SEI Enhances Integrated Tax Management Capabilities for Greater Portfolio Flexibility and After-Tax Outcomes
SEI adds new tax-management features that expand eligible assets and give advisors more control over portfolio transitions and realized gains targets.
Rhea-AI Summary
SEI (SEIC) announced enhanced integrated tax management capabilities for separately and unified managed accounts, aimed at improving portfolio personalization and after-tax outcomes for investors.
The updates expand the tax-management framework to include eligible mutual funds* alongside ETFs and individual securities, broaden options for transitioning portfolios with significant unrealized gains, and allow advisors to set specific annual net realized gains targets. The company said these tools support coordinated tax-loss harvesting, wash-sale awareness, portfolio optimization, and reporting as demand for scalable, tax-aware investing grows.
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News Explained
SEI announced the enhancements, but some securities remain ineligible and no particular tax result is assured.
SEI’s announced tax-management expansion includes eligible mutual funds, but its sponsored mutual funds and ETFs are expressly not currently eligible.
The release also states that SEI does not represent that the described tax consequences will be achieved; it calls those consequences complex and uncertain and says the IRS may challenge them.
Details
Market Reaction – SEIC
Following this news, SEIC has declined 0.60%, reflecting a mild negative market reaction. The stock is currently trading at $104.57. Trading volume is elevated at 2.2x the average, suggesting increased selling activity.
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AI-generated analysis. How Rhea-AI works. Not financial advice.
Expanded Mutual Fund Integration, Tax Transition, and Gains Budget Capabilities Help Advisors Align Portfolios with Investor Objectives
SEI's integrated approach to tax management is designed to incorporate tax considerations across portfolio design, implementation, trading, and ongoing management. The latest enhancements build on SEI's nearly two decades of tax overlay experience and a significant expansion of tax-management capabilities in 2025, further strengthening the firm's offering by broadening the universe of eligible securities, increasing flexibility during portfolio transitions, and providing advisors with greater systematic control over capital gains realization.
As demand for tax-aware investing continues to rise, advisors are increasingly looking for scalable ways to deliver personalized tax-management solutions. In fact,
The enhancements further support coordinated tax-loss harvesting, wash-sale awareness, portfolio optimization, and investor reporting through SEI's integrated tax-management process. New capabilities are designed to give advisors greater control and flexibility, including:
- Expanded asset eligibility designed to incorporate eligible mutual funds* alongside exchange-traded funds (ETFs) and individual securities within SEI's tax-management framework, expanding opportunities to transition existing portfolios while seeking to minimize tax consequences.
- Enhanced tax transition optionality, where a new implementation option provides greater flexibility for investors with significant unrealized gains, enabling portfolios to transition over time based on balancing tax-sensitive objectives with traditional tracking-error constraints.
- Greater gains budget control and systemization that enables advisors to establish specific annual net realized gains targets, helping them align portfolio implementation and ongoing management with investor tax preferences and planning objectives.
Erich Holland, Head of SEI's
"Investors no longer view tax efficiency as a complementary benefit to portfolio management; they expect it to be embedded in the investment process. These enhancements reflect our continued commitment to making tax management more intentional, flexible, and integrated throughout the investor experience.
"By expanding eligible assets, introducing greater flexibility for tax-sensitive transitions, and giving advisors more precise control over gains realization, we're helping them deliver a more personalized experience while seeking to improve after-tax outcomes. Tax management is not simply a feature—it is a central philosophy that should inform how portfolios are designed, implemented, and managed over time."
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BlackRock, Advisor Trends Survey, January 2026. |
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Cerulli, The Cerulli Report – |
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SEI sponsored mutual funds and ETFs are not currently eligible. |
About SEI®
SEI (NASDAQ:SEIC) is a leading global provider of financial technology, operations, and asset management services within the financial services industry. SEI tailors its solutions and services to help clients more effectively deploy their capital—whether that's money, time, or talent—so they can better serve their clients and achieve their growth objectives. As of June 30, 2026, SEI manages, advises, or administers approximately
Forward-looking statements
This communication contains forward looking statements within the meaning of the rules and regulations of the Securities and Exchange Commission. In some cases, you can identify forward looking statements by terminology, such as "may," "will," "expect," "believe," "can," "continue," "seek," or similar expressions.
