Acorn Advisory Capital, L.P. (New York)

Acorn Advisory Capital, L.P. is a large advisory firm based in New York. It manages $1.23 billion of regulatory assets for 9 client accounts. It has been registered with the SEC as an adviser since 2004.

Acorn Advisory Capital provides portfolio management for individuals and small businesses, portfolio management for pooled investment vehicles, and portfolio management for businesses and institutional clients. It doesn't provide financial planning services to its clients. On top of advisory services, the firm doesn't engage in other business activities.

Acorn Advisory Capital: assets under management

The assets under management (AUM) of Acorn Advisory Capital, L.P. is $1.23 billion. The firm's AUM has grown by 330% since the beginning of its operation, and $33.79 million of the total AUM is attributable to clients outside of the United States.

The firm manages $766.66 million in discretionary accounts and $463.55 million in non-discretionary accounts. On average, the discretionary accounts where all decisions are made on behalf of the client hold $109.52 million each. Non-discretionary accounts, where clients actively manage their portfolios, generally hold around $231.77 million.

Acorn Advisory Capital has custody of $396.17 million in cash and securities for 4 clients in total but doesn’t act as a qualified custodian.

Investments

The firm invests in pooled investment vehicles the most. They account for 55% of the total AUM. The second-largest asset type is exchange traded securities, which make up 45% of the firm’s portfolio. Investments in investment and business development companies form 4% of the total invested assets.

Fees & Commissions

The advisory firm has several streams of revenue. Clients pay Acorn Advisory Capital, L.P. for their services and products based on a percentage of assets under management and performance-based fees. The adviser charges an additional fee when a set benchmark is outperformed. These fees don’t include brokerage commissions, interest, taxes, and other account expenses.

What kind of clients Acorn Advisory Capital serves?

The firm provides services to insurance companies, high net worth individuals, and pooled investment vehicles. The largest group of clients of Acorn Advisory Capital is pooled investment vehicles with 6 clients and $742.46 million of assets under management. Among the 10 most similar advisory firms, Acorn Advisory Capital has the 5th lowest percentage of pooled investment vehicles out of all clients.

The amount of regulatory assets under management is $1.23 billion for 9 clients that can include trusts, estates, and 401(k) plans and IRAs of individuals and their family members. 45% of the firm’s clients are foreign persons or businesses.

Acorn Advisory Capital also advises several private funds. Namely, two hedge funds. The minimum investment commitment required of non-related persons ranges from $1,000,000 to $5,000,000.

Careers at Acorn Advisory Capital, L.P.

The company employs 22 people that are either part- or full-time employees. 59 percent of the employees work as investment advisers or researchers. No employees are registered as investment adviser representatives with the state securities authorities.

There isn’t anyone with the role of looking for and bringing in new clients on behalf of the firm. The firm doesn’t compensate employees in addition to the salary for bringing in new clients. Employees don’t receive compensation from other entities for client referrals.

Norman Marks Pao has served as the Chief Investment Officer since 1 Apr 2008. David Ezra Gerstenhaber joined the executive team most recently as the Chief Investment Officer.

Direct owners and executive officers

Name	Entity	Date acquired	Ownership	Employer ID
Robert Rosenkranz	Chairman of investment committee	1 Jan 1982	75% - 100%	404638
Aaron Mark Fischer	Chief financial officer	1 Feb 1989	Other	1464099
Gary Sabot	Director - risk management	1 Dec 1993	Other	4887864
Gary Wayne Sabot	Director - risk management	1 Dec 1993	Other	4887864
Acorn Advisory Capital Management Inc.	General partner	1 Dec 1994	50% - 75%	98-0160218
Catherine Marie Fleming	Chief operating officer and chief compliance officer	1 Jul 1995	Other	2067201
Chad William Coulter	Chief compliance officer	1 Jan 1998	Other	2495153
Suzanne Elizabeth Murphy	Managing director	1 Jul 2003	Other	1863323
Acorn Advisory Capital Management Llc	General partner	1 Jun 2005	50% - 75%	20-3475113
The Robert Rosenkranz Trust	Owner of r & co. capital management llc	1 Dec 2005	75% - 100%	66-6020827
Brian Matthew Feldman	General counsel & chief compliance officer	1 Jul 2007	Other	4860209
Norman Marks Pao	Chief investment officer	1 Apr 2008	Other	5250585
Lawrence Ross Morgenthal	Managing director	1 Apr 2008	Other	4291733
Donald Alan Sherman	Investment committee member	1 Jan 2010	Other	4379583
Robert Rosenkranz	Owner of r&co. capital managment llc	1 Dec 2013	75% - 100%	404638
Llc Build Capital Management	General partner	1 Nov 2016	75% - 100%	xxx-xx-xxxx
David Ezra Gerstenhaber	Chief investment officer	1 Sep 2018	Other	1425385

Indirect Owners

The SEC currently registers 7 indirect owners.

Name	Entity	Date acquired	Ownership	Employer ID
Georges Rayroux	Trustee	1 Sep 1994	Other	4889536
The Robert Rosenkranz Trust	Shareholder	1 Dec 1994	75% - 100%	66-6020827
Rosenkranz Robert	100% owner	1 Jun 2005	75% - 100%	404638
Robert Rosenkranz	100% owner	1 Jun 2005	75% - 100%	404638
The Robert Rosenkranz Trust	Member	1 Jun 2005	75% - 100%	66-6020827
Hsbc Guyerzeller Trust Company Cayman Islands	Trustee	1 May 2006	Other	4889536
Robert Rosenkranz	100% owner	1 Nov 2016	75% - 100%	404638

Based in New York

The principal office where Acorn Advisory Capital, L.P. performs its advisory services is located at 590 Madison Avenue, New York, NY 10022, which is also the mailing address of the firm. It doesn’t run an office outside of the United States.

You can reach the main office by calling the phone number 212-838-7000 or by fax 212-838-7594. The normal business hours are 9:00 am - 5:00 pm on Monday - Friday.