12 See yourself as an RIA.
RIA LAUNCH GUIDE
Step 4: Select your key partners.
Choose your custodian.
A good place to begin is by choosing a custodian to safeguard your client assets. The right
custodian can offer guidance on technology and connect you with providers that can help
deliver a seamless experience for your clients.
Not all custodians are created equal. The right custodial partner will:
• Protect your clients' assets
• Charge competitive and transparent fees
• Provide consistent and high-quality custodial services and operations
• Offer technology and integrations that support your business, your way
• Be a stable partner, and a good cultural fit without conflicts of interest
Protection and stability
How financially stable are they?
Are client securities registered in street
name or directly in client name?
What's the company's history and
commitment to servicing RIAs?
Fees and transparency
Are their fees transparent?
Do they lend client securities?
Do they accept payment for order flow?
Do they charge fees on any of the following:
• Transaction fee surcharges on certain mutual funds?
• Paper statement and confirmation fees?
Services and operations
What is their service model?
Can they support the types of investments you plan to use?
What other services do they offer?
Technology
Do they offer technology that you can leverage
to streamline or scale your business?
Do they support integrations with
technology that you plan to use?
Are they equipped with technology for integrated reporting?
Fit
Do you look like most of the firms they work with?
Do they engage in hypothecation of securities through margin?
Does the custodian's retail presence overshadow or compete
with RIAs?
The more you can leverage
the services and resources
of your custodian, the more
quickly you can launch
and grow your RIA.
The following questions can help you evaluate a custodian:
Learn more
about our
custody
services
for RIAs
through SEI
Private Trust
Company
(SPTC).
