For the second year in a row, Pathstone placed among the top 20 RIA firms in the Barron’s Top 40 RIA Firms ranking for 2018. Firms in this ranking were selected based on assets under management, retention, and factors that Barron’s determined contribute to providing broad and consistent service to clients.
To qualify for the Top Independent Advisor ranking, advisors must: (1) have seven years’ experience as an advisor (2) have at least one year tenure at your current firm (3) have a clean compliance record, free of criminal violations (4) meet the minimum AUM of $300 million (5) be registered and in good standing with the SEC. Advisors who wish to be ranked fill out a 102-question survey about their practice. We then apply our rankings formula to that data to generate a ranking. The formula features three major categories of data: (1) Assets (2) Revenue (3) Quality of practice. In each of those categories we do multiple sub-calculations. For instance, we take into account not just an advisor’s AUM, but also the type of assets he/she manages—are they retail assets or institutional? If they’re institutional, are they for a foundation or an endowment or are they corporate assets? What is the YOY asset growth? Revenue is handled similarly, and the Quality of Practice component includes LOS, charitable and philanthropic work and a complex scoring system for regulatory violations, including a threshold for automatic disqualification. Third party rankings and recognition from ratings services are no guarantee of future investment success. Working with a highly rated adviser does not ensure that a client or prospective client will experience a higher level of performance or results. Ratings should not be considered an endorsement for the adviser by any client nor are they representative of any one client’s evaluation. Generally, rankings are based on information prepared and submitted by the adviser, or the amount of assets under management by the adviser. Please refer to the more thorough disclosure and additional information about the criteria used in making these rankings via the website of the publication and/or organization granting such recognition.