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2019 Janney Montgomery Scott account fees, performance, investments options, dividends, taxes. JMS wealth management account review.

Overview

JMS is an investment firm based in Philadelphia, PA. They offer a variety of resources to individuals, families, and corporations. This review is based on over 10 years of interaction with this firm, and will discuss the investing process, investing options, withdrawing funds, fees, performance, user interface dividends, taxes and paperwork, client interaction, and their customer service.

Investing

Historically, setting up an account with JMS required in person interaction and paperwork. Currently there are systems in place to make changes to an account online, over the phone, or through email. ID verification is required, as is linking a bank account in order to move money in and out of an account.

Most of these actions are done over the phone, as they require voice verification of changes to an account. While this can be a bit more time consuming, it seems to provide better security. Forms documenting the changes are handled over email, but final voice verification is required. Once a portfolio is set up, automatic deposits are easy.


Janney Montgomery Scott review


Janney Montgomery Scott Investment Options

The brokers at JMS are very friendly and easy to work with, either in person or over the phone. They will spend as much time as needed to make clients feel comfortable with levels of risk, investment portfolios, and the long-term management of assets. Setting up an account with them will take longer than other online only options, but it’s worth it.

A broker or branch partner will sit down with you in person or online to discuss your risk tolerances, who you are, what you believe in, and anything else that impacts your investing strategy. They will even help you build a portfolio on ethical grounds, building a personalized investment approach supporting green or ethically superior companies, for example. JMS offers investment in a full range of stocks, bonds, ETFs, and mutual funds.

Withdrawing Funds at JMS

Taking money out of an account only takes a day or two, and requires both phone interaction as well as paperwork authorizing the withdrawal. While it may be slightly slower than other systems, it does provide a security check against account compromise. However, funds are released and transmitted as quickly as the firm can process the paperwork.

Janney Montgomery Scott Fees

Management fees for JMS are a bit on the high side, with their standard rate being 1.25% historically. Recently that has dropped to 1% based on their movement away from certain funds. While this may seem high compared to robo advisors or Vanguard ETF management fees, they provide rebalancing, dividend reinvesting, and educated and passionate human interaction.

Janney Montgomery Scott Performance

In the portfolio evaluated for 2019, the rate of return has been below average with a current yield of 1.47%. This is over a percentage point lower than the S&P 500, currently sitting at 2.62%. This may be effected by a large withdrawal this year while the market was much higher, but that is still concerning based on the management rate. Historic performance on the account is 5.50%, with moderately high-risk tolerance.


Janney Montgomery Scott performance


User Interface

JMS’s user interface is not as modern as other sites; it seems to be generations behind what you see from Capital One or any number of robo-advisors. However, even though the user interface leaves a lot to desire, it is a much more powerful tool.

Compared to a lot of other financial management tools, such as Personal Capital, it gives you a lot more raw data. It also provides you with all of the portfolio summaries, monthly statements, and tax paperwork online in easy to find locations. You can find anything you need within 3 clicks 99% of the time.

The one thing it lacks is the ability to do analysis and forecasting. There is no way to manipulate data to see what my money will do based on different variables, which would be a nice feature. The other issue is that there is no way to export the data to any system such as Excel for growth modeling or manipulation.


Janney Montgomery Scott Wealth Management


Janney Montgomery Scott does not offer an app for instant account management. With their more secure method of forms and phone verification, an app would not be much use, other than to monitor an account. However, an account can be easily linked to a Personal Capital account (or similar account) to view up to the minute account performance.

One of the best things JMS offers in a robust research capability. Once a client logs into their account, they can use the “research and education” tab to explore a range of topics. This is broken down into categories of Investor Education, Equity Research, Fixed Income Research, Investment Strategy Group Research, Markets, S&P Commentary, and S&P Reports.

If a client still has questions, or questions about their personal investments, potential changes to the investments, and other investing related questions, JMS has always responded to questions by email or phone call within 24 hours to schedule a phone call between the client and a broker.

Dividends, Taxes, and Paperwor at JMS

Dividends are automatically reinvested in a client’s portfolio. All tax documentation and other paperwork, such as performance reports, are accessible through their web portal and are available for the life of the account history. Statements are available for over 5 years, and performance reports are maintained online for the past 5 quarters, but older performance reports can be requested.

Client Interaction

Janney Montgomery Scott sends out a monthly newsletter, called “Investment Perspectives” with updates for the firm, investment strategies, and articles about investing news. You can find the current and past articles here. They also send out prospectus announcements to clients for all purchases. As stated above, in person, phone, and email interaction is all extremely positive.

However, they could improve by reaching out to clients with advice on how in decrease risk while maintaining earnings, as some of the robo advisors do. A lot of the content in their newsletter is general education, not tailored advice on ways to improve the individual client portfolio.

Customer Service

JMS’s customer service is excellent. The people who work there are friendly and professional in person, over the phone, and through email. Response to emails and phone calls is prompt, with problems resolved within 48 hours.

JMS Review Final Thoughts

Janney Montgomery Scott is a good choice for those on the East Coast of the United States seeking a personal touch on their portfolio, and are willing to pay a little more for friendly, hands on portfolio management.

It is also good for those who don’t understand investing and finance, as the people who work at JMS are highly educated and skilled in what they do. JMS brokers are always willing to talk about your needs as a client, and will work very hard to make you as an individual very happy with the services you are paying for.

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Janney Montgomery Scott reviewed by TopRatedFirms.com. Rating: 4