NEWS AND INSIGHTS FROM FINTRX
Registered investment advisors (RIAs) are undoubtedly best positioned to serve high-net-worth families and individuals seeking an alignment of interests between the firm and client. To shine a light on the growing RIA landscape, FINTRX explores three of the largest registered investment advisors (RIAs) based in Delaware.
Founded in 1999, BlackRock Capital Management, Inc. is a Wilmington, Delaware-based investment management firm offering asset management, research analysis, portfolio construction, financial planning, and advisory services to clients around the world. Types of clients include high-net-worth individuals, investment companies (including mutual funds & EFTs), pooled investment vehicles (other than investment companies and BDCs), pension and profit-sharing plans (other than plan participants or government pension plans), charitable organizations, state or municipal government entities, and insurance companies. While there are several BlackRock entities (e.g. third firm listed below), it is important to note that each entity is registered as an investment adviser with the SEC and is a wholly-owned subsidiary of BlackRock, Inc., a publicly-traded company. Although referred to collectively, each advisor is a separate and distinct company with its own differing investment capabilities and functions.
BlackRock Capital Management, Inc. administers approximately $89.6B+ in assets under management throughout 108 accounts, placing it among the biggest financial advisory firms in the nation by AUM. The firm has a large team of about 295 employees, including ~198 financial advisors. BlackRock Capital Management, Inc. does not act as a registered broker-dealer, signifying that the company cannot buy and sell securities for its own accounts and its clients and instead must go through a broker-dealer firm to do so. Securities are exchangeable financial investments, such as bonds, options, and stocks.
BlackRock Capital Management, Inc. manages all the firm's client assets in a discretionary manner. The investment advisory firm manages about $734.2M for each account. An average financial advisor at BlackRock Capital Management, Inc. administers fewer than one client account, placing it among the most personalized advisor firms in the country. The firm is registered to provide services to customers throughout 51 U.S. states and territories.
- Founded: 1999
- Headquarters: Wilmington, DE
- Discretionary Assets: ~$89.6B+
- Non-Discretionary Assets: $0
- Total AUM: ~$89.6B+
- Specialties: Manages assets for institutional and high net worth clients, separate accounts, pooled investment vehicles, private investment funds, and U.S.-registered investment companies; Mandates include cash management, fixed income, and equity strategies.
DuPont Capital Management is an SEC-registered investment advisor based in Wilmington, Delaware. Since the firm’s establishment in 1993, it's had a long history of developing global investment opportunities in both traditional and alternative strategies across equity, fixed income, and alternative investments. DuPont Capital’s focus is delivering consistent investment management results for its clients. Its history of institutional asset management is rooted back to 1942, when its former parent company, DuPont, established a pension plan for its employees. Corteva Inc. succeeded DuPont as a sponsor of the DuPont Pension Plan in 2019.
Today, DuPont Capital Management is a wholly-owned subsidiary of Corteva and continues to manage the legacy of the DuPont Pension Plan. The firm's President and CEO, Valerie Sill, believes in education and diversity of experience as represented in its investment teams, which comprise PhDs, engineers, medical doctors, and scientists. DuPont Capital applies value-based global investment capabilities that combine valuation and risk control disciplines, within and across asset classes and international boundaries, designed to produce risk-efficient excess returns.
The firm has a duty to act in the best long-term interest of its clients and beneficiaries, which means considering material environmental, social, and governance factors (ESG). DuPont Capital's investment processes seek to identify and evaluate various factors, some of which are considered ESG, that may have a material impact on the investment risk and return profile for its investments. DuPont allocates to private equity funds that invest in small to mid-sized companies and primarily invest in funds under $1.25B. The firm's investment process identifies companies or areas of the market where current market prices underestimate the long-term characteristics of a company.
- Founded: 1993
- Headquarters: Wilmington, DE
- Discretionary Assets: ~$27B+
- Non-Discretionary Assets: ~$25.2B+
- Total AUM: ~$27B+
- Specialties: Equity; Fixed Income; Private Markets
Established in 2017, BlackRock Capital Investment Advisors, LLC is a Wilmington, Delaware-based advisory firm primarily managing the assets for pooled investment vehicles, U.S.-registered investment companies, business development companies, and private investment funds. As part of their investment management services, the firm offers a range of investment solutions, from fundamental and quantitative active management to indexing strategies designed to gain broad exposure to the world’s capital markets.
All BlackRock entities typically provide investment management services under applicable investment guidelines and restrictions, including applicable restrictions on investing in certain securities, or types of securities, or other financial instruments, that are developed in consultation with the client, or under the mandate selected by the client (e.g., fixed income, cash management, equity, alternative, index or multi-asset). Each entity uses automated and/or manual processes to manage portfolios under their stated portfolio investment guidelines and restrictions. Depending on the investment strategy or strategies that a client wishes to pursue, the client's ultimate contractual relationship can be with one or more of the BlackRock entities.
Headquarters: Wilmington, DE
Discretionary Assets: ~$20.3B+
Non-Discretionary Assets: $0
Total AUM: ~$20.3B+
Specialties: Manages assets for pooled investment vehicles, U.S.-registered investment companies, business development companies, and private investment funds; Mandates focus on credit opportunities.
A registered investment advisor (RIA) is any firm advising or managing the wealth of high-net-worth individuals or institutions. Directly regulated by the Securities Exchange Commission (SEC), RIAs offer a wide range of financial services — from wealth and investment management to direct lending and personal finance education, etc. An important distinction regarding RIAs is the fiduciary obligation to always act in the best interest of their clients.
For more information on RIAs, check out our recent blog post, Exploring the Registered Investment Advisor (RIA) Channel, or visit the FINTRX Resource Library below.
FINTRX delivers an industry-leading suite of family office data and research solutions to the alternative wealth space and private capital markets. Engineered to help clients identify and access family office capital intuitively, the FINTRX platform ensures accurate and updated family office data and research on 3,000+ family offices worldwide.
Request a demo below to see how FINTRX can provide you access to best-in-class data intelligence on the global Family Office & Registered Investment Advisor Ecosystem.
For more practical family office insights and best practices, visit the 'FINTRX Resource Library' below.
October 29, 2021
Renae Hatcher is a member of the marketing team at FINTRX - focused on delivering targeted & relevant family office and registered investment advisor content to our subscribers.