What is a Non-Discretionary Commission Account?
This type of account involves the advisory team and client discussing each, and every, trade in the account and requires that a commission be paid for each of those transactions. The cost of each trade is usually around 2% of the value of the buy or sell.
This is the account type that is typically associated with the "stock broker" type model that was operated at many investment management firms in the past.
While these accounts are still available at our firm, The Hillyard Stephen Group does not use them actively due to the potential conflicts of interest that arise through their use. We feel that a fee based remuneration structure is a much better option for aligning both investor and advisor interests.
If you are looking for a comission trading structure, please contact another team in our office.