Custodian & Trustee Services

As an independent money manager, Stellar specializes in portfolio management services. We do not sell trustee services, demand custody of our clients assets, or receive commissions on investment products. This unbundled, or unbiased approach is key to Stellar's ability to act as a prudent fiduciary of client assets.

Stellar uses a wide range of custodians for client assets, as detailed on the "account links" page of this website. Many factors, such as ancillary services, cost, location, personnel, ability to electronically interface with our and our clients current systems and programs go into determining the right custodian for a client. These custodians offer the full range of SIPC, FDIC, and other investor protections.

Stellar clients can use a number of corporate trustees, including both local to nationally respected trust companies, and those offering trustors and their legal advisors the ability to use the most advantageous state trust laws. Some trustees require custody of client assets, while others will serve as a directed trustee. The important aspect of these services is the ability to bifurcate (separate) the functions of trust services and portfolio management services, permitting trustors and beneficiaries to select the best combination of service providers.

This flexibility also produces cost efficiencies including low commission rates, reasonable trustee fees, and more competitive bond pricing. Bond pricing seems simple on the surface: bid and asked prices, and no commissions. However, the bid and asked prices vary considerably from broker to broker and include in them the equivalent of commissions. Our ability to do business with many brokers on bond transactions allows us to drive better deals, and typically results in substantial savings for our clients.