Besides all we do at High Rock to meet, and go above and beyond, the regulatory requirements for our Fiduciary Duty obligations and Trust, things like:
we also have a large layer of due diligence placed upon us that not many other PM companies do, and I can guarantee, no Advisors do.
By virtue of the fact that we manage two public funds for a division at BNS, the bank does semi-annual due diligence reviews on High Rock to ensure we are compliant on all matters.
Annually, the bank comes on-site to our offices with a team of about 5 bank employees from various divisions, including compliance. They spend about two hours here grilling us on everything from our business model to our research process to our compliance procedures.
And then for the semi-annual review, they all hop on a conference call with me to go throw much the same information to check and see if anything has changed. Why a phone call and not on-site? I suppose they 1) don't want to make the two block walk in the middle of winter, 2) they don't want to get all dressed up to see me or 3) they have been doing these due diligence calls/meetings with us for six years!
Anyway, last week, we held our semi-annual due diligence meeting with BNS. The call lasted about one-and-a-half hours. I can report - All Good.
And I would also add further layers of due diligence having been performed on High Rock. We are engaged with a small boutique dealer and a fellow portfolio management company on providing them some investment management services. Both of these companies have been in here and performed due diligence on High Rock. Again, I can report - We are approved to be sub-advisors (manage money for them on certain mandates) by both companies.
We strongly encourage our existing and new private clients to perform at least some form of due diligence on High Rock. Think of some tough questions to ask us. Or, if you want, you can take BNS's (and at least two other company's) word for it. .