SciVest SEPARATELY MANAGED ACCOUNTS
A separately managed account is an investment account set-up and owned directly by the investor themselves. SciVest is simply given authority by the investor to trade securities within the investor’s managed account in return for a small investment management fee.
The investor’s separately managed account is 100% owned by the investor – just like any other investment account set-up at a discount or full-service investment dealer/broker. As such, the investor has 100% transparency into account holdings and trades, 100% transparency and capture of account dividend income and capital gains, 100% transparency and tax deductibility of all account fees and expenses, and 100% tax transparency, flow-through and optimization of account income and capital gains and losses. SciVest only has trading authority over the managed account, with no ability to move or transfer cash or securities. In addition, Canadian-based separately managed accounts are generally covered by the Canadian Investor Protection Fund through SciVest partnered brokerage and custody platforms.
SciVest separately managed accounts may also have a base currency of either Canadian dollars or US dollars. The US dollar option may be appropriate for investors who spend a significant amount of time living and spending income in US dollar-based countries such as the United States, Bahamas, Cayman Islands, etc. With a full US dollar managed account, all reporting is in US dollars and the vast majority of capital gains and more importantly dividend income is generated in, and remains in, US dollars.
SciVest also has the ability to optimize individual separately managed accounts for either Canadian resident taxable accounts or non-taxable accounts; as well as for offshore residents who face no capital gains taxes but higher dividend withholding taxes.
Separately managed accounts advised by SciVest are generally set-up and held through either Interactive Brokers Canada Inc. or Aviso Wealth (Credential Qtrade Securities Inc).
For more information regarding SciVest separately managed accounts please contact Dr. John J. Schmitz.