Working with U.S. Asset Management FAQs

Q:  Is my money safe with U.S. Asset Management?

A:  Absolutely.  U.S. Asset Management is regulated by the U.S. Securities and Exchange Commission and is required to hold your investments with a qualified 3rd party custodian.  Our clients’ assets are held with Fidelity Investments® of Boston, Mass.  Fidelity Investments® is one of the world’s largest providers of financial services. For more information about Fidelity Investments, visit Fidelity.com.

 

Q: What kind of protection does Fidelity Investments® offer?

A:  Securities in accounts carried by National Financial Services LLC (NFS), a Fidelity Investments company, are protected in accordance with the Securities Investor Protection Corporation (SIPC) up to $500,000. For claims filed on or after July 22, 2010, the $500,000 total amount of SIPC protection is inclusive of up to $250,000 protection on claims for cash, subject to periodic adjustments for inflation in accordance with terms of the SIPC statute and approval by SIPC’s board of directors. NFS also has arranged for coverage above these limits. Neither coverage protects against a decline in the market value of securities, nor does either coverage extend to certain securities that are considered ineligible for coverage. For more details on SIPC, or to request a SIPC brochure, visit www.sipc.org or call 202.371.8300.

“Excess of SIPC” Coverage

In addition to SIPC protection, NFS provides for brokerage accounts additional “excess of SIPC” coverage through Lloyd’s of London, together with other insurers.1

The excess of SIPC coverage will be used only when SIPC coverage is exhausted. Like SIPC protection, excess of SIPC protection does not cover investment losses in customer accounts due to market fluctuation. It also does not cover other claims for losses incurred while broker-dealers remain in business. Total aggregate excess of SIPC coverage available through NFS’s excess of SIPC policy is $1 billion. Within NFS’s excess of SIPC coverage, there is no per-account dollar limit on coverage of securities, but there is a per-account limit of $1.9 million on coverage of cash. This is the maximum excess of SIPC protection currently available in the brokerage industry.

1 Fidelity’s “excess of SIPC” insurance is provided by Lloyd’s of London together with Axis Specialty Europe Ltd., Markel International Insurance Company, XL Specialty Insurance Company, and Munich Reinsurance Co.

 

Q:  Will I get a monthly statement from U.S. Asset Management or Fidelity Investments®?

A:  Through our relationship with Fidelity Investments®, you will receive a simplified, consolidated statement each month reflecting all your investment positions and transactions in your Fidelity brokerage account.

Q:  Do you offer any “in-house” or proprietary products?

A:  No.

Q:  How much are your management fees?

A:  U.S. Asset is a fee only firm; meaning we charge a nominal percentage of the total assets under management.  Fees are quoted after we review your situation and are generally less than 1.50% annually billed quarterly.  There are no commissions, transactions charges or additional fees.

Q:  David, what happens if you become ill?

A: If I became ill for an extended period and could not perform my duties, we have professionals at my affiliate firm, Advisory Services Network, who can assist with investment management until I return.  Our staff would continue to assist you with administrative issues.

Q:  What happens if you were to die?

A:  Since your money is held with Fidelity Investments®, you would have the choice to find another independent advisor who uses Fidelity Investments® as their custodian or you could move your money to an entirely new firm with another portfolio manager whom you feel is qualified to invest for you.

Q:  What is the major benefit of investing my money with U.S. Asset Management?

A:  We pride ourselves on proactive service and providing advice with no conflicts of interest. When you work with us, you come first, and you are not just an account number.  You are a friend who has chosen to work with us above all others.   We are squarely focused on you and your priorities.  Above all, we live by:

 

Trust   Simplicity

Fair Cost   Frequent Communication

 

Fidelity Investments is an independent company, unaffiliated with U.S. Asset Management. Fidelity Investments is a service provider to Advisory Services Network and U.S. Asset Management.  There is no form of legal partnership, agency affiliation, or similar relationship between your financial advisor and Fidelity Investments, nor is such a relationship created or implied by the information herein. Fidelity Investments has not been involved with the preparation of the content supplied by U.S. Asset Management and does not guarantee, or assume any responsibility for, its content.

Fidelity Investments is a registered trademark of FMR LLC.  Fidelity Clearing & Custody SolutionsSM provides clearing, custody, and other brokerage services through National Financial Services LLC or Fidelity Brokerage Services LLC, Members NYSE, SIPC.

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