The platform can be customized for any investment provider who wants to attract HSA investors or financial advisors who want a turnkey HSA solution for their clients.
Denver, Colorado (PRWEB) February 01, 2016
The Investment Provider Xchange™ (IPX), a platform offering the collective services of the Financial Processing Solutions (FPS) Group and its affiliates, today announced the launch of the first-ever health savings account (HSA) featuring investment funds managed by Dimensional Fund Advisors LP, a global investment firm headquartered in Austin, Texas.
The Dimensional HSA is made available on IPX through HealthSavings Administrators, the first company to implement an HSA on the IPX platform.
Through IPX, Dimensional Fund Advisors enjoys one, single sign-on platform that enables individuals to open HSAs, self-direct investments and order debit card(s) while providing online access to trading, rebalancing, statements and educational materials.
Late last year, Dimensional Fund Advisors began enrolling employees on the IPX platform with access to 22 Dimensional funds, including 10 new Target Date Retirement Income Funds (TDIFTM).
“IPX offers the single delivery of custodial services, including cash processing and customized debit cards, as well as necessary administrative and recordkeeping services,” noted James Olson, Managing Director at FPS and architect of the platform.
“In addition to enabling individuals to self-direct 100% of their HSA balance into a variety of investments, the platform also allows financial advisors to offer HSA investment management services to the same clients who know and trust them for other services, like IRAs,” he added.
Pat Jarrett, President of HealthSavings, said: “We are excited to give Dimensional Fund Advisors’ employees as well as the financial advisors they work with the ability to view the activity within their HSA program, much the same way they might view the aggregated or individual records of a 401(k).”
“For institutions who wish to enter or remain relevant in the HSA space, IPX offers a cost-effective way to provide an HSA program,” said Olson.
He added, “The platform can be customized for any investment provider who wants to attract HSA investors or financial advisors who want a turnkey HSA solution for their clients. And because the platform includes a link to the NSCC via Matrix/Broadridge, all account opening and transaction activity is completely automated, putting investment providers into a “DCIO-like” position for the growing HSA market.”
The triple-tax advantages of HSAs are well known; however, to date, the accounts have not been fully embraced by investment providers because of the perceived lack of efficiencies surrounding what have typically been low-balance, high-transaction accounts. IPX removes this burden and makes it possible for providers to engage with HSAs the way they do with IRAs.
About FPS Trust Company
FPS Trust Company is a non-depository trust company dedicated to serving financial intermediary clients. It’s innovative, cost-efficient products and services are designed to ensure streamlined processing and electronic solutions. The company strives to consistently deliver industry-leading products with exceptional service. It provides a positive environment for impeccable standards, professional ethics and integrity for our clients and our employees. It specializes in offering agent custody and transactional processing services to mid-market financial services companies. FPS Trust Company prides itself in being loyal and ethical. And will work to meet your objectives with an uncompromising commitment to integrity. Learn more at fpstrustco.com.
About Dimensional Fund Advisors
Dimensional Fund Advisors is a leading global investment firm that has been translating academic research into practical investment solutions since 1981. Guided by a strong belief in markets, we help investors pursue higher expected returns through advanced portfolio design and careful implementation. An enduring philosophy, strong client commitment, and deep connections with the academic community underpin our approach. With clients around the world, Dimensional has 12 offices in eight countries and global assets under management of $388 billion as of December 31, 2015. Learn more at us.dimensional.com.
About HealthSavings Administrators
HealthSavings helps clients prepare for life’s changing health and financial needs with what we know best — investment health savings accounts (HSAs). The firm got its start in 1996 as a medical savings account (MSA) administrator. After the legislation enacting HSAs passed in January 2004, we shifted our focus to HSAs and now serve more than 66,000 members. Known as “the investor’s HSA,” HealthSavings has been consistently recognized as one of the best values in HSAs with mentions in Forbes, Money magazine, the Wall Street Journal, Kiplinger’s and Reuters as well as various online publications. Learn more at HealthSavings.com.
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