Forming an RIA
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This board is horrible. No way to go back and edit/delete a post.
Web address:
http://www.pacificlife.com/Channel/News/Older+Press+Releases /010815
Sorry.
C
Fellow RIAs,
I just started my RIA and was wondering about custodians. Does Schwab, Fidelity, TD Waterhouse, etc. require a minimum amount of assets for a RIA to custody with them?
It seems all these guys are pushing guys in the B/D world to go RIA and they have all these programs to help you transition so I would assume they would take on new RIAs, but I have heard somewhere that they may require a min. asset level to custody with them.
If that is the case, what custody companies do you guys know that will require low or no minimums?
[quote=NoBD]
Fellow RIAs,
I just started my RIA and was wondering about custodians. Does Schwab, Fidelity, TD Waterhouse, etc. require a minimum amount of assets for a RIA to custody with them?
It seems all these guys are pushing guys in the B/D world to go RIA and they have all these programs to help you transition so I would assume they would take on new RIAs, but I have heard somewhere that they may require a min. asset level to custody with them.
If that is the case, what custody companies do you guys know that will require low or no minimums?
[/quote]Schwab and Fido both have minimums. Fairly substantial from what I recall. Don't know about the others. I'm a lowly IAR so perhaps others can help.......
I’m not sure there is a hard and fast rule to this question.
When we were going through our due dilligence process, we noted one
RIA through Fidelity who only had $4 million AUM.
I’ve heard that they may have minimums, but have yet to see them turn
someone away. Fidelity is more agressive in terms of business
development than Schwab, and may be more open to a newer RIA.
I know that Schwab and Fidelity most likely would be more strict in terms
of enforcing a minimum. However, TD Waterhouse is new in the RIA
game and may be much more open to a new RIA. I’d try them.
I’d urge you to Call Schwab, Fidelity, and TD to find out what they’d be
willing to take.
Good luck.
C
[quote=forge1]
Captain
From where or whom are you buying you bonds?
[/quote]We work through Fidelity’s Institutional Brokerage Group, and have access to
their inventory, and the inventory of most of the BD’s on the street. If we
want to trade a bond out of Fidelity’s inventory, there is no ticket charge to
the client. If we trade away, the client pays a small fee (uner $40). Fidelity
has excellent pricing, and we’ve not had very many chances (or reasons) to
trade out of another firm’s inventory.
C
No BD and Forge1,
I started with Ameritrade before the merger with TD and there was no minimum. They do also have a big inventory of Bonds.
I would look into Fidelity as Captain suggested since they have a bigger selection of products including 401ks.
[quote=bcm48]I would look into Fidelity as Captain suggested since they
have a bigger selection of products including 401ks[/quote]
Also more name recognition with clients.