J.P. Morgan has a new investing product for consumers who want to invest $25,000 or more. The J.P. Morgan Personal Advisors product allows everyday investors access to a team of financial advisors to help build a financial plan and be matched to the right investments to help them reach their goals.
Here’s how it works.
J.P. Morgan Personal Advisors
With J.P. Morgan Personal Advisors, investors with a minimum of $25K or more will have access to a team of advisors to help them achieve short and long-term goals.
The financial advisors are available via video chat or phone and are accessible as often as clients need them. There isn’t an extra charge to connect with a financial advisor, regardless if you talk to them monthly or annually.
Personal Advisors is made up of financial advisors, so you don’t have access to a dedicated advisor (unless you have at least $250k invested). However, everyone on the team is a fiduciary and can quickly get up to speed on your financial situation, answer your questions, and help you make financial decisions.
Who Are They
J.P. Morgan Personal Advisors is a part of J.P. Morgan Chase, giving clients investment advice and access to various expert-built portfolios.
All advisors within Personal Advisors work as fiduciaries. They recommend investments based on your short and long-term goals. They don’t work on commission, or recommend investments that don’t align with your goals.
These financial advisors aren’t necessarily CPAs or CFPS, but all advisors have the opportunity to become a Wealth Management Certified Professional and are qualified to answer your questions and provide guidance based on your financial situation and goals.
What They Do
J.P. Morgan Personal Advisors offer many benefits, including the following:
Ongoing Access
You pay ann annual advisory fee based on the assets you hold in your Personal Advisors account and have as much access to advisors as needed. You don’t have to pay additional fees to consult with an advisor; you can always have a phone or video consultation from home. The appointments are easy to schedule, and the consultations aren’t intimidating for new investors.
Tailored Investment Plans
When you first meet with an advisor, they’ll discuss your financial situation, goals, and financing needs. Then, that advisor will create a plan that helps you reach those goals, whether you’re saving for a house, getting out of debt, or saving for retirement.
The more open and honest you are with your advisor when creating your account and financial plan, the easier it is to get a lucrative financial plan to help you reach your goals. Talk about all aspects of your finances to get the big picture.
INVESTMENT AND INSURANCE PRODUCTS ARE: NOT A DEPOSIT • NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE
Expert-Built Portfolios
An advisor will match clients with expert-built portfolios. The advisors will help you understand the options and how they’d affect your goals. Of course, a big part of the decision depends on your risk tolerance, as they have several portfolios, each with a different risk level.
Advisors will check in with you at least once a year to see how you’re progressing and make any necessary changes.
Personalized Service
Each time you call or video chat with a personal advisor, you’ll meet one-on-one. Of course, you might meet with a different advisor each time you call, but all advisors are fiduciaries.
However, when you create your account, you will work with the same advisor when opening and funding an account and throughout the financial planning process. This ensures you create a plan you’re comfortable with using.
Manage all Accounts in One Place
Clients have the opportunity to manage their investment, deposit, and lending accounts in one place with the Chase Mobile App or on Chase.com
Advisor Fees
With J.P. Morgan Personal Advisors, you pay an advisory fee based on how much you have invested:
- If you have $25k to $249,999 invested – 0.6%
- If you have $250k to $1 million invested – 0.5%
- If you have over $1 million invested – 0.4%
Getting Started
Fortunately, it’s easy to sign up with J.P. Morgan Personal Advisors. They walk you through each step, from signing up and completing an application to setting up your account.
- Contact J.P. Morgan Personal Advisors – Fill out the contact form and someone from J.P. Morgan will contact you. It takes only seconds to complete.
- Disclose your financial situation and goals – You’ll meet with a personal advisor via video or phone to discuss your financial situation and overall goals. You’ll discuss your current net worth, saving and spending habits, short and long-term goals, and financial priorities.
The clearer the picture the advisor has of your financial situation, the better the financial plan they can help you create.
- Your Investment portfolio – Your financial advisor will help match you to a portfolio based on the financial information and goals you provided. The pre-built portfolio will align with your objectives, timeline, and risk tolerance to help you reach your goals.
- Checking in – Your portfolio will be automatically rebalanced as the market changes; however, you can check in with a financial advisor anytime. This is especially important if your situation changes or you’ve changed goals and need to adjust your portfolio.
- Activate J.P. Morgan Wealth Plan – The J.P. Morgan Wealth Plan app allows advisors and clients to collaborate. You can view your financial plan and schedule meetings to discuss them.
Pros and Cons of J.P. Morgan Personal Advisors
J.P. Morgan Personal Advisors has pros and cons you should consider.
Pros
- Virtual check-ins with financial advisors
- Expert-built portfolios for various goals and financial situations
- Tailor-made investment plan based on your goals
Cons
- The advisors aren’t certified financial professionals or CPAs
Other J.P. Morgan Wealth Management Products
J.P. Morgan Wealth Management products encompass various financial products to meet consumers’ needs.
