wrap account

For example, if, you purchase a wrap account, and, own a variety of mutual funds and other investments are “wrapped” together, the account may be subject to an annual percentage fee. 

For example, if, you purchase a wrap account and own a variety of mutual funds and other investments are “wrapped” together, the account may be subject to an annual percentage fee. 

To be sure, these costs are comparable to those of a traditional "wrap account," in which a broker spreads your money among various assets and managers.

But a much greater proportion of the cost of a traditional wrap account comes from the management expenses of the underlying assets.

Steve Kang, a 33-year-old office worker at a flat-panel display maker in Seoul, pulled 30 million won out of his mutual fund accounts and savings bank this month and put it into a Daewoo Securities Co. wrap account that’s based on stock picks by Brain Investment.