Investment Advice Tailored To Your Needs
Saturna strives to deliver superior performance to our investors. We tailor our advisory services to your specific needs, by first conducting a thorough analysis of your financial situation, goals, and risk tolerance. The result of our review is a simple statement of investment objectives which guides investment decisions.
As an Investment Management Account (IMA) client, you will work with a primary account manager, responsible for your portfolio. Client reviews normally include assets, income, tax situation, family needs, estate planning, and risk preferences.
When advising families, we regularly advise on many aspects of the family’s financial arrangements because the assets often include retirement plans, trusts, real estate, and business interests, all of which are involved in conducting an appropriate investment program.
We believe that the appropriate method of measuring performance is to measure the return relative to the level of risk assumed in producing that return. Simply measuring a raw return can produce a false or incomplete picture. A record of high returns in some markets with steep declines in others may be more indicative of a willingness to take risk than of superior investment skills. Therefore, we believe the appropriate method is to determine any additional return over that which might have been expected for a given amount of risk assumed.
All IMA clients complete the Saturna Capital Investment Management Agreement, which details the terms of our relationship. IMAs require a minimum initial account balance of $1 million that may be waived at Saturna’s discretion.
The annual advisory fee for private Investment Management Accounts is $2,500 plus 0.5% of the first $5 million and 0.4% on amounts over $5 million; with a minimum quarterly fee of $1,250 (minimum $5,000 annually). Accounts with less than $1 million are limited to holding only equities and mutual funds. We believe this fee structure is reasonable in light of the services provided and, as such, Saturna does not generally negotiate fees. Extra fees or other arrangements may be mutually agreed depending upon the complexity of the services rendered. The following table illustrates the effective rate for accounts of varying value.
|Account Value||Annual Rate|
Clients have the option of purchasing investment products Saturna recommends through other brokers or agents not affiliated with Saturna. There are no brokerage commissions when securities are traded through Saturna Brokerage Services, Inc. (“SBS”). When clients select SBS as their broker, the single asset-based advisory fee includes investment management, trading, and custody (“wrap fee”).
Fees are computed and deducted from accounts after the end of each quarter, based on account’s value at the end of the quarter. Fees are paid arrears and deducted from client’s assets. There is no fee for the initial (partial) quarter. Either party may cancel contracts at any time without penalty. Saturna Capital may change fees only after 60 days’ written notice. The advisory agreement authorizes Saturna to deduct advisory fees directly from your account. When the agreement covers more than one related account, assets are combined when calculating annual advisory fee reductions.
To minimize potential conflicts of interest, Saturna Capital excludes client assets invested in mutual funds that Saturna Capital manages or for which Saturna Brokerage Services receives a distribution fee or other payment from the amount on which advisory fees are computed. This can substantially reduce the net fee an advisory client pays.
A wrap fee program such as those offered by Saturna may cost clients more or less than purchasing such services separately, depending on factors such as broker selection, custody services, and trading volume in the client’s account. Clients pay additional fees for services not covered under the Investment Management Agreement, such as outgoing wire transfers. For more details, please see Saturna’s Form ADV Part 2A − Appendix 1, Wrap Free Program brochure.
Saturna does not provide compensation for Investment Management Account referrals, nor does it receive cash or other economic benefits from a non-client in connection with giving advice to clients. Investment Management Accounts may involve certain conflicts of interest, described further in Saturna’s Form ADV Part 2.
Fees for Pooled Investment Funds vary by contract and are negotiated.
Our broad experience distinguishes Saturna in the investment business. Each of our employees is committed to creating and maintaining a unique firm, where client interests always come first.
We are a premier international, independent investment firm based on seven core values:
- Top-quality professionalism
- Uncompromising loyalty to clients
- Risk management
- Integrated business operations
- Investor education
- Prudent entrepreneurship
- Community contribution
Our main office in Bellingham, WA is between the Pacific Northwest's major cities (Seattle and Vancouver, BC). Employees in the Northeast, Southwest, and Midwest help us service clients across the US.