Will I have to sell my current portfolio holdings to work with Perigon?
We are generally able to work with your current holdings and don’t force the sale of assets. Most assets are transferable to our custodial bank via electronic transfer. Some assets may need to be sold prior to Perigon managing your portfolio. For clients with concentrated positions, we put a plan in place to diversify your risk and manage around your tax situation. We are always mindful of your overall tax consequences when managing your portfolio.
Who holds my money?
Perigon does not hold or custody any client assets. However, each of our clients is required to have an approved bank or brokerage custodian account independent of Perigon. Some of the largest banks and brokerage firms including Wilmington Trust, Fidelity, Charles Schwab and Wells Fargo Bank are recommended.
How do I know that you won’t run off with my money?
Assets managed by Perigon and held in custody by your independent custiodian are not property of the custodians or of Perigon and are separated from any other assets belonging to the custodians or of Perigon. Any money moving out of your account must be made through your custodian with your written approval. No creditors of the custodians or of Perigon have access to the assets in client accounts to satisfy financial obligations of the custodians or of Perigon.
Is my account insured?
Some deposits held by the custodians are insured by the Federal Deposit Insurance Corporation (FDIC) and/or by the US Treasury's Temporary Guarantee Program. However this is limited to cash balances eligible for such coverage. In addition, each client account is covered by other layers of insurance from Perigon and from the independent custodians. Perigon has professional liability insurance of $1,000,000, management liability of $1,000,000 and for employee benefit plans, $250,000 per occurrence. Protection provided by the custodians varies but generally includes coverage by the Securities Investor Protection Corporation (SIPC) up to $500,000 and "excess SIPC" coverage by Lloyd's of London or others that approach $2,000,000 per account or $1 billion dollars in aggregate. It should be noted that insurance coverage provided by Perigon and the custodian, do not protect against losses incurred in the market value of securities held in accounts.
Will my smaller size portfolio receive as much attention as your larger ones?
Yes. Our portfolios hold what we believe are the best investment choices in all asset classes. Regardless of the size of a portfolio, our portfolios generally hold similar investments. As our opinion of an investment changes, we make a change on all our portfolios at once (unless there is an account specific reason why not to make a change). None of our clients get preferential treatment.
Do you consult me before making trades in my account?
When we take on a new client, we set investment guidelines, restrictions, and initial recommended transactions which are all approved by our client. Once an investment program is underway, we normally have discretionary management (following the approved investment guidelines) to execute trades. Our clients receive confirmations of all trades done.
Does Perigon have a minimum account size?
Our account minimum is $1 million.
What are your fees?
Equity & Balanced Accounts:
Annual account fee:
1.20% on the first $5 million;
1.00% on the next $10 million;
0.65% on the next $15 million;
After is negotiable.
Minimum fee is $12,000.
Fixed Income Accounts:
Annual account fee:
0.45% on the first $20 million;
0.25% on the next $20 million;
After is negotiable.
Minimum fee is $13,500.
Cash Management Accounts:
Annual account fee:
0.35% on the first $20 million;
After negotiable.
Minimum fee is $10,500.
Retirement Plan Services:
Annual account fee:
0.50% on the first $5 million;
0.40% thereafter;
Minimum fee: $10,000.
Wealth Advisory:
Depending on an analysis of the volume and complexity of each client's situation, we offer two wealth advisory fee arrangements that are pre-negotiated and billed in advance:
One time project consulting: $250/hour;
$1,500 minimum;
Annual retainer: $10,000 minimum.
Will Perigon be able to conduct business in the event of a natural disaster or major emergency?
We have a disaster recovery plan which includes daily back-up of account data to a secure offsite location. Our disaster recovery plan will allow us to resume normal operations very quickly. Regardless of what disaster may occur at our facilities or to our personnel, all client assets remain safely in custody at major financial institutions.