FAQ

We understand that there you may have questions when you’re looking to invest your money. If you have any questions that are not covered by our FAQ please get in touch with us and we’ll be happy to help and advise you on your investments.
What does it mean to be a fiduciary?

Frequently Asked Questions

What does it mean to be a Fiduciary?

As a fiduciary, we are legally bound to act solely in the interests of our clients. In finance, the fiduciary standard is the single highest standard of care in an asset manager/client relationship. We take this obligation very seriously, and to that end, we have built our business purposely in a structure that is maximally beneficial to our clients.

As a Fee-Only financial advisor we are only paid by the fee that our clients pay us. This means we don’t receive any commissions or referral fees for recommendations of financial products or services we give to our clients. By working with an advisor who is Fee-Only you know for sure that you will be receiving objective financial advice. Someone who is Fee-Based may work for a fee but also has the ability to receive commissions, it’s difficult for you to be sure how much you are really paying for advice with a Fee-Based or commissioned based financial advisor. RIA stands for Registered Investment Advisor, as a registered financial advisor with New York, New Jersey, and Connecticut, we have a fiduciary obligation to put our clients’ interests above our own. A financial advisor who is not an RIA is working more like a stock broker and is considered a registered representative of a larger firm and does not have a fiduciary obligation to put the clients’ interests first.

All assets are custodied at our third-party broker clients. We use TD Ameritrade Institutional as our management platform, because TD Ameritrade has an outstanding balance sheet and low transaction costs. Your account is in your name, with your own login access, we simply build the strategy and execute on it for you. At no point do assets ever end up within our custody.

We are a “fee-only” advisor which means we get paid a fixed percentage of the assets under management in your account. We do not sell a single product and do not engage in any commission-based business. Clients may pay brokerage transaction fees for certain equity securities, which are charged by TD Ameritrade. Combined with our very low turnover (we make as few transactions as possible on an annualized basis), these transaction fees have little impact over the long-run.

We pride ourselves on being available to our client’s needs. Communication is immensely important and everyone is free to speak with the Advisor making the actual decisions on your accounts.

Each of the RGA partners invest in the very same securities that our clients do, based on the same principles.

All investment research is done in-house at RGA. We diligently inspect each potential investment to determine whether its risk/reward profile fits our clients’ needs.

Your investments are held with our third party custodian, TD Ameritrade. We never custody any of your investments. As your fiduciary, we can only execute trades in your account and bill for our services. We never have the ability to withdraw your investments. You will receive two sets of statements: one from TD and one from us.

TD Ameritrade, our custodian, is a member of the Securities Investor Protection Corporation (SIPC). The assets you have with TD Ameritrade are insured by the SIPC up to $500,000 for each separate account, including up to $100,000 in cash. TD Ameritrade is 45% owned by Toronto Dominion Bank one of the few AAA rated banks in the world. Unlike most of the other large brokerage firms, TD Ameritrade did not take any TARP money from the government in 2008/2009.

Investment fees and other expenses are no longer deductible per ‘Miscellaneous Deductions Subject to the 2% AGI Limit” in IRS Publication 529 (December 2019).