SEI's forward looking statements include its current expectations as to:
• the benefits of its integrated tax-management capabilities and related enhancements for investors;
• the demand for and adoption of tax-aware investment management solutions by financial advisors and investors; and
• the capabilities of SEI's tax-management framework and the degree to which those capabilities may assist advisors in managing unrealized gains, portfolio implementation, capital gains realization, tax-loss harvesting, and investor objectives.
You should not place undue reliance on any forward looking statements, as they are based on the current beliefs and expectations of management and are subject to significant risks and uncertainties, many of which are beyond management's control or are subject to change. Although management believes the assumptions upon which the forward looking statements are based are reasonable, they could be inaccurate. Some of the risks and important factors that could cause actual results to differ from those described in SEI's forward looking statements can be found in the "Risk Factors" section of SEI's Annual Report on Form 10‑K for the year ended Dec. 31, 2025, filed with the Securities and Exchange Commission. SEI undertakes no obligation to update or revise any forward looking statements, whether as a result of new information, future events, or otherwise.
SMAs are offered through SEI's Managed Account Solutions program.
SEI Investments Management Corporation (SIMC) does not represent in any manner that the tax consequences described as part of its tax-management techniques and strategies will be achieved or that any of SIMC's tax-management techniques, or any of its products and/or services, will result in any particular tax consequence. The tax consequences of the tax-management techniques, including those intended to harvest tax losses, and other strategies that SIMC may pursue are complex and uncertain and may be challenged by the IRS. Neither SIMC nor its affiliates provide tax advice. SIMC is a wholly owned subsidiary of SEI Investments Company (SEI).
Please note that (i) any discussion of U.S. tax matters contained in this communication cannot be used by you for the purpose of avoiding tax, penalties and/or interest which may be imposed by the IRS or any other taxing authority; (ii) this communication was written to support the promotion or marketing of the matters addressed herein; and (iii) you should seek advice based on your particular circumstances from an independent tax advisor. Accordingly, Clients should confer with their personal tax advisors regarding the tax consequences of investing with SIMC and engaging in the tax-management techniques described herein (including the described tax loss harvesting strategies) based on their particular circumstances. Clients and their personal tax advisors are responsible for how the transactions conducted in an account are reported to the IRS or any other taxing authority on the Client's personal tax returns. SIMC assumes no responsibility for the tax consequences to any Client of any transaction.
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Company Contact: |
Media Contact: |
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Alicia Rudd |
Eric Hazard |
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SEI |
Vested |
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+1 610-676-3887 |
+1 917-765-8720 |
View original content:https://www.prnewswire.com/news-releases/sei-enhances-integrated-tax-management-capabilities-for-greater-portfolio-flexibility-and-after-tax-outcomes-302885043.html
SOURCE SEI Investments Company
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
Which mutual funds are excluded from SEI's expanded asset eligibility?
Within SEI's enhanced tax-management framework, SEI sponsored mutual funds and ETFs are not currently eligible for inclusion alongside other mutual funds, ETFs, and individual securities.
How do the new tax transition options support investors with large unrealized gains?
The new implementation option is designed to let portfolios with significant unrealized gains transition over time, balancing tax-sensitive objectives with traditional tracking-error constraints rather than forcing immediate realization of embedded gains.
What new control do advisors gain over capital gains realization?
Advisors can now establish specific annual net realized gains targets, so portfolio implementation and ongoing management can be aligned more closely with investor tax preferences and planning objectives.
What evidence does SEI cite for rising demand for tax-aware investing?
SEI cites research indicating that 92% of advisors serving high-net-worth investors report being asked for tax guidance, and 76% of firms identify improving tax management capabilities as a top development priority.
What is the scale of assets SEI manages, advises, or administers?
As of June 30, 2026, SEI manages, advises, or administers approximately $2.1 trillion in assets across its solutions and services.