Firm Info
Firm Size
Services Offered
- Portfolio Management of Pooled Investment Vehicles
Types of Clients
- Pooled Investment Vehicles
Available Fee Structures
- Percentage of Assets Under Management (AUM)
- Performance-based Fees
Stillwater Asset Management, LLC Overview
Stillwater Asset Management, LLC is a fee-only registered investment advisory firm that provides investment advice and sells additional financial products. Based in Stillwater, MN, the firm has been in business since 2020 and has built a strong reputation in the industry. The firm is dedicated to helping clients achieve their financial goals by providing customized investment solutions tailored to their specific needs. One of the key services offered by Stillwater Asset Management, LLC is portfolio management of pooled investment vehicles. The firm's team of experienced professionals work closely with clients to understand their investment objectives and develop a personalized investment strategy that aligns with their goals. This service focuses on creating diversified portfolios that spread risk across multiple asset classes and sectors. Stillwater Asset Management, LLC is committed to providing clients with world-class investment advice that helps them grow and protect their wealth. As a seller of additional financial products, the firm offers a wide range of investment options to clients, including mutual funds, exchange-traded funds, and alternative investments. Whether clients are looking to invest in fixed-income securities, equities or other alternative assets, the firm's team has the expertise and experience needed to help them make informed decisions.
STILLWATER ASSET MANAGEMENT, LLC is a renowned investment management firm that caters to a diverse clientele base. The firm focuses on providing investment advisory services to pooled investment vehicles, including hedge funds, private equity funds, mutual funds, and other institutional investors. These clients require specialized care and a unique understanding of their investment goals and objectives. STILLWATER ASSET MANAGEMENT, LLC ensures that their strategy aligns with the client's needs, and their investment portfolios are tailored to meet specific risk-return characteristics. STILLWATER ASSET MANAGEMENT, LLC offers various fee structures to clients that depend on the level of service provided. One of the most common fee structures is the percentage of assets under management (AUM). It is calculated as a percentage of the assets a client entrusts to the firm for investment purposes. This fee structure encourages the firm to grow the client's portfolio since their compensation is based on the portfolio's growth. The firm also provides performance-based fees. This fee structure is calculated based on the amount of outperformance the firm delivers to the client's portfolio. These fees ensure a fair compensation structure that aligns with the client's investment goals and rewards the firm for their exceptional performance. STILLWATER ASSET MANAGEMENT, LLC remains committed to transparency in all aspects of their client relationship, and their fee structures are disclosed upfront to maintain transparency.
Typical Clients, Fee Structures & Investment Minimum
The Part 2 Brochure for STILLWATER ASSET MANAGEMENT, LLC mentions that their Funds impose minimum investment limits that can be waived in certain circumstances as per the Fund governing documents. However, no specific investment minimum is mentioned in the brochure.
How This Office Can Help Stillwater, MN Residents
Stillwater Asset Management offers a wide range of financial services to assist clients in Stillwater, MN. One of their main goals is to help clients achieve their financial objectives through personalized strategies. They work with each client’s unique situation, including but not limited to retirement planning, estate planning, investment management, and tax minimization strategies. As the population in Stillwater, MN ages, retirement planning becomes increasingly important. Stillwater Asset Management can offer guidance to those looking to plan for retirement by creating a personalized investment strategy that aligns with the client's goals and objectives. Another common financial situation in Stillwater, MN is managing family wealth or inheritance. The advisors at Stillwater Asset Management can help families manage and grow their assets, create financial legacy plans, and handle estate settlements. Additionally, with the ongoing COVID-19 pandemic, many clients may be facing financial uncertainty. Stillwater Asset Management can help provide guidance on how to navigate these uncertain times by creating emergency funds, providing debt management services, or reevaluating investment portfolios. Overall, Stillwater Asset Management is committed to providing expert financial advice tailored to each client's individual needs.
Services Offered by Stillwater Asset Management, LLC
Core Advisor Services
Financial Planning
Financial planning services encompass the process of devising strategies for your future financial well-being, including preparing for events such as retirement, funding your child's college education, or planning for the transfer of assets.
Portfolio Management for Individuals & Small Businesses
Portfolio management entails the careful selection and strategic management of investment combinations tailored to meet the needs of individuals and small businesses.
Market Timing Services
Market timing services involve the endeavor to generate short-term profits from investments by capitalizing on opportunities to buy at low prices and sell at high prices.
