Frequently Asked Questions

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Frequently
Asked Questions

Click here for more information on opening an account with VestWise.

Getting Started

  • The program’s minimum initial investment requirement is $5,000. However, there is no initial dollar amount to open a VestWise™ account. You will not be charged investment advisory fees on your account until you meet the minimum initial investment requirements.

  • We offer a few types of Investing accounts. *
    • Personal: Owned by a single person. The main benefit of this type of account is that you, the individual, control the account.
    • Joint with Rights of Survivorship: Owned by two people. In a joint account, both individuals will have access to control the account and deposit or withdraw funds. Both individuals will have access to the assigned advisor when and where they want.
    *Tax deferred accounts such as IRAs and Roth – coming soon.

  • To open an account, you will have to provide your name, date of birth, social security number, a valid government ID, and additional financial information. During the registration process you will be asked certain questions about your investment experience and accounts. If you have other accounts, knowing the approximate amounts will be helpful in establishing your account.

  • VestWise™ is a digital program. By agreeing to the terms and conditions in the client application, you have consented to the DocuSign electronic delivery and electronic signature process.

  • Once you complete the registration process and fund your account it generally takes 24 to 48 hours.

  • Once you have logged in to VestWise™, your advisor's information can be found in the top right-hand corner of the Overview page.

  • VestWise™ will allow you to transfer funds electronically via ACH.

  • Yes, once the account is funded you will be able to view the current balance of your account and perform financial transactions such as deposits and withdrawals as needed using the VestWise™ client portal.

  • You can view the status of your financial transactions on the Transfers screen within VestWise™.

  • Park Avenue Securities LLC is a broker-dealer that is an indirect, wholly owned subsidiary of The Guardian Life Insurance Company of America (Guardian), which has a rich heritage since 1860 as one of the largest and oldest mutual life insurance companies in the U.S.

  • Your assigned advisor will be available to you when and how you want. They can help discuss your goals, provide additional financial information, and answer any financial questions you may have. Once the account is opened, you can expect an offer to have a review of your account at least once a year to review performance and confirm that the portfolio you are invested in continues to meet your needs.

Asset Allocations

  • Asset allocations refer to the types and weights of investment solutions that make up your portfolio.

  • VestWise™ will ask you a series of questions about your investment goals and risk tolerance. Your answers to these questions will help VestWise™ determine a personalized portfolio that meets your goals and risk tolerance. Your recommendation will consist of one of the 23 model portfolios available through the VestWise™ program.
  • Your Account is required to have 2% of cash at all times. For example, if you open your Account with $5000, $4900 will be invested into the Model Portfolio selected for you and $100 will be deposited into the default money market sweep vehicle. If you open an account with less than $5,000, any proceeds deposited into the account will be invested in the default money market sweep vehicle until such time that your Account equals $5,000 and is invested, as described above, in the Model Portfolio that is identified on the IPS in response to your answers on the Risk Tolerance Questionnaire (RTQ).

Portfolio Composition

  • VestWise™ model portfolios use a combination of exchange-traded funds (ETFs).

  • ETFs are marketable securities that track stock indexes and other assets. Shares trade like common stocks on an exchange, so the price of the ETF’s shares will change throughout the day as they are bought and sold. To learn more about ETFs, please reach out to your assigned advisor. If you do not have an assigned advisor, please use the Contact Us section.

Fees

  • There is a total annual fee of 0.45% of the average daily net assets invested by you in the program. This is comprised of two fees applied quarterly to your VestWise™ account: (1) an annual advisory fee of 0.25% and (2) an annual account service fee of 0.20%.

  • The advisory fee is compensation to Park Avenue Securities and your assigned advisor for their professional service(s), while the account service fee pays for administrative costs associated with maintaining your account in addition to compensating Park Avenue Securities for its services.

Taxes & Forms

Form Account Type Description Expected Availability
Form: 1099 composite Account Type: Brokerage Account Description: This form may include IRS Forms(s) 1099DIV, 1099INT, 1099MISC, 1099B, and 1099OID, depending on your situation. Expected Availability: Tax Year – Jan through April 2019
Form: 1099R Account Type: Retirement Accounts Description: This form reports distributions from IRA and Roth IRA accounts Expected Availability: Tax Year – April - May 2019
Form: 5498 Account Type: Retirement Accounts Description: This form reports your IRA contributions made by your tax filing deadline. Expected Availability: Tax Year – April - May 2019

  • You will be able to access your tax documents by logging into your account and selecting the Documents tab.