In an effort to provide additional wealth-building opportunities and services to your clients, we are pleased to announce our new Alternative Investment Network. The Alternative Investment Network provides an open architecture that helps control operational costs, mitigates risk and moves the industry toward establishing alternative investment best practices.
The network is the logical next step in Pershing’s alternative investment strategy, which began to take form with our pioneering, 2008 membership in the Depository Trust & Clearing Corporation’s (DTCC) Alternative Investment Product (AIP) platform.
The Alternative Investment Network offers:
Access for all account types. Alternative investments can now be held in both retirement and retail accounts. This enables your firm to manage all client assets seamlessly and efficiently, and allows Pershing to hold proprietary funds in clients’ retail and retirement accounts.
NOTE: Only alternative investment products offered by the DTCC AIP platform are eligible for Pershing’s Alternative Investment Network.
Transparency. Leveraged, leading-edge technology via Pershing’s partnership with the DTCC, ensuring that all transactions performed, and information reported, will be secure, accurate and timely.
Cost-effectiveness and flexibility. In addition to a limited no-fee platform, an expanded lineup of investment products on a single network provides ease of investment management and oversight, without incurring additional costs in building a new infrastructure.
Not a Static Network
Pershing will continue to build the network by regularly adding new products. A new document, Pershing’s Participating Alternative Investment Product list, will be updated with new alternative investment products. The list can be found in the Material Catalog via the Resources tab in NetX360™.
You can also search for an alternative investment using the search function in NetX360. Click on the search link, then select the Security tab and enter the security’s information in the window that opens up. At the bottom of the results page, under Basic Information, the DTC Eligible field will indicate if the security is available through Pershing’s Alternative Investment Network.
For additional processing information, please refer to the Task Reference sheet entitled “How to Consolidate Alternative Investments into a Brokerage Account,” in the Learning Center, also accessible via the Resources tab in NetX360.
In addition to no-fee and fee-based products offered through Pershing’s Alternative Investment Network, we also continue to provide custody services for certain other retirement account products. These accounts will be processed by Pershing’s Alternative Investments Operations department and will include:
- Alternative investments that currently do not participate in our Alternative Investment Network
- Hedge fund products
- Private equity
- Limited partnerships
- Limited liability corporations
- Non-traded real estate investment trusts (REITs)
- Direct participation programs (DPPs)
- Managed futures