The Colony Group, LLC is a fee-only independent wealth management firm with several offices throughout the U.S. The financial advisor offers investment advisory and wealth management services to a range of clients, and it currently has more than $7.6 billion in assets under management (AUM). The firm has more than 10,000 clients.
The Colony Group Background
The Colony Group was founded in 1986 and provides financial services for high-net-worth individuals and families. Over the years, the firm’s client base expanded to include corporate and institutional clients. The financial advisor has also merged with a number of advisory firms, including Mintz Levin Financial Advisors, Prosper Advisors and Jones Barclay Boston.
Colony Group’s financial professionals possess a range of degrees, certifications and professional designations that the firm says it utilizes in its team-oriented investment service.
What Types of Clients Does The Colony Group Accept?
The Colony Group offers services to a range of clients, including individuals, family offices, trusts, retirement and profit sharing plans, institutions and charitable foundations.
The Colony Group Minimum Account Sizes
For equity or fixed-income accounts, the firm encourages individual clients to have an account size of at least $500,000. But clients and their advisors may still set a higher or lower minimum value, depending on the account(s) under management. For alternative investments, private offerings or third-party separate accounts, the minimum account size varies depending on the investment vehicle, the manager and/or the platform.
Services Offered by The Colony Group
The Colony Group offers a range of advisory services to businesses, institutions, individuals and families. The firm also offers sub-advisory services to other advisory firms. Its services include:
- Investment management services
- Proprietary equity, fixed-income, and alternative strategies
- Mutual funds and exchange-traded fund strategies
- Alternative investments and other private offerings
- Third-party separate account managers
- Financial counseling services
- Investment planning
- Retirement planning
- Tax planning
- Estate planning
- Cash flow planning
- Philanthropic planning
- Education planning
- Risk management
- Tax return preparation
- Family Office Services
- Business Management Services
- Monthly updates and reporting
- QuickBooks set up
- Signatory authority set up
- Interested party set up
- Bill pay and accounts receivable processing
- Budget and cash flow planning
- Dispute resolution services
- Forensic accounting
- Income and asset division
- Disposition or reallocation of assets
- Risk assessment
- Financial impact
- Sub-advisory services
The Colony Group says it strives to provide holistic and personalized financial advice that’s comprehensive and unbiased. It believes in putting its clients’ interests first and touts on its website that it only merges with other firms who share the same values. In addition, personalized service and objective wealth management are just a few of the firm’s top priorities. Colony Group also has a fiduciary responsibility. To enhance client success, the firm utilizes a team-oriented approach to reaching financial solutions, as well as creative planning and technology. If necessary, the firm may seek assistance from other financial institutions in helping determine the best and most personalized plan for its clients.
The Colony Group also strongly believes in giving back to the community. The firm has launched several initiatives to benefit local community groups and youth programs. Through the firm’s Colony Cares fund, it raises money to donate to various charities.
Fees Under The Colony Group
The Colony Group retains the discretion to negotiate management fee arrangements with both prospective and existing clients, and the firm may also make exceptions to its fee schedule on a case-by-case basis. For financial counseling services, the annual fee depends on the scope of work outlined in the advisory agreement. Client fees for family office services either come as a flat annual fee, or an hourly fee ranging from $95 to $275.
The fees for the firm’s business management services range from $95 to $275 per hour. Similar to the fee structure for its financial counseling services, the fees for tax compliance services also depend on the scope of work. Fees for dispute resolution services are generally $275 per hour. When it comes to payment, the firm normally deducts the fees from the client’s investment account(s) held by its custodian. In addition, fees are typically billed in advance or on a quarterly basis. Below, we look at the investment management fee schedules for individuals and families and institutional clients.
Investment Services for Individuals and Families
|Amount of Assets||Annual Management Fee|
|Next $3,000,000 or portion thereof||0.90%|
|Next $5,000,000 or portion thereof||0.80%|
|Next $20,000,000 or portion thereof||0.60%|
|Next $20,000,000 or portion thereof||0.50%|
Investment Services for Institutional Clients
|Amount of Assets||Annual Management Fee|
|Next $5,000,000 or portion thereof||0.40%|
|Next $10,000,000 or portion thereof||0.30%|
|Next $10,000,000 or portion thereof||0.10%|
The Colony Group Awards and Recognition
The firm’s most recent award was in 2018 when it won the 2018 Trailblazer IMPACT Award through Charles Schwab & Co., Inc.’s Impact Awards program. The firm received the award for being a top leader in the financial services industry. The Colony Group also received the Best-In-Business IMPACT Award in 2010.
What to Watch Out For
There generally isn’t much to be wary of when it comes to the Colony Group. The firm offers client-centered financial services and makes exceptions to its fee structure on a case-by-case basis. But it does have one minor disclosure, explained below.
The Colony Group doesn’t have many disclosures, just one incident in which one of its affiliates conducted investment business without the proper registration. The affiliate, Frederick T. Baird, served as the principal of an advisory firm with which Colony Group had merged -- Aurora Financial Advisors. After the Commonwealth of Massachusetts Securities Division found Baird in violation, the Secretary of the Commonwealth issued a consent decree, and Baird received a $40,250 fine.
Opening an Account With The Colony Group
The firm offers various options for getting in touch. Prospective clients can send a message to the company by filling out the contact form on the firm’s website. You can also contact any of the firm’s offices by phone, or you can stop by the offices and speak with a representative.
Where is The Colony Group Located?
The Colony Group is headquartered in Boston at 2 Atlantic Avenue. But the firm also has other offices in Massachusetts, New York, Virginia, Florida, Colorado and Maryland.
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All information was accurate as of the writing of this article.