The 1st Global-affiliated, tax-centric CPA firms that offer wealth management have access to a broad variety of complex and sophisticated investment vehicles including alternative investments. These types of investment vehicles provide qualified investors with exposure to markets and strategies that cannot be accessed through traditional fixed income and equity markets.
- Separately Managed Accounts
- Hedge Funds
- Real Estate Investment Trusts (REITs)
- 1031 Exchanges
- Structured Investments
- Other Direct Participation Programs
Please note that there are special risks of investing in Limited Partnerships, Business Development Companies and REITs such as lack of liquidity and potential adverse economic and regulatory changes. For this reason, there are minimum suitability standards that must be met. Investors should read the prospectus carefully before investing.
Hedge funds are speculative investments and are not suitable for all investors. The funds are only open to qualified investors who are comfortable with the substantial risks associated with investing in hedge funds. Structured products are not guaranteed investments and the nature of construction is complex and involves risks. You need to speak with your Financial Advisor prior to purchasing any investment products.
1st Global Capital Corp. ("1st Global") offers many mutual funds to investors. We believe it is important that our registered representatives evaluate these funds in order to assist investors in selecting those that best meet their needs. We currently offer mutual funds sponsored by more than 100 companies. Because there are more than 8,000 mutual funds available for sale in the United States, we focus on a select group of some of the largest and most well-known mutual fund families that offer a broad spectrum of investment products. This group of fund families has greater access to our representatives to provide training and other educational presentations and product information so that they can serve investors better. These fund families are participating in our Premier Partner Program.
The following fund families currently participate in the Premier Partner Program: Invesco, Fidelity Funds, John Hancock, OppenheimerFunds and Prudential Investments, LLC.
In addition to the customary sales charges in connection with sales of mutual funds, Premier Partners make payments to 1st Global to participate in the program. First, 1st Global receives a payment of up to 0.68 percent (68 basis points) of an investor's total purchase amount of a mutual fund through a 1st Global registered representative (the "Gross Sales Payment"). If, for example, an investor invested $10,000 in a fund, 1st Global would be paid up to $68. Second, for as long as the investor holds that fund or another fund within the same fund family into which he or she has exchanged, 1st Global will receive an additional payment, paid quarterly, of up to 0.1 percent (ten basis points) per year of the amount held (the "Assets Under Management Payment"). For example, on a $10,000 holding 0.1 percent is $10. Third, 1st Global receives flat amount payments of up to $27,000 per year (“Flat Amount Payment”). These payments are made by the mutual fund's distributor, investment advisor or other related entity. The participants in the Premier Partner Program and/or their affiliates make aggregate payments based on the formula set forth above.
Registered representatives of 1st Global do not receive additional selling compensation in connection with sales of mutual funds offered by our Premier Partners, as opposed to other mutual fund families.
We currently offer variable annuities issued by approximately 45 sponsors. Because of the large number of companies offering these products, we have chosen to focus on a select group of some of the largest and best known, which offer a broad array of products and options. These companies have greater access to our representatives to provide educational and training opportunities. These companies are participating in our Premier Partner Program.
At present, the variable annuity issuers that participate in the Premier Partner Program include the following companies: AXA, Guardian, John Hancock, Nationwide, and Penn Mutual.
In addition to the customary sales charges in connection with sales of variable annuities, Premier Partners make payments to 1st Global to participate in the program. 1st Global receives a payment of up to 0.25 percent (25 basis points) of an investor's total deposit into a variable contract (the "Gross Sales Payment"). If, for example, an investor makes a deposit of $10,000, 1st Global would receive up to $25.00. In addition, 1st Global receives flat amount payments of up to $42,000 per year (“Flat Amount Payment”).
1st Global representatives do not receive a greater or lesser commission in connection with sales of variable annuities contracts by Premier Partners as distinct from other annuity companies.
529/COLLEGE SAVINGS PLANS
SENIOR INVESTOR INFORMATION
Order Execution and Routing Practices