Firm Info
Firm Size
Services Offered
- Financial Planning
- Portfolio Management for Individuals & Small Businesses
- Portfolio Management for Businesses or Institutional Clients
- Pension Consulting Services
- Selection of Others Advisors
Types of Clients
- Individuals (Not High Net Worth)
-
Individuals High Net Worth
*>=750k in Investable Assets or >=1.5m of Estimated Total Net Worth
- Pension & Profit Sharing Plans
- Charitable Organizations
- Corporations or Other Businesses Not Listed Above
Available Fee Structures
- Percentage of Assets Under Management (AUM)
- Hourly
- Fixed Fees (Other than subscription)
Pennsylvania Capital Management Inc. Overview
Pennsylvania Capital Management Inc. is a registered investment advisory firm that has been providing investment advice since 1995. The firm is headquartered in Huntingdon Valley, PA, and operates on a fee-only basis. This means that clients can rest assured that the firm does not receive any commissions or incentives for recommending specific investments or products. The firm's advisory services include financial planning, portfolio management for individuals and small businesses, as well as institutional clients and pension consulting services. Pennsylvania Capital Management Inc. is committed to helping their clients achieve their financial goals through tailored solutions that align with their unique needs and objectives. In addition to their core services, Pennsylvania Capital Management Inc. also offers selection of other advisors, giving clients access to a wider range of investment options and expertise. With a focus on investment advice only, Pennsylvania Capital Management Inc. is dedicated to upholding the highest standards of professionalism and ethics in their practice, providing their clients with the tools and resources they need to make informed and sound investment decisions.
Pennsylvania Capital Management Inc. is a top-tier investment management firm that caters to a diverse range of clients. From individuals to high net worth individuals, from pension or profit sharing plans to charitable organizations, this premier firm addresses the unique needs and requirements of each of its clients with utmost care and attention. Besides, they also serve other corporation types not listed, providing them with bespoke solutions that align with their investment objectives and preferences. When it comes to fee structures, Pennsylvania Capital Management Inc. has a flexible approach that accommodates its clients' preferences. Whether it is a percentage of AUM, hourly, or fixed fees, clients can choose the payment options that work best for them. AUM stands for assets under management, representing the cumulative market value of investments managed by the firm on behalf of its clients. Hourly fees refer to the charges accrued by the firm for services offered based on the number of hours dedicated to the task. Fixed fees represent a predetermined amount charged by the firm to cover the cost of specific services rendered. Pennsylvania Capital Management Inc. believes in transparency and works closely with each client to determine the most appropriate fee structure suited to their specific investment needs and financial circumstances.
Typical Clients, Fee Structures & Investment Minimum
The investment minimum for Pennsylvania Capital Management Inc. (PCM) is $1,000,000, as noted in their Part 2 Brochure. The firm typically provides their investment advisory services to clients with at least $1,000,000 of assets. There is no mention of any lower investment minimums, so it appears that $1,000,000 is the minimum amount required to work with PCM as an investment advisor.
How This Office Can Help Trevose, PA Residents
Pennsylvania Capital Management Inc is a financial advisory firm that assists clients in Trevose, PA to overcome their financial challenges. The company offers a wide range of financial services, including investment advice, portfolio management, and retirement planning, to help individuals and families achieve financial stability and security. Some of the specific financial situations someone living in Trevose, PA might be facing include debt management, retirement planning, and tax planning. PPCM offers personalized financial solutions to address these concerns and ensure that clients achieve their financial goals. The firm's team of financial advisors works closely with clients to understand their unique financial situation and provide tailored solutions to help them address their specific financial concerns. Whether it's managing debt, saving for retirement, or minimizing taxes, PPCM provides expert financial advice and guidance to help clients achieve financial success.
Services Offered by Pennsylvania Capital Management Inc.
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 Pennsylvania Capital Management Inc. 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.
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.
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.
Unavailable
Subscription (Newsletter or Periodical)
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.
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).
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
*The Securities & Exchange Commission defines someone as “high net worth” if they have $750,000 or more in investable assets or $1.5M of estimated total net worth.
This Office Location
Other Office Locations
This firm has no other locations.
State Registrations
Pennsylvania Capital Management Inc. is registered to service clients in the following states:
- California
- Florida
- Louisiana
- New Hampshire
- New Jersey
- New York
- Pennsylvania
- Texas
Disciplinary History
Pennsylvania Capital Management Inc. does not have any disclosures. Please visit it's Form ADV for more details.