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Our Business Model
With Goshen’s business model, the clients and advisors work together to select an international Private Bank where assets are custodized.
The client appoints Goshen Global Management to manage the assets with a Limited Power of Attorney (“LPOA”) over the account. The client pays Goshen an advisory fee for their ongoing services. Goshen does not hold client’s assets. Assets are held with custodian of their choice.
The LPOA gives Goshen the ability to invest and manage the assets, but not transfer it out of the account. Instructions to move money out of the account can only be given by the client directly to the custodian bank, ensuring the upmost security of the assets.
The diagram below illustrates how the relationship between the client, Goshen and the bank work together:
1. Client opens an account with the private bank of their choice.
2. Client signs LPoA (a) to appoint GOSHEN as asset manager (If client has an existing private bank account, client does not need to open a new private bank account).
3.Goshen does not hold client’s assets. Assets are held with the private bank of their choice.
4.Client decides between advisory or discretionary mandate (b).
5. Cooperation Agreement - Operational support, receiving of investment ideas and research, details of client account information.
6. Delegation of Duties - Private bank provides execution platform, asset custody and transaction reporting
GOSHEN is responsible for the investment duties from portfolio management, investment suitability and investment risk profile.
Notes:
(a) Client maintains full transparency of all investment activities. For every transaction done on the account, client will receive transaction advice directly from the custodian.
(b) LPoA limits asset manager to perform only investment functions in a client’s account (e.g. trading authorization, fee-payment authorization, completion of forms for IPOs and product risk). Other critical functions such as cash withdrawals, change of beneficiary or other major account actions are not permitted without client personal authorization with the custodian.
Benefits of Using an Independent Asset Manager
Alignment with Client
Goshen operates on a fee based model so as to best align ourselves with our clients.
Independent Advice
Being an independently owned company, Goshen acts on the best interest of our clients for every recommendation that is made.
Multi-Platform Offering & Solutions
Goshen can seek out solutions and work with various providers to meet client’s specific need. For clients with more than one private banking accounts, Goshen can be your single point of contact for all your wealth management needs.
Transparent & Competitive Pricing
Bespoke Solutions
On behalf of our clients, Goshen will negotiate with the private banks to ensure all pricing is competitive and transparent.
Goshen works with each client to build a customized portfolio which reflects client’s personal goals, expectations and risk appetite.