Typically, a firm will manage the assets, but not physically hold them. There is an outside party, called a custodian, who holds custody over the firm and its clients’ assets. The role of the custodian is to open and maintain accounts, keep accurate and current records of a client’s holdings, settle trades, prepare account statements, including tax documents, and calculate and report tax information to both the Federal and Provincial governments. We delegate the safekeeping and administration of our client assets to National Bank Independent Network (NBIN), a division of the National Bank of Canada. National Bank is a public company listed on the TSX and one of Canada’s oldest financial institutions. National Bank is a member of the Canadian Investor Protection Fund (CIPF); with the Canadian Investor Protection Fund, each account is covered up to $1,000,000 against insolvency or bankruptcy of the custodian.
At Capstone, we are pleased to have national names behind the administration of our business. SGGG Fund Services Inc. provides our fund administration and unitholder recordkeeping. KPMG is our auditor and Borden Ladner Gervais is our legal counsel. We feel these trusted national service providers create an extra layer of accountability, important checks and balances and, ultimately, comfort for our clients.
Janet Kim Sing, Portfolio Manager
Capstone Private Wealth