Cambridge Investment Research, Inc.
Cambridge is a privately controlled financial solutions firm dedicated to serving independent financial professionals and their investing clients.
By the Numbers:
(as of December 31, 2021)
1981 Founded in Fairfield Iowa.*
3,800+ Financial Professionals in all 50 states.
$180+ Billion Assets Under Advisement.**
Honored to be among the most respected firms in the industry, Cambridge is a 13-time honoree in the Broker-Dealer of the Year annual poll by Investment Advisor Magazine.*** Ranked among the top 10 independent broker-dealers by revenue,**** Cambridge remains strong and growing – in part due to their conservative financial strategies and the disciplined efforts of financial professionals in their independent businesses. In addition, they believe their long-term success is also due to the appeal of moderate business practices and traditional values.
In keeping with Cambridge’s longstanding focus on flexibility and choice, their financial solutions are designed to give independent financial professionals the ability to serve their clients according to their unique business model, while using multiple management styles based on the preferences of their investing clients. To best support independent financial professionals and their clients, Cambridge continues to support both fee-based and commission options, giving investing clients the freedom of choice in how they interact with their financial professional.
Choice, Flexibility, Independence
Whether you are experiencing major life changes, planning for retirement, or simply deciding where to invest and save your money, a financial professional can advise you, the investing client, on how to best prepare your finances for the future. Selecting an independent financial professional is an important step to achieving your goals.
What is an independent financial professional?
Objective advice on achieving your financial goals may be best delivered by an independent financial professional. Your independent financial professional is not an employee of an investment or financial services firm – they are an independent business owner. They have the freedom to structure their business in a manner that best serves their clients. Your independent financial professional utilizes a broker-dealer who provides services that include processing investment business, marketing assistance, practice management, and education. In addition, a broker-dealer holds responsibility for regulatory compliance and adherence to securities laws.
Why is private control and independence important?
You may be familiar with firms that are subsidiaries of commercial banks, investment banks, or investment companies. An independent, privately controlled firm is different because they generally do not underwrite securities or engage in investment banking. Many independent financial professionals choose to work with Cambridge because of their ability to provide investment advice and holistic financial and retirement planning guidance without expectations to sell proprietary products allowing them to focus on what is best for you and your financial goals.
Safeguarding Your Assets
Cambridge supports financial professionals who serve their clients as registered representatives and investment advisor representatives, choosing to use either Cambridge’s firm registered investment adviser or their own. In an independent model, the financial professional, investment firm, and clearing and custody firm are all separate entities that are regulated and work together to serve the needs of the investing client.
As an independent broker-dealer, Cambridge has chosen non-affiliated clearing and custody firms to provide the trade execution, clearing, custody, and other related services for the investing clients of financial professionals. Clearing relationships are typical throughout the industry and allow your financial professional to focus on helping you achieve your investment goals while taking advantage of the clearing firm’s safeguards for the physical protection of your assets.
The Securities Exchange Commission (SEC) is an agency of the U.S. government that is responsible for ensuring fairness for the individual investor and oversees the Financial Industry Regulatory Authority (FINRA), which in turn oversees broker-dealers, clearing firms, and financial professionals. Both the SEC and FINRA require members to comply with various rules intended to minimize the chance of financial failure and maximize the protection of your assets. The SEC also requires a registered broker-dealer to segregate fully paid for, investor owned assets – meaning that if the broker-dealer fails, investors’ assets will remain safe, separate from the broker-dealer’s assets.
Client assets are protected by the Securities Investor Protection Act, which is administered by the Securities Investor Protection Corporation (SIPC). SIPC is a non-profit, non-government, membership corporation funded by member broker-dealers. SIPC’s primary role is to return funds and securities to investors if the broker-dealer holding these assets becomes insolvent. Cambridge and its non-affiliated clearing partners are members of SIPC. Securities in your account are protected up to $500,000. For details, please see sipc.org.
The U.S. Department of Labor (DOL) is in charge of programs and laws that cover all facets of employment and work, including the regulation of retirement savings. The DOL governs a fiduciary rule which is intended to protect the retirement investor by requiring financial professionals to adhere to a fiduciary standard of care. Fiduciaries are tasked with many responsibilities dependent upon the plan or account they are working with; however, their primary responsibility is to act in the investing client’s best interest and avoid conflicts of interest.
*Cambridge and its predecessor broker-dealer
**AUA reflects fee based and independent RIA assets plus commission
***Investment Advisor magazine, 2020-2012, 2010, 2008, 2007, Division IV; 2003, Division III. Cambridge received the highest marks from its advisors in the Investment Advisor Broker-Dealer of the Year 2017 Division IV category. A broker-dealer becomes eligible for this honor only after a minimum of 10 percent of its producing advisors cast valid ballots. These ballots also rate the broker-dealer in 15 different categories defined by Investment Advisor as relevant challenges and concerns by advisors. The broker-dealers receiving the highest marks in each of four divisions are declared Broker-Dealer of the Year by Investment Advisor magazine. Proprietary study results are based on experiences and perceptions of participating advisors surveyed in June of the 10 years listed. Your experience may vary. Visit thinkadvisor.com.
****Financial Planning magazine, "Elite Independent Broker-Dealers”, 2019