Account Protection

HISTORY + STRENGTH = PEACE OF MIND

At Ziegler, we have been providing tailored financial solutions for over 100 years. In 1902, Ziegler began building its reputation for financing healthcare facilities, senior living communities, religious organizations and schools. We understand that for clients, history alone does not bring peace of mind - clients want to know that they are dealing with a strong, stable financial institution. To provide our clients with the greatest amount of protection, Ziegler has a long-standing partnership with Pershing, LLC (Pershing) as our custodian and clearing company.

Pershing has been a leading global provider of financial business solutions for 70 years and serves many of the world’s most respected financial organizations, remaining focused on the safekeeping, servicing, segregation and reporting of assets held in their custody. Pershing’s parent company, The Bank of New York Mellon Corporation, is one of the world’s strongest global financial institutions, holding $20.2 trillion in assets under custody and administration.¹ The Bank of New York Mellon remains highly liquid, as it is funded primarily by deposits from institutional businesses.

Pershing is well capitalized and their capital ratios exceed those required by regulators. As of December 31, 2008, Pershing operated with total net capital of $1.4 billion, which means their net capital was $1.3 billion in excess of the $100 million minimum required by the Securities Exchange Commission (SEC). Pershing serves global financial organizations exclusively, free of conflicts. Your Ziegler financial advisor handles all matters related to your account.

The Bank Of New York Mellon Corporation
At December 31, 2008

Pershing’s financial strength provides the foremost measure of protection, regardless of any market impact on the firm. Pershing does not participate in credit default swaps or residential mortgage lending or securitization, areas of the financial world that have recently received much scrutiny.

Pershing participates in an annual Statement on Auditing Standards (SAS) 70 Level II review, performed by KPMG and issued by the Auditing Standards Board of the American Institute of Certified Public Accountants (AICPA), to provide additional independent evaluation of the design and operating effectiveness of Pershing’s internal controls related to order and trade processing, clearance and settlement, corporate actions, physical custody, margin monitoring, account transfer, pricing, interest, billing, statements, confirmations, and cash management functions.

REGULATORY PROTECTION AND REVIEW

Pershing is required to comply with various rules intended to minimize the chance of financial failure and maximize the protection of your assets. One of those rules, the SEC Customer Protection Rule, requires Pershing to segregate fully-paid-for, investor-owned assets — meaning that, even if Pershing fails, investors’ assets will remain safe, separate from Pershing’s own assets. Pershing is also subject to the SEC Net Capital Rule, which requires them to maintain enough liquid assets, net of any liabilities, to ensure the return of investors’ assets in the event of firm failure and liquidation.*

Pershing is subject to extensive and ongoing regulatory reviews, is subjected to numerous internal and external audits, and compliance testing. On an annual basis, Pershing fulfills its regulatory broker-dealer requirements by having its financial statements audited by its independent auditor KPMG.

Learn about SIPC, FDIC and additional account protection. 

*This does not guarantee a dollar-for-dollar insurance for client holdings in the event the broker-dealer should fail.

1As of December 31, 2008.

2Adjusted for deferred tax liabilities associated with non-tax deductible identifiable intangible assets and tax deductible goodwill. In addition, at 12/31/08, total and average assets were adjusted to exclude certain deposits and other short-term investments assigned a zero risk weighting by regulators.