Soft Dollar Programs
Investment Managers may utilize commission dollars to obtain research services by establishing a soft-dollar account with Pacific American Securities. We are committed to providing our soft-dollar clients with the following services:
- Accurate and timely trade execution.
- Competitive commission ratios.
- An accurate accounting of soft-dollar expenses vs. commissions.
- A monthly detail of soft-dollar balances.
- Effective monitoring of all soft-dollar expenses to ensure that payments are made for expenses allowable under 28(e), the safe harbor rule.
Commission Recapture Programs
Commission Recapture programs have become very popular with Pension Funds. The primary reason for their popularity is the desire of trustees to maximize returns for their participants. Pension Funds use the programs to simultaneously increase cash flow and reduce transaction costs.
Our Commission Recapture program will satisfy the following fiduciary guidelines:
- Control the assets of the Fund.
- Conserve the assets of the Fund.
- Effectively use commissions for the benefit of the participants.
We recognize that these programs are dependent upon participation of the investment managers. We encourage their participation by providing the same level of service that we provide to all of our clients. Our traders communicate regularly with our money managers. Our traders are proactive, they will not "wait by the phone" for an order.
Because every retirement plan has unique needs, we can customize a program specific to each Fund. Included in each program is a complete record keeping service that will report trade and commission breakdowns, and provide monthly and quarterly statements.