BNY Mellon's Pershing Unveils Subscription Pricing for RIA Custody, Brings More Choice to Advisors

March 5, 2020

Pershing's new pricing approach includes three distinct packages, offering advisory firms choice, flexibility and transparency to better serve their clients.

JERSEY CITY, N.J., MARCH 5, 2020—BNY Mellon's Pershing ("Pershing"), which custodies over $800 billion in advisory assets1, today unveiled an innovative pricing offer. In addition to Pershing's existing variable pricing, registered investment advisors (RIAs) on the Pershing custody platform will now be able to choose from two new options: monthly subscription and zero-transaction-fee pricing.

"As the only remaining custodian that does not compete with advisors for retail assets, we are setting a standard for transparency and how custodians should engage with advisory firms," said Jim Crowley, Pershing's CEO. "Our new pricing approach offers choice to align with client preferences and deliver greater value."

The three pricing packages are:

  • Subscription-based pricing2 for advisors looking for a simplified, predictable approach to pricing and access to some of the most sought-after products and solutions in the industry, including a competitive investment choice for cash. Features include: 
    • A tiered subscription model, starting as low as $25 per month (fees tiered based on the amount of assets).
    • No transaction fees on exchange traded funds (ETFs), equities, fixed income securities, and mutual funds. 
    • Tiered competitive cash yields for clients using cash as an investment vehicle. This unique, tiered cash sweep rewards clients who have higher deposits and offers FDIC protection up to $2.5 million.
    • Access to BNY Mellon's to be launched suite of ETFs (assets held in BNY Mellon ETFs will be excluded from the subscription fee calculation).
  • Zero-transaction-fee pricing for advisory firms seeking a lower-cost solution for portfolios that favor equities and ETFs.
  • Variable pricing for advisory firms serving clients with complex needs who benefit from customized asset or transaction-based pricing, including over 80 cash sweep options.

"Our new pricing strategy is designed for advisors, in consultation with advisors, taking into consideration some of the long-term trends we see in the industry," said Ben Harrison, head of business development and relationship management for the RIA custody business at Pershing. "It empowers advisors to choose what's best for their clients and better aligns us with the fiduciary model. As the rest of our competitors double down on the direct-to-consumer retail channel, we are proud to be the only custodian doubling down on the future of the RIA business."

1 As of Dec. 31, 2019

2 Monthly subscription fee excludes alternative investments, foreign trading, foreign exchange, lending, paper confirmations, and miscellaneous cash management fees.

About BNY Mellon's Pershing

BNY Mellon’s Pershing and its affiliates provide advisors, broker-dealers, family offices, hedge fund and ’40 Act fund managers, registered investment advisor firms and wealth managers with a broad suite of global financial business solutions. Many of the world’s most sophisticated and successful financial services firms rely on Pershing for clearing and custody, investment and retirement solutions, technology, enterprise data management, trading services, prime brokerage, managed account technology and operations and business consulting. Pershing helps clients improve profitability and drive growth, create capacity and efficiency, attract and retain talent, and manage risk and regulation. With a network of offices worldwide, Pershing provides business-to-business solutions to clients representing more than seven million investor accounts globally. Pershing LLC (member FINRA, NYSE, SIPC) is a BNY Mellon company. Professionally advised managed accounts are offered through its affiliate, Lockwood Advisors, Inc., which is an investment adviser registered in the United States under the Investment Advisers Act of 1940. Additional information is available on pershing.com, or follow us on Twitter @Pershing.

About BNY Mellon

BNY Mellon is a global investments company dedicated to helping its clients manage and service their financial assets throughout the investment lifecycle. Whether providing financial services for institutions, corporations or individual investors, BNY Mellon delivers informed investment and wealth management and investment services in 35 countries. As of June 30, 2020, BNY Mellon had $37.3 trillion in assets under custody and/or administration, and $2.0 trillion in assets under management. BNY Mellon can act as a single point of contact for clients looking to create, trade, hold, manage, service, distribute or restructure investments. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation (NYSE: BK). Additional information is available on www.bnymellon.com. Follow us on Twitter @BNYMellon or visit our newsroom at www.bnymellon.com/newsroom for the latest company news.

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