An interesting fact about independent firm Sendero Wealth Management is that its ownership is allocated between the following two partners: Sendero Partners and a passive client investor who holds 11% of the firm. Sendero Wealth is a fee-only financial advisor firm that provides investment advisory and private wealth management services to mostly high-net-worth individuals. The firm is located in San Antonio, Texas.
Sendero Wealth also ranks on our list of San Antonio's top financial advisors.
Sendero Wealth Management Background
Sendero Wealth Management can trace its roots back to 2000, when it was a financial advisor division of Redstone Consulting, LLC, a subsidiary of Redstone Federal Credit Union. However, it only became a sovereign firm in 2008. The parent company and owner of Sendero Wealth Management is Sendero Partners, which is under the principal ownership of chairmen Fred Middleton and Scott McMillian.
The upper management team at Sendero boasts some impressive qualifications. Chairman emeritus Fred Middleton was once the chairman of the District Business Conduct Committee of the National Association of Securities Dealers, the predecessor to FINRA. As a whole, the firm’s team includes some certifications that include certified public accountants (CPAs), chartered financial analysts (CFAs) and certified financial planners (CFPs).
Sendero Wealth Management Client Types and Minimum Account Sizes
Over 70% of Sendero Wealth Management’s client base is made up of high-net-worth individuals, as this type of client is the firm’s specialty. However, it also works with families, charitable organizations and endowments.
If you’re looking for traditional advisory services from Sendero, you will need a minimum of $1 million in investable assets
Services Offered By Sendero Wealth Management
Wealthy individuals and families tend to have more complex financial needs. As the vast majority of Sendero Wealth Management’s clients are high-net-worth investors, it should come as no surprise that the firm offers a wide range of services:
- Traditional advisory services
- Comprehensive, family-centric approach
- Utilization of both traditional and alternative investment managers
- Organization of wealth
- Simplification of wealth management
- Open architecture portfolio manager selection
- Locate and hire third-party investment managers
- Expert oversight
- Tax minimization
- Liquidity considerations
- Investment management
- Idea generation
- Investment research
- General investment advice and education
- Strategic asset allocation
- Family governance
- Consistent performance reporting
Sendero Wealth Management Investment Philosophy
Sendero Wealth Management is focused on managing client assets not for short-term returns but rather for long-term success. The firm’s ideology is centered around being “conservative” and taking a “stay wealthy” approach.
The investments that Sendero chooses for its client portfolios vary, but it does have a few that it favors on a consistent basis. These include traditional equity securities, fixed-income securities, alternative investments, real estate, private equity and non-correlated asset class investments.
Fees Under Sendero Wealth Management
Sendero Wealth Management offers various advisory fees for its holistic wealth management services, but the firm doesn't specify the exact fee amounts in its Form ADV. For these services, the firm charges clients on the last day of each quarter in advance based on the account market value, and fees are based on the market value of the invested assets for the preceding calendar quarter.
The annual fee for advisory services is based on the market value of the assets under management. The firm uses a tiered schedule with a maximum fee of 1.10% on the first $1,000,000 with lower rates on higher tiers.
Any third-party investment manager fees will be billed by the third-party investment manager.
What to Watch Out For
There are no disclosures to report for Sendero Wealth Management. However, potential clients should be aware of the fact that the firm specializes in serving the wealthy.
Opening an Account With Sendero Wealth Management
If you’re in the San Antonio, Texas area, stop by Sendero Wealth Management to meet with an advisor. You can also call the firm to set up an appointment.
All information is accurate as of the writing of this article.
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