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Clearing Through Pershing,
LLC
In order to provide our clients with top quality clearance
services and trade execution at a competitive price,
Centaurus maintains a clearing agreement with Pershing LLC,
a Bank of New York company. Since 1939, Pershing has
provided comprehensive execution, clearance, data
processing, and financial products and services to
broker/dealers worldwide. Today, Pershing has assets over
$12.4 billion and equity capital of $604 million, and The
Bank of New York Company, has assets over $96.5 billion and
equity capital of $9.3 billion. Pershing also holds client
assets in custody worth over $700 billion. Through Pershing,
Centaurus offers the following services:
-
a consolidated
asset management account combining brokerage services, free
check writing, and a MasterCard Debit Card;
-
fee-based
managed account programs offering access to some of the top
institutional money managers in the country;
-
top quality
investment research analysts providing action-oriented
recommendations, analyses, and opinions on individual
companies, industries, the economy, and financial markets;
-
timely execution
of securities trades on stock exchanges across the country.
Stocks (Corporate
Equities)
Many companies raise
capital through the sale of corporate stock to the public.
When the stock is first sold to the public, it is known as
an Initial Public Offering, or IPO. More frequently, “common
stock” is bought and sold each day on “secondary markets”
around the world, including the New York Stock Exchange, the
NASDAQ, various Electronic Communication Networks (ECNs) or
one of the many foreign exchanges.
Profitable companies often distribute a portion of their
earnings to their shareholders in the form of dividends. The
potential receipt of dividends is a common motivation for
purchasing a particular stock. Perhaps more importantly,
stock ownership permits investors the freedom to choose the
companies they believe will be successful and to become an
owner, to the extent of the shares they purchase, of those
companies. Stock ownership can therefore be both exciting
and liberating, but it should be pursued with caution,
discipline and professional guidance.1
Bonds (Fixed Income Securities)
Bonds provide a guarantee, backed by the issuing entity
(usually a government agency, municipality, or corporation),
to return your original investment principal plus a fixed
interest rate if the bond or bill is held to maturity. There
is usually a correlation between the creditworthiness of an
issuing entity and the interest rate that is paid to the
bondholder. Bonds can also be traded through secondary
markets allowing the investment to be sold at the market
rate rather than held to maturity, thereby providing
liquidity.2 Fixed income securities
provide:
-
a guarantee of
the principal and interest rate, backed by the issuing
entity, if held to maturity;
-
the
flexibility of various maturities to fit your investment
needs.
Tax-Exempt Municipal Bonds
Most municipalities raise money through the sale of bonds
(i.e. they borrow from investors). Because there is a civic
purpose for the money raised through these bond issues, they
often receive special tax treatment from state and federal
authorities. Tax-Exempt Municipal Bonds offer:
-
an exemption
from state and federal taxes, allowing for a potentially
higher rate of return;
-
guaranteed
returns, backed by the borrowing institution or
municipality, if held to maturity;
-
the
opportunity to sell currently held bonds, before maturity,
at the market rate in secondary markets.3
1, 2 & 3. Selling price may be more or less than the price
paid for the security. |
