NewEdge Advisors LLC is a Baton Rouge-based advisory firm with billions in assets under management (AUM). The fee-based financial advisor serves a range of individual and institutional clients. Though NewEdge specializes in investment advisory services, it offers numerous other wealth management services.
NewEdge Advisors LLC Background
Established in 1981, NewEdge Advisors is the new brand name for the merger of GWM Advisors and Mid Atlantic Financial Management. GWM Advisors survived, which was owned by Goss Advisors. Goss was a partnership that began conducting business in 2012. Jerry Gross is the firm’s chairman, founder and advisor while Alex Gross serves as a co-founder, advisor and CEO. George F. Sins III is chief investment officer (CIO).
The firm’s team includes two members with the chartered financial analyst (CFA) designation.
NewEdge Advisors has earned the Financial Times’ Top 300 Financial Advisers awards in 2017, 2018, 2019 and 2020. The awards are primarily based on AUM, years in existence, asset growth, credentials and other factors.
NewEdge Advisors Client Types and Minimum Account Sizes
NewEdge serves individuals and high-net-worth individuals, charitable organizations, trusts, estates, pension and profit-sharing plans, corporations and other businesses.
The firm’s minimum account size varies based on account type. NewEdge utilizes advisory programs, and the minimum requirements for these programs generally range from $15,000 to $100,000.
Services Offered by NewEdge Advisors
NewEdge offers the following advisory services:
- Portfolio management
- Financial planning
- Pension consulting
- Selection of other advisors
NewEdge Advisors Investment Philosophy
NewEdge says on its website that its mission is to help its clients develop a clear financial plan for the future. In working toward this mission, the firm employs various securities analysis methods when conducting investment research. These include charting analysis, cyclical analysis, mutual fund and/or exchange-traded fund (ETF) analysis, third-party money manager analysis, technical analysis and fundamental analysis.
The firm utilizes an array of investment strategies and products, including asset allocation, debt securities, ETFs and mutual funds, fixed income investing, long- and short-term purchases, margin transactions, short sales, individual stocks, options and trading.
Fees Under NewEdge Advisors
For financial planning and consulting services, NewEdge charges on a flat-fee basis for both one-time and ongoing financial planning and consulting. Annual flat fees for such services don’t exceed $200,000. The firm may charge asset-based or flat fees for pension consulting services. Asset based fees for these services won’t exceed 1.50% of AUM, and annual flat fees won’t exceed $60,000.
NewEdge clients pay fees for referrals to third-party advisors, and clients using advisory programs encounter fees up to 3.00% of AUM. Wrap fee clients pay fees that don’t exceed 2.50%, while non-wrap clients incur transaction fees from trades carried out by their custodian.
What to Watch Out For
Representatives of the firm are licensed as broker-dealers, allowing them to earn commissions from the sale of certain investment products. This can create a conflict of interest if advisors favor such products over other investments that may be more suitable to a client’s needs. However, the firm says it honors its fiduciary obligation to work in each client’s best interest.
The firm’s latest Form ADV filed with the SEC lists two disclosures. The firm was accused of breaching its fiduciary duties to certain clients and failed to disclose adequately matters related to its mutual fund share class selection practices and the fees the firm received. The firm was provided with a ensure and cease and desist as well as paying a $300,000 fine to go along with a disgorgement of $900,069.
Opening an Account With NewEdge Advisors
Are you interested in investing with NewEdge Advisors? To set up an appointment with an advisor, you can visit the firm’s New Orleans office, or you can call the firm at (504) 609-3694.
All information was accurate as of the writing of this article.
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