Charles Schwab Investment Management has made a series of Schwab Model Portfolios available on the Riskalyze platform for the first time, expanding their distribution to a larger number of RIAs and others Riskalyze users.
The 14 Schwab Model Portfolios offer advisors risk-based allocations they can implement and adjust using either low-cost, market-cap-weighted exchange-traded funds or a blend of market-cap and strategic beta ETFs, Schwab said Thursday.
A behavioral overlay was also built into the models to help advisors’ clients stay invested across market cycles and conditions, the company said.
The Schwab portfolios offer advisors two approaches to portfolio construction: A Series, a broad asset allocation approach using traditional market-cap-weighted exposures to equity, fixed income and real assets for a diversified, low-cost core portfolio; and AB Series, an approach that builds from the core and incorporates strategic beta, value, growth and other sub-asset class allocation exposures, the company explained.
Adding the model portfolios to the Riskalyze platform “aligns with our strategy to expand distribution of our models as well as turnkey portfolios on leading third-party platforms to meet demand from advisors, IBDs and other institutions,” according to Jake Gilliam, head of Multi-Asset Solutions at CSIM.