not you receive other services and other variables.
|U.S. Bank Wealth Management Fee Schedule
Like many robo-advisors, U.S. Bank Wealth Management’s Automated Investor program charges lower fee rates than the firm’s traditional advisory programs. If you opt to use the firm’s robo-advisory service, you’ll pay a 0.24% annual advisory fee on a quarterly basis. Should you meet certain stipulations, though, the firm may lower your rate.
What to Watch Out For
Additionally, U.S. Bank Wealth Management has six disclosures on its SEC record. Plus, some of the financial advisors at this firm sell insurance policies through U.S. Bank’s affiliated entities. They can earn commissions for these sales, which is a potential conflict of interest. However, the firm is a fiduciary and is legally obligated to act in the best interest of clients at all times.
Opening an Account With U.S. Bank Wealth Management
U.S. Bank’s website allows you to open an account directly online. If you’d prefer to have the help of an employee, you can call over the phone or set up a callback by entering your name, email address, phone number and what information you’re interested in.
All information is accurate as of the writing of this article.
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