Lou Mandia, Vice President of the Advisor Solutions Team in Morgan Stanley’s Institutional Equity Division, and David Myakotnikov, Portfolio Manager at Mariner, joined Keith Black, Managing Director of RIA Channel, to discuss concentrated stock positions and tailored portfolio solutions.
Structured product demand has been increasing, with stock prices at all-time highs and interest rates much higher than in recent years. Investors can hedge these gains while participating in a portion of the market’s future returns. Structured products can be viewed as an alternative investment with reduced correlation to market returns, potentially accessing bond-like returns with reduced risk to rising interest rates.
Morgan Stanley’s Advisor Solutions Team can assist financial advisors and their clients with the substantial wealth created in stocks with strong recent returns, such as Nvidia and Microsoft. A variety of options-based strategies can hedge the downside risks in concentrated stock positions without selling the stock and incurring a substantial tax burden. These strategies include covered call overwriting, protective puts, collars, and warrants. A variable prepaid forward strategy hedges the risk of holding the concentrated stock position while providing liquidity through financing collateralized by the equity holdings.
WEBCAST – Concentrated Single Stock Positions and Tailored Portfolio Solutions
Join us for an interactive deep dive into the growing and essential strategies that sophisticated advisors are utilizing to manage risk, protect principal, increase income, and reduce tax burdens for their clients. During this webcast, we will cover:
- Monetization Strategies for Concentrated Single Stock Positions
- Structured Products and Defined Outcome Strategies
- Variable Prepaid Forwards and Warrants
- Covered Call Writing Overwriting and Protective Puts
- Portfolio Construction, Risk Mitigation, and Tax Considerations
Learn how Morgan Stanley’s Advisor Solution Team and Mariner Wealth Advisors work together with RIAs, Family Offices, and other advisors to implement tailored portfolio solutions for clients.
Morgan Stanley is dedicated to providing first-class service to our clients, in a way that reflects our commitment to transformative thinking, innovative strategies and cutting-edge solutions. Our product suite encompasses equity options, structured notes, equity swaps, warrants, and futures on individual securities, indices, and baskets of securities.
Mariner is a privately held, national financial services firm equipped with the experience to meet your modern wealth needs. Our advisors have unmatched access to in-house expertise covering everything from tax, estate, trust, and insurance to investment banking and valuation, so they can maximize time spent creating unified wealth plans with clients. By opening more windows of wealth, we create opportunities to positively impact the lives of many. With this purpose, we intend to raise the bar for the entire industry. Founded in 2006 with $300 million in assets under advisement, Mariner and its affiliates now advise on over $122 billion in assets as of 12/31/23. Learn more at www.mariner.com.
Accepted for 1 CFP® / IWI / CFA CE Credit