Other Services
Selection of Other Advisors
The firm provides support in selecting and engaging other advisors who possess specialized expertise to complement your financial needs.
Publication of Periodicals or Newsletters
The firm engages in the dissemination of diverse financial educational materials through the publication of periodicals.
Educational Seminars & Workshops
The firm organizes and conducts seminars or workshops aimed at enlightening investors on various financial concepts.
Fee Structures
Financial advisory fees usually are based on the services provided. Fee types charged by Stillwater Asset Management, LLC most likely consist of the following fee types: asset-based, hourly or fixed. Wrap fee programs, or the practice of bundling services for a single fee, are not offered by the firm.
Available
Percentage of Assets Under Management (AUM)
This fee structure charges a percentage of the assets under management by the firm. Fee structures are often tiered based on the amount of assets managed, with higher AUM often charged a lower rate.
Between 0.50% and 2.00% of assets under management (annually), often lower for a robo advisor. Fees are typically charged quarterly by the firm and will show on your investment statement. View typical advisor costs here.
~96% of registered firms offer this fee structure.
If you have $1 million managed by a firm at a 1% management fee, you would be charged $10,000/year to manage your assets (or $2,500 per quarter). This would be automatically deducted from your investment portfolio.
Performance-based Fees
Advisors typically obtain performance-based fees if a portfolio surpasses a predefined benchmark. This fee is determined through various methods, but is most commonly assessed as a percentage of investment gains. Performance-based fees may incentivize advisors to undertake riskier decisions in pursuit of generating higher returns.
“Two and Twenty” is common among hedge funds with a 2% management fee and a 20% incentive fee above the “hurdle rate,” or performance threshold the fund is compared against.
32% of registered firms offer this fee structure.
A hedge fund earns a 15% return with a 20% performance fee in above the performance of the S&P 500, which grew 7% that same year.
20% of fund growth in excess of S&P 500’s 7% growth for that year = 15% hedge fund growth - 7% S&P 500 growth = 8% difference x 20% = 2% performance fee (in addition to the management fee).
Unavailable
Hourly
Similar to an attorney, a financial consultant might charge fees based on hourly rates. This fee structure can be advantageous when seeking specific or ad hoc advice.
Charges generally span from $150 to $400 per hour, depending on the extent of the services required.
~33% of registered firms offer this fee structure.
If you needed hourly consulting to sell a business or transfer your estate to your children but did not want your assets managed by a firm, you could consult a firm at an hourly rate to answer any questions you may have.
Subscription (Newsletter or Periodical)
Fixed Fees (Other than subscription)
Fixed fees are a one-time, lump-sum payment rendered for a specific service, such as creating a financial plan without ongoing management or implementation. This option is beneficial if you solely require guidance for a particular objective rather than a long-term consultancy or asset management.
Fixed fees for creating a financial plan often range from $1,000 to $3,000.
~49% of registered firms offer this fee structure.
If you did not want a firm to manage your assets but needed to create a retirement plan, life transition plan such as divorce or loss of a spouse, estate transition plan, business financial plan, or any other financial planning, you could consult with an RIA firm to help you with the creation of that plan.
Commissions
Occasionally, advisors are compensated through commissions by selling certain financial products, such as mutual funds or life insurance policies, or as a broker-dealer by facilitating the buying and selling of securities. Advisors who receive commissions may be incentivized to make specific suggestions to clients in order to secure a commission. Advisors who operate on a fee-only basis do not earn commissions, whereas fee-based advisors may do so.
Often 3% - 6% of the value of the security.
Only ~3% of registered firms say they offer this fee structure, but other advisors may receive “soft dollars”. Many mutual funds charge 12b-1 fees to cover the promoting and selling of the fund’s shares. While your advisor does not charge these fees, they may receive a kickback for recommending the investment.
An advisor selling their client on a life insurance policy and receiving a commission on the sale of that policy, or recommending a specific investment and receiving a kickback for that recommendation.
Other
Firms occasionally offer unconventional fee structures when charging clients. For more detailed information about a firm’s specific fee structures, please refer to their Form ADV and Part 2 Brochure.
Types of Clients
This Office Location
Other Office Locations
This firm has no other locations.
State Registrations
Stillwater Asset Management, LLC is registered to service clients in the following states:
- Minnesota
Disciplinary History
Stillwater Asset Management, LLC does not have any disclosures. Please visit it's Form ADV for more details.