Advanced Portfolio Strategy

NexPath Custom Indexing

Revolutionary direct indexing that combines the benefits of index investing with the power of individual security ownership, advanced tax optimization, and unprecedented personalization.

Advanced Portfolio Strategy

NexPath Custom Indexing

Revolutionary direct indexing that combines the benefits of index investing with the power of individual security ownership, advanced tax optimization, and unprecedented personalization.

<0.5%

Average Tracking Error

Minimal deviation from benchmark

70+

Customization Levels

Personalization options available

0.5-2.0%

Tax Alpha Potential

Additional annual after-tax returns

$250K

Minimum Investment

Professional portfolio management

Why NexPath Outperforms Traditional Investment Options

Direct indexing provides unique advantages that mutual funds and ETFs simply cannot match, delivering superior after-tax returns and unprecedented customization.

Enhanced Tax Efficiency

Direct indexing allows for daily tax-loss harvesting, potentially generating significant tax alpha compared to traditional funds.

Unlike mutual funds or ETFs, NexPath enables harvesting losses on individual securities while maintaining benchmark exposure, potentially adding 0.5-2.0% in annual after-tax returns.

Unparalleled Customization

70 levels of customization allow you to align investments with personal values and specific objectives.

Exclude entire sectors, companies, or countries. Implement ESG screens, avoid controversial industries, or overweight preferred sectors while maintaining index-like performance.

Seamless Transitions

Fund in-kind transfers eliminate taxable events when transitioning from existing portfolios.

Transfer existing securities directly into your NexPath portfolio, avoiding immediate capital gains while beginning tax-loss harvesting immediately.

Precision Tracking

Advanced optimization ensures minimal tracking error while maximizing customization benefits.

Proprietary algorithms maintain benchmark correlation above 0.95 while implementing all customizations and harvesting opportunities.

Individual Ownership

Own individual securities directly rather than fund shares, providing greater control and transparency.

Full ownership transparency with real-time visibility into every holding, dividend payments, and corporate actions in your customized portfolio.

Quantified Alpha Generation

Measurable tax alpha through systematic loss harvesting and transition strategies.

Comprehensive reporting shows exactly how much tax alpha is generated through harvesting activities, with detailed attribution analysis.

Advanced Tax-Loss Harvesting in Action

See how NexPath’s systematic approach to tax-loss harvesting can enhance your after-tax returns through intelligent loss recognition and immediate reinvestment.

Daily Loss Monitoring

Continuous surveillance identifies harvesting opportunities across all holdings

Immediate Reinvestment

Maintains market exposure while capturing losses through similar security purchases

Wash Sale Avoidance

Sophisticated algorithms ensure compliance while maximizing harvest benefits

NexPath vs Traditional Options

See how NexPath provides unique advantages that traditional mutual funds and ETFs simply cannot match.

Feature Comparison

Potential Benefits	Mutual Funds	ETFs	NexPath
Seeks to match benchmark returns
Ability to fully replicate index constituents
Tax efficiency through loss harvesting
Potential to create tax alpha
Potential to create transition alpha
Portfolio customization options
Ability to fund in-kind
Individual security ownership

NexPath offers unique advantages that traditional mutual funds and ETFs simply cannot match, providing enhanced tax efficiency and personalization options for sophisticated investors.

Feature Comparison

Potential Benefits	Mutual Funds	ETFs	NexPath
Seeks to match benchmark returns
Ability to fully replicate index constituents
Tax efficiency through loss harvesting
Potential to create tax alpha
Potential to create transition alpha
Portfolio customization options
Ability to fund in-kind
Individual security ownership

NexPath offers unique advantages that traditional mutual funds and ETFs simply cannot match, providing enhanced tax efficiency and personalization options for sophisticated investors.

Unprecedented Portfolio Personalization

With over 70 levels of customization, NexPath allows you to align your investments with your values while maintaining index-like performance and risk characteristics.

ESG & Values-Based Screening

Exclude companies based on environmental, social, and governance criteria or personal values

Sector & Geographic Tilts

Overweight or underweight specific sectors, countries, or regions while maintaining diversification

Risk Management Overlays

Implement additional risk controls, volatility targets, or factor exposures

Tax Optimization Preferences

Configure harvesting aggressiveness, holding periods, and loss recognition strategies

The NexPath Investment Process

A systematic, five-step approach to building and managing your customized, tax-efficient direct indexing portfolio.

Index Selection & Analysis

Choose from major indices including S&P 500, Russell 1000, MSCI World, or custom benchmarks.

Our team analyzes the selected index’s composition, sector weightings, and historical performance characteristics to optimize the replication strategy.

Personalization Configuration

Configure up to 70 levels of customization including ESG screens, sector tilts, and exclusions.

Work with our advisors to implement values-based screens, avoid specific companies or industries, and set risk parameters aligned with your investment philosophy.

Portfolio Optimization

Advanced algorithms build your customized portfolio while minimizing tracking error.

Our proprietary optimization engine selects the optimal subset of securities to replicate index performance while implementing all customizations and maintaining liquidity.

Implementation & Funding

Seamless portfolio launch with in-kind transfers or cash funding options.

Transfer existing securities directly into the strategy or fund with cash. Our transition team manages the process to minimize market impact and tax consequences.

Ongoing Management

Daily monitoring, tax-loss harvesting, and rebalancing to maintain optimal performance.

Continuous portfolio surveillance identifies harvesting opportunities, manages corporate actions, and rebalances to maintain benchmark tracking and customization goals.

Ready to Transform Your Portfolio Strategy?

Discover how NexPath Custom Indexing can enhance your after-tax returns through advanced tax optimization and unprecedented personalization.