Envestnet Brochures

Foundation Series Portfolios: Low-cost, low-minimum models For accounts over $2,000, the PMC Foundation Series include five suites of portfolios designed to provide low-cost investment exposure through index mutual funds or ETFs. Smaller Account Outsourcing Active Foundation For investors seeking to outperform allocations to diversified market indices • Overview: Combines traditional asset allocation and high- conviction active managers that have the potential to deliver "alpha" • Fees: 10 bps* • Holdings: Mutual Funds • Account Minimum: $2,000 Large-Cap Growth Large-Cap Value Small-Cap Core Int'l Developed Mkts Intermediate Bond Cash Passive Foundation ActivePassive Foundation ETF Foundation 1 Source: Cerulli Retail Investor Advice Relationships 2021; and Cerulli Retail Investor Products and Platforms 2022 2 Source: BlackRock/Scale and Simplicity with Models: Why and How to Get Started 3 Source: FlexShares' "The Race to Scalability 2022" Report Definitions: Alpha: excess return earned on an investment relative to a suitable benchmark after adjusting for risk. Beta: a measure of exposure to an independent variable; in the context of asset pricing theory, beta is a measure of the systematic risk of a security or portfolio of securities. The information, analysis, and opinions expressed herein are for general and educational purposes only. Nothing contained in this brochure is intended to constitute legal, tax, accounting, securities, or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type. All investments carry a certain risk, and there is no assurance that an investment will provide positive performance over any period of time. An investor may experience loss of principal. The asset classes and/or investment strategies described may not be suitable for all investors and investors should consult with an investment advisor to determine the appropriate investment vehicle. Investment decisions should always be made based on the investor's specific financial needs and objectives, goals, time horizon, and risk tolerance. Past performance is not indicative of future results. Investors should consult with an investment advisor to determine the appropriate investment vehicle. Investment decisions should always be made based on the investor's specific financial needs and objectives, goals, time horizon, and risk tolerance. The statements contained herein are based upon the opinions of Envestnet | PMC® and third party sources. Information obtained from third party sources are believed to be reliable but not guaranteed. All opinions and views constitute our judgments as of the date of writing and are subject to change at any time without notice. Advisors should always conduct their own research and due diligence on investment products and the product managers prior to offering or making a recommendation to a client. Exchange Traded Funds (ETFs) and mutual funds are subject to risks similar to those of stocks, such as market risk. Investing in ETFs may bear indirect fees and expenses charged by ETFs in addition to its direct fees and expenses, as well as indirectly bearing the principal risks of those ETFs. Income (bond) ETFs and mutual funds are subject to interest rate risk which is the risk that debt securities in a fund's portfolio will decline in value because of increases in market interest rates. Investments in smaller companies carry greater risk than is customarily associated with larger companies for various reasons such as volatility of earnings and prospects, higher failure rates, and limited markets, product lines or financial resources. Investing overseas involves special risks, including the volatility of currency exchange rates and, in some cases, limited geographic focus, political and economic instability, and relatively illiquid markets. Income (bond) funds are subject to interest rate risk which is the risk that debt securities in a fund's portfolio will decline in value because of increases in market interest rates. PMC managed solutions are proprietary to Envestnet. As the investment advisor, Envestnet receives a product management fee based on assets invested in the PMC products. Neither Envestnet, Envestnet | PMC™ nor its representatives render tax, accounting or legal advice. Any tax statements contained herein are not intended or written to be used, and cannot be used, for the purpose of avoiding U.S. federal, state, or local tax penalties. Taxpayers should always seek advice based on their own particular circumstances from an independent tax advisor. Diversification does not guarantee a profit or guarantee protection against losses. FOR ONE-ON-ONE USE WITH A CLIENT'S FINANCIAL ADVISOR ONLY. ©2023 Envestnet, Inc. All rights reserved. Moderate Portfolio For investors who prefer a low-cost index strategy over active management • Overview: Constructed exclusively with low-cost index mutual funds to offer broad- market exposure (Beta), lower return variability, and low turnover • Fees: 10 bps* • Holdings: Mutual Funds • Account Minimum: $2,000 Large-Cap Growth Small-Cap Core Int'l Developed Mkts Intermediate Bond Cash Moderate Portfolio For investors looking to achieve both active and passive management combined in their one model • Overview: Constructed of 4 ETFs that combine active and passive strategies. • Fees: 0 bps* • Holdings: ETFs • Account Minimum: $2,000 For investors seeking low turnover and a low-cost index strategy. • Overview: Constructed exclusively with low-cost ETFs to help minimize volatility and enhance risk-adjusted returns. • Fees: 10 bps* • Holdings: ETFs • Account Minimum: $5,000 Large-Cap Growth Int'l Developed Mkts Intermediate Bond Cash Moderate Portfolio Moderate Portfolio Sustainable Foundation For investors who support both the pursuit of positive social impact and financial performance • Overview: Constructed with high-conviction managers vetted by Envestnet | PMC • Fees: 10 bps* • Holdings: Mutual Funds • Account Minimum: $2,000 Moderate Portfolio Advisors spend over 800 hours a year on investment management Approximately 40% of their yearly work hours 2 Outsourcing investment management helps free up advisors' time to focus on existing client relationships and new client acquisitions, and the Foundation Series could be a great offering for smaller accounts. 69% of advisors who want more time say they are looking for more one-on-one time with clients 3 58% of advisors say they want the time for business development 3 85% of households control less than $500,000 in assets 1 *Excludes trade processing costs, platform fee and advisor fee. A description of all fees, costs and expenses are found in a financial advisor's Disclosure Brochure. Large-Cap Growth Int'l Developed Mkts Intermediate Bond Short Bond International Bond Cash Want to dive deeper into the Foundation Series? Learn More Large-Cap Growth Small-Cap Core Int'l Developed Mkts Intermediate Bond International Bond Cash

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