We offer our solutions exclusively on the Interactive Brokers platform. In order for us to manage money for you, you first need to sign up with us and open an account separately with Interactive Brokers. Once your account is set up at Interactive Brokers, it’s a simple process of linking your account to our Advisor Account.
Are your Solutions suitable for me?
Our solutions are focused on the top tier of your portfolio to supplement core bond and equity allocations. The minimum investment in our solutions is $125,000. Given that we charge performance fees, our solutions are only eligible for "qualified clients" as provided by Rule 205-3 under the Advisers Act. Currently, Rule 205-3 provides that in order to be a qualified client, a client must have either (i) at least $1 million of assets under the management of the investment adviser, or (ii) a net worth (together, in the case of a client which is a natural person, with assets held jointly with a spouse) which the investment adviser reasonably believes to be in excess of $2.1 million.
What type of account can I use for your solutions?
Our solutions are only available for taxable accounts with either Reg-T or Portfolio Margin Margin approval.
How are you compensated and when do you get paid?
We are compensated in arrears and not in advance based on the account value at the end of the previous quarter. At the end of each quarter, your account will be debited for any fees earned during the previous quarter. We do not charge an asset management fee. We do charge a performance fee of 12% (3% per quarter) of the net gains, if any, achieved during the previous quarter, subject to a high-water-mark test. For purposes of the high water mark test, the Account will only be assessed a Performance Fee to the extent that the account balance, after adjusting for additions and withdrawals, is higher than the highest account balance on which a performance fee was previously assessed.
How do I go about becoming a client?
The first step is to review the required disclosures and the Advisor Agreement and submit the Indication of Interest Form.
The second step is for you to independently open and fund an account with Interactive Brokers (we are not affiliated with Interactive Brokers – see Disclosure below). Once you submit the Indication of Interest Form, you will receive an email from Interactive Brokers to begin the application to open an account. Concurrently, we will email you some guidelines to facilitate the account opening and funding process. If you already have an account with Interactive Brokers and it is a Margin account, then check the box confirming this.
The third and final step is that once your account with Interactive Brokers has been approved for trading, the account can be linked to our Advisor Account to provide us with permission to make trades and implement our strategy in your account.
There are a few different options for linking your account to us depending on whether you plan to utilize Interactive Brokers for trading in other securities, separate from the solution we implement for you:
If you do not plan on using the account for other activities, then the whole account is linked to us.
If you do plan on using the account for other trading activity, then Interactive Brokers will create a separate account which will be linked to us, and you will retain access to your original account for your other activities.
Once we are notified that your account is approved for trading, we will email you with instructions on how to link your account to us.
Why Interactive Brokers?
- Low commission rates - With actively traded strategies, one of the most important factors influencing returns will be trading fees and commissions. Interactive Brokers offers some of the most competitive rates in the industry.
- Cutting edge technology platform and comprehensive reporting capabilities.
- Strength and security - In addition to an equity capital base in excess of $5 billion, customer securities accounts at Interactive Brokers are protected by the Securities Investor Protection Corporation ("SIPC"). Securities in your account are protected up to $500,000.
- Consistently rated the best online broker by Barrons.
Interactive Brokers LLC is a registered Broker-Dealer, Futures Commission Merchant and Forex Dealer Member, regulated by the U.S. Securities and Exchange Commission (SEC), the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA), and is a member of the Financial Industry Regulatory Authority (FINRA) and several other self-regulatory organizations. Interactive Brokers does not endorse or recommend any introducing brokers, third-party financial advisors or hedge funds, including UAB FMI Orion Securities. Interactive Brokers provides execution and clearing services to customers. None of the information contained herein constitutes a recommendation, offer, or solicitation of an offer by Interactive Brokers to buy, sell or hold any security, financial product or instrument or to engage in any specific investment strategy. Interactive Brokers makes no representation, and assumes no liability to the accuracy or completeness of the information provided on this website. For more information regarding Interactive Brokers, please visit www.interactivebrokers.com.
Do you take custody of my money?
No. Accounts are custodied with Interactive Brokers LLC. Account are SIPC protected up to $500,000. Clients maintain complete ownership of all portfolio assets at all times. We have access to your account for purposes of implementing our solutions but have no ability to access funds in your account. Clients have 24/7 access to their accounts to view their portfolio, trades, and net account value. In the event we were no longer in business, you could simply resume control of your assets.
Do you provide financial planning, accounting or tax advice?
Statements and Tax Documents.
Having established your account with IB, you can set up your preferences for receiving trade confirmations and statements. Clients can receive confirmations for all trades shortly after they are made followed by monthly statements from IB. You also have online access at any time to the account for checking confirmations, statements and tax documents.
What if I am not happy?
You can cancel and exit at any time without penalties, fees or any restrictions. Simply log on to your account and move the money back under your control, or let us know and we'll do it for you.
Are Non-US investors accepted?
Yes. As long as you can open an account with IB in your country, we can manage it for you. IB is available in many countries around the world. The only additional requirement for a foreign account would be the possibility of additional documentation. Sometimes certain documents are not necessary for US accounts depending on the compliance check, but documentation is almost always required for a foreign account.