How does a privately managed account compare to a mutual fund?
Compared to a mutual fund, we award you several advantages. We offer you a personalized portfolio created specifically for your unique situation. At Cambria Capital, you have greater access to your portfolio manager than in the case of a mutual fund, and you receive trade confirms, monthly custodian statements, and quarterly portfolio summaries. Mutual funds do not send trade confirms, so you are unable to monitor the activity in your account. Reports are typically prepared semi-annually and fund managers are not available to answer questions. We manage your account with an eye towards your specific tax situation. We have the ability to harvest losses and avoid certain taxable events such as short-term gains. Mutual funds are disadvantaged when it comes to taxes as they must pay out capital gains each year, yet cannot distribute capital losses.
