TD Ameritrade is beta testing a highly sophisticated Web-based version of its rebalancing tool iRebal using live data at about 20 advisory firms.
A full rollout of this sophisticated, location-sensitive, tax-sensitive application will begin in May if all goes according to schedule. The application is free to TD Ameritrade advisors, but it can only be used for assets custodied at TD Ameritrade.
“To date, advisors have been slow to adopt sophisticated rebalancing tools,” said Ben Welch, director of Advisor Business Development and iRebal at TD Ameritrade. “We believe the benefits of sophisticated rebalancing are too great to wait for adoption to creep up, so we are providing our advisors with a free, smart rebalancing solution.”
The new iRebal is deeply integrated with TD Ameritrade’s VEO system and not only performs sophisticated rebalancing tasks; it also automates the process of monitoring portfolios. Custom, proactive alerts help advisors better manage client cash balances, manage tax liabilities and create investment workflows to streamline internal processes. Since the iRebal alert system is deeply integrated with the VEO alert system, alerts generated in iRebal are made available to third-party applications through the VEO Open Access API. This means that alerts can be viewed in an advisors CRM application and other relevant applications, provided they are receiving the data through the VEO API.
TD Ameritrade is the first custodian to offer a smart rebalancing tool of this caliber to advisors. For further information, visit: http://www.tdainstitutional.com.