Covestor Smart Beta Portfolios

Management Fees
  • An annual asset-based management fee of 0.08% of the gross market value of investments.

IB Commissions for Transactions in Your Covestor Smart Beta Portfolio Investments
  • All Covestor transactions are executed by Interactive Brokers. Covestor and Interactive Brokers are affiliates.
  • Brokerage commissions charged by Interactive Brokers are in addition to Covestor's asset management fees.
  • Interactive Brokers charges Covestor clients modified volume-based tiered commissions for stock trades. We charge $0.0035 in commissions per aggregated shares based on the whole “basket” of securities in a client's Smart Beta investment rather than on each security. Generally, for Smart Beta Portfolio trades, we charge a minimum commission equal to the lower of $5 or 0.05% of trade value per client account, if more than the standard tiered commissions charge of $0.0035 per aggregated shares in the client basket. We cap commissions on Smart Beta portfolios at 0.5% of the value of the basket trade.
  • We require certain types of brokerage accounts to generate a minimum level of commissions each month. Therefore, in addition to applicable commissions, whenever the overall monthly commissions paid by all Covestor client accounts do not amount to at least $10 in commissions per account per month, we will collectively charge Covestor clients the difference between the actual commissions charged and the overall $10 minimum due for all Covestor clients, determined on a pro rata basis (based on the amount by which each Covestor client account is below the $10 minimum.)
  • Important disclosures about Covestor can be found here. Here you will find a discussion of the risks associated with investments in Smart Beta portfolios.

Covestor Smart Beta