HSAs Become Billion-Dollar Niche For JPMorgan
- Created: Monday, 02 May 2011 06:41
HSAs are different from flexible spending accounts in that contributions follow someone for life and can be invested somewhat more creatively.
This theoretically makes these accounts a new asset-based business similar to what's already happened in retirement (IRAs) and education (529s) -- only focused on paying down healthcare expenses.
JPMorgan is getting so excited about the opportunity that it just put out an extensive report on how HSAs have become a $1 billion business for the firm.
While these tend to be small accounts, they can build up into appreciable AUM, especially for advisors who court them in bulk.