This section is provided to address questions about how Bateman Capital Management, Inc. (“BCM”) operates its advisory business exclusively for separately managed accounts. Please note that this does not purport to be a full discussion and disclosure of important facts and conditions, which are detailed in Form ADV and the investment advisory contract.
Separately Managed Accounts. A “separately managed account” is your own account, in which you designate discretionary trading authority to Bateman Capital Management, Inc. in exchange for a fee agreed upon in the advisory agreement (this is what “managed” means in the term “separately managed account”). The word “separately” needs to a bit of explanation as well; it simply means that the funds in your account are completely separated from those of other clients.
Custodian/Broker. Currently, BCM uses Interactive Brokers LLC as its custodian for separately managed accounts. Interactive Brokers LLC is a third-party custodian and is not affiliated with BCM. New clients wishing to use the advisory services of BCM will generally be asked to establish an account at Interactive Brokers LLC. Positions clients hold at other firms can be transferred to Interactive Brokers LLC using a position transfer. For new clients who already have an account at Interactive Brokers LLC, an abbreviated process exists which we are happy to discuss in detail.
Account Types. Interactive Brokers LLC has numerous accounts types, including Individual, Joint, Corporation, LLC, and IRAs. Please contact us to see if we can service your account type.
Minimum Investment. There is no official “minimum amount” investment requirement for BCM. However, BCM generally wishes to ensure that prospective clients are serious, and have an appropriate mindset about investing over a long period of time.
Voting. As detailed in the Philosophy page, equity securities are fractional ownership of a business. BCM takes the view that active ownership is superior ownership. Because the right to vote in director elections and other shareholder matters are intertwined with the concept of active ownership, all clients of BCM will sign a Special Power of Attorney allowing BCM to vote securities in their separately managed account. BCM takes this obligation seriously, and all decisions about voting are made at the sole discretion of Kenneth Bateman, PhD, the sole owner of BCM.
Kenneth Bateman, PhD – Founder and Chief Investment Officer
“My clients come to me, and based on their individual goals, I place their money into investments that are appropriate for them. I take a holistic approach to determine what investments are correct for each client. As a fiduciary, I always put my clients first.”