Private Client Advisors
Private Client Advisors are dedicated advisors. However, instead of working with a reputable team of advisors, you work with the same advisor throughout your investment journey.
The minimum investment requirements vary based on the program chosen, but it’s recommended to have a minimum investment of $50K for this product.
Similar to Personal Advisors, your advisor becomes familiar with your financial situation, including your current assets, liabilities, spending habits, and financial goals. Then, together you’ll create a financial plan that helps you meet short and long-term goals.
Your Private Client Advisor can help you with all aspects of your financial life, not just your investments.
Retirement Accounts
You can open retirement accounts in all of our products including PA and PCA with the option to open a traditional or Roth IRA in either account.
Traditional IRA
A traditional IRA offers tax benefits in the year you contribute.
Roth IRA
A Roth IRA comes from after-tax contributions, but your money, including the earnings, grows tax-free. If you open a Roth IRA in the Chase automated investing account, you will need at least $500 to open an account.
Self-Directed Investing
A self-directed account lets you build your own portfolio on the Chase website or Chase Mobile app.
J.P. Morgan Self-Directed Investing offers commission-free stocks, options, and ETFs. They also offer fixed-income securities, but there’s a small commission.
You control your assets in a self-directed account, deciding when to buy, sell, or reallocate your portfolio.
Automated Investing
J.P. Morgan Automated Investing is a robo-advisor. You set up your account, answer questions about your risk tolerance, financial goals, and timeline, and get matched to a portfolio matched to your needs. However, J.P. Morgan is shutting down its robo-advisor service at the start of 2024.
It even rebalances your portfolio as needed when the market changes. Investors have four portfolios to consider.
Aggressive
This approach is appropriate for investors with a high-risk tolerance seeking high growth potential. It consists of 90% US and international equities, 8% fixed-income ETF assets, and 2% cash.
Growth
Investors not interested in income but seek above-average growth may be interested in this. However, you still need a high-risk tolerance for this portfolio because it consists of 75% US and international equities, 23% fixed-income ETFs, and 2% cash.
Moderate
The moderate portfolio works best for investors with a longer timeline, such as saving for retirement. Since it’s 50% US and international equities, there’s still lower focus on income but seeks relatively stable growth. The remainder of the portfolio is invested in 48% fixed-income ETFs and 2% cash.
Conservative
Investors with a shorter timeline of at least three years may choose the conservative portfolio. Because its low-risk, the portfolio invests only 25% in US and international equities, 73% in fixed-income ETFs, and 2% in cash.
Frequently Asked Questions
J.P. Morgan Personal Advisors is a newer service that caters to all types of investors.
Here are some more common questions people have about it.
What Questions Will a Financial Advisor Ask You?
Financial advisors need to get to know you and your financial goals to help build the right portfolio. They’ll ask questions about your age, how much you can risk, the amount you’ll invest monthly, and how much you already have invested.
They’ll also ask questions about why you’re saving and when you plan to use the funds, and they can help you choose a portfolio.
Be as honest as possible with your answers, including whether you prefer growth investments or want regular income, as that will play a role in choosing the right portfolio.
How Do I Know if I Can Trust My Financial Advisor?
J.P. Morgan has an A+ rating with the Better Business Bureau, demonstrating that it offers trustworthy business practices and that its clients agree.
Is J.P. Morgan a Full-Service Provider?
J.P. Morgan offers various services making it a full-service provider. Investors can choose a self-directed account, as well as Personal Advisors account, or work with a Private Client Advisor.
You can choose your services based on your needs, whether you want to handle investments yourself, speak to a team of advisors, or have a dedicated advisor.
How Much Money Do You Need to Be a J.P. Morgan Private Client?
To get dedicated service from one advisor, you must have $50,000 invested. This allows you access to a single advisor that handles all your questions and provides guidance to help you reach your financial goals.
Conclusion
The J.P. Morgan Personal Advisor product is a great way to access financial advisors without high minimum investment requirements or steep fees.
Check them out if you’re looking for guidance and want access to an advisor as frequently as necessary from the comfort of your home.
J.P. Morgan Wealth Management is a business of JPMorgan Chase & Co., which offers investment products and services through J.P. Morgan Securities LLC (“J.P. Morgan”), a registered broker dealer and investment adviser, member FINRA and SIPC. Millennial Money is a publisher of J.P. Morgan, (“Publisher”). The Publisher will receive compensation from J.P. Morgan if you provide contact details to speak with a J.P. Morgan representative. Compensation paid to the Publisher will be up to $500 per completed contact form. Compensation provides an incentive for the Publisher to endorse J.P. Morgan and therefore information, opinions, or referrals are subject to bias. J.P. Morgan and the Publisher are not under common ownership or otherwise related entities, and each are responsible for their own obligations. Investing involves market risk, including possible loss of principal, and there is no guarantee that investment objectives will be achieved.
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