Coldstream Wealth Management is a financial advisor firm headquartered in Bellevue, Washington with more than $2.6 billion in assets under management. The firm works mostly with high net worth individuals, but it also provides advisory services to individuals, investment companies, pension plans and corporations.
Coldstream was founded in 1996, and it has since grown to operate four different offices in the Pacific Northwest and serve more than 900 clients. The firm offers portfolio management, financial and tax planning, estate and consulting services to its clients.
Coldstream Wealth Management Background
Coldstream Wealth Management was founded in 1996 by Roger Reynolds and Don Gher. Reynolds still works as a relationship manager and sits on the board of directors for the firm. The firm is led by Managing Shareholder Kevin Fitzwilson. In addition to its headquarters in Bellevue, the firm has another Bellevue office, an office in Seattle, Washington and an office in Lake Oswego, Oregon.
What Types of Clients Does Coldstream Wealth Management Accept?
Coldstream Wealth Management works with individuals, high net worth individuals, investment companies, pension and profit sharing plans, charitable organizations, corporations and other businesses.
Coldstream Wealth Management Minimum Account Sizes
Coldstream Wealth Management requires a minimum account size of $2 million for portfolio management services. For corporate pension or retirement plans seeking services from Coldstream, the minimum size is $5 million. Coldstream Wealth Management may choose to waive these minimums at its discretion.
Services Offered by Coldstream Wealth Management
Coldstream Wealth Management offers a standard range of services to its clients, including the following:
- Investment advisory services
- Financial planning
- Tax planning
- Estate design
- Risk management
- Private client services
- Ultra-affluent services
Due to the firm's high account minimum of $2 million, it places a special emphasis on tax and financial planning services for the very wealthy, listed above as "Ultra-affluent services."
Coldstream Wealth Management Investment Philosophy
Coldstream Wealth Management seeks to build portfolios that combine non-correlated assets so as to balance and minimize risk without sacrificing returns. The firm frequently uses large and small cap stocks, a range of fixed income instruments, alternative investments and tangible assets like real estate and commodities. The firm relies on fundamental, technical and cyclical analysis when analyzing securities, and portfolio managers at the firm also meet regularly to review and discuss the financial and economic trends affecting portfolios.
Fees Under Coldstream Wealth Management
For portfolio management services, Coldstream Wealth Management follows this basic fee schedule:
|Assets Under Management||Fee Percentage|
|$0 - $5,000,000||1.00%|
|$5,000,001 - $15,000,000||0.85%|
|$15,000,001 - $25,000,000||0.75%|
|$25,000,001 and above||Negotiable|
These fees will be paid quarterly in advance based on the market value of your account of the last day of the prior quarter. For clients with more than $2 million in assets under management and clients who are paying at least $20,000 in annual fees, financial planning services are included in addition to the standard investment services. For clients looking solely for financial planning services, fees are negotiable based on the complexity and scope of the plan being requested. These can be charged as either a flat fee or an hourly fee ranging from $50 to $250 an hour.
The below table shows how Coldstream Wealth Management's fees compare to the national median. Remember that these are only estimates and actual fees may vary.
|Estimated Fee Comparison*|
|Your Assets||Coldstream Wealth Management||National Median Advisory Fees**|
|$500K||N/A (below account minimum)||$5,000|
|$1MM||N/A (below account minimum)||$8,500 - $10,000|
|$5MM||$50,000||$25,000 - $32,500|
|*Fee estimates only consider the maximum base fees for the services each firm provides. You may also pay manager fees and other fees, which can vary in amount. **All figures are based on median fee levels according to Bob Veres' 2017 Planning Profession Fee Survey. The above estimates solely take into account AUM-only fees. Total costs will likely be higher due to additional expenses.|
What to Watch out For
Some advisors at Coldstream Wealth Management are also registered representatives of Coldstream Securities, Inc., which is a registered securities broker-dealer. These advisors may receive commissions when conducting certain securities transactions in their capacity as Coldstream Securities representatives. The receipt of these commissions generates a potential conflict of interest since advisors will have an incentive to direct clients toward securities that will generate commissions.
Further, Coldstream Wealth Management participates in advisor referral programs with Fidelity Brokerage Services LLC and TD Ameritrade, Inc. The programs differ in specifics, but in general, the firm pays for successfully referred clients and is incentivized to recommend that these clients custody their assets with the brokerage service that referred them. This incentive creates another potential conflict of interest.
These potential conflicts of interest are clearly disclosed in the firm's Form ADV, which is a form that all financial advisor firms with more than $25 million in assets under management must file with the SEC.
While clients should know about these potential conflicts, they can rest easy knowing that the firm is bound by fiduciary duty, which means that it’s bound by law to always act in the best interest of its clients.
Coldstream Wealth Management doesn’t have any disclosures.
Opening an Account With Coldstream Wealth Management
If you’d like to get in touch with Coldstream Wealth Management, the easiest way is to fill out the contact form on the firm’s website. The form will ask for your name, email address, phone number, company, asset range, area of interest and brief message. If you’d like to contact a specific office, the respective phone numbers are listed on the contact page of the firm’s website as well.
Where Is Coldstream Wealth Management Located?
Coldstream Wealth Management has four different offices. Two of these offices are in Bellevue, Washington, one is in Seattle, Washington and one is in Lake Oswego, Oregon. The firm’s headquarters are located on the corner of 100th Avenue NE and Lake Washington Boulevard NE in Bellevue.
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