- Phone : 1-800-395-5200
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- Global Rating
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Broad Financial launched in 2004 and is one of the few self-directed IRA companies to offer cryptocurrency. The company offers a very competitive fee structure, options for investing in Bitcoin and a wide range of fantastic customer reviews across different platforms. Find out if it’s the right self-directed IRA company for your needs.
Pros:
- Very reasonable fees
- Offers Bitcoin investing options
- Solid customer reviews
- Great customer support
Cons:
- Bitcoin IRA fees unclear
- Does not offer any other cryptocurrency
Broad Financial is located in Montvale, New Jersey. The company was founded in 2004 and originally started out as just a real estate investing firm. They specialized in retail, commercial and residential real estate until pivoting in 2009 in deciding to offer a broader range of investing opportunities. The company decided to move away from Wall Street in 2008 when the estimated that their clients lost 40% of their retirement account values thanks to the global economic crisis that swept through the world.
Years later Broad Financial decided to set up their own custodian on the East Coast so that they can better deal with customer funds and assets. That custodian is called Madison Trust Company. Today, Broad Financial thrives thanks to its innovative leadership team and its ability to offer a broad range of investing options beyond just real estate or basic stocks and bonds.
This comprehensive review will explain why working with a smaller self-directed IRA investing company like Broad Financial might be better for the average investor and why Broad Financial in particular stands out from the rest. There are of course downsides to dealing with Broad Financial. We will cover those too.
Table of Contents
What is Broad Financial? What is a Broad Financial IRA?
As we touched on in the section above, Broad Financial is a self-directed IRA company that offers a wide range of investment opportunities. Most discount brokerages that are larger in size and more recognizable and brand-name, like Fidelity investments or Charles Schwab, will funnel retirement investors towards more traditional investments like stocks, bonds and certificates of deposit. Broad Financial like many smaller self-directed IRA companies allows investors to broaden their horizons and reach into things like precious metals, real estate investing, private lending opportunities and even purchases of private businesses.
A Broad Financial IRA allows investors to put their money into a wide variety of assets. Establishing a Broad Financial IRA that offers checkbook control, in other words registering an LLC, allows investors to make their choices without going directly to a custodian and opens up the opportunity to increase convenience and ready access to accounts.
About The Founders and Management Team of Broad Financial
Broad Financial is run by three principal owners. The company’s website calls them innovators.
Brian Finkelstein, Partner, Broad Financial
Brian Finkelstein, Partner, Broad Financial
Brian Finkelstein is the first person listed. He has worked for Kidder Peabody, UBS and Kantor Fitzgerald in the past. He has worked for some of the largest bond trading firms in the world and brings 25 years of experience to Broad Financial.
Mervyn Klein, Partner, Broad Financial
Mervyn Klein, Partner, Broad Financial
Mervyn Klein has worked for Hudson Development and Read Group. His expertise over the last 20 years includes developing millions of square feet worth of residential, retail and commercial real estate investments.
Daniel Gleich, Partner, Broad Financial
Daniel Gleich, Partner, Broad Financial
Daniel Gleich rounds out the trio. He worked alongside Klein at Hudson Development and also brings with him 15 years of experience managing real estate and construction projects. He knows how to manage teams of people and that’s his main role at Broad Financial.
Broad Financial IRA Account Types
Broad Financial offers three different IRA account types. We’ll cover the more the sections down below, especially as it relates to fees, but here’s a brief overview.
First there is a traditional self-directed IRA that charges transaction fees. The amount of the transaction fees depends on whether the investor uses assistance and the type of security or asset they are dealing with.
A checkbook IRA costs more to set up because clients need to set up an LLC, but it gives them more access to their account on a regular basis and allows them to choose investments without having to go directly through a custodian which makes it more convenient.
Then there’s the Solo 401(k) plan. Some people consider it a type of self-directed account while others simply label it a self-employed 401(k) plan. Broad Financial’s version of the plan aims to improve on typical self-employed 401(k) plans by allowing investors to choose alternative investments beyond Wall Street. The self-employed 401(k) plan at Broad Financial allows investors more flexibility because they can do the following:
- Take out a loan against their account.
- Redirect a portion of their investments into a Roth subaccount.
- Open a checking account for greater investing flexibility.
More on a Solo 401(k) Account
In order to be eligible for this kind of retirement account, a self-employed individual must not have any full-time employees. While such a condition is restrictive in nature, the benefit is that an investor can work a full-time job and still have a Solo 401(k) as long as some of their income comes from self-employed work.
Corporate 401(k)s, traditional IRAs, SEP IRAs, a 403(b) and other types of profit-sharing or pension plans can easily be rolled over into the Solo 401(k) account at Broad Financial.
The advantage again to using this kind of count is that investors can put their money into things like foreclosures, real estate deals small businesses and other kinds of investments that go outside of Wall Street.
Investors simply get more freedom over their finances with a Solo 401(k) and they can have checkbook control over their choices.
Broad Financial Fees
As with any other IRA providers like New Generation Trust, Broad Financial charges fees for set up. Where Broad Financial differs is that the company also charges quarterly maintenance fees. Some competitors charge annually or only for specific types of investments, but obviously Broad Financial likes to earn fees off of customers on a regular basis. From a business standpoint this is smart because it means regular cash flow for the company, but from an investor’s standpoint, it might actually be cause for concern.
What it really comes down to as far as an investor’s choice is concerned his personal preference. At the end of the day most IRA companies will find a way to make their money. They are after all businesses interested in making a profit. Nevertheless, let’s break down some of the fees Broad Financial charges.
For a self-directed IRA plan, which they also referred to as a custodial IRA plan, Broad Financial charges a $100 setup fee. They charge a custodial fee of $75 per quarter. That goes to Madison Trust Company, the custodian in charge of handling assets and administration on behalf of Broad Financial.
With this plan, investors are not allowed to register an LLC which means they can’t have on-demand access to their account. Clients choose their investments by contacting the custodian and letting them know what they want to do.
Investors who want more control of their investments with Broad Financial will need to register for a self-directed IRA with checkbook control. This means registering a limited liability corporation and paying a $1,295 setup fee to go along with the $75 quarterly payment that goes to Broad Financial’s custodian. Checkbook control means investors have on-demand access to their investments and they don’t need to contact the custodian to make investing selections. The investor can simply use credit cards, debit cards or a checkbook to invest by making a payment to their corporation. There are no transaction fees associated with a checkbook control account, but there may be assisted transaction fees with a regular self-directed IRA that does not include a limited liability corporation.
Here’s a small table detailing Broad Financial’s fees.
| Self-Directed IRA | Self-Directed IRA With Checkbook Control | |
|---|---|---|
| Set -up Fees | $100 | $1,295 |
| Custodial Fees | $75 per quarter | $75 per quarter |
| Transaction Fees | $0 | $0 |
Customer Service and Support at Broad Financial
Broad Financial offers free lifetime customer support to our clients regardless of whether they open up a traditional self-directed IRA or a self-directed IRA LLC with checkbook control. Although the latter costs more, the support is free. That doesn’t mean that there may not be fees from third-party mutual fund providers or ETF providers, but Broad Financial itself does not profit off of interactions with clients over the phone or online.
What’s cool is that Broad Financial offers the ability to call a toll-free number or the option to set up a call at a specific day and time. This makes everything extra convenient for the investor who has lots of questions and needs to spend a significant amount of time talking to somebody about their concerns.
Broad Financial Customer Reviews
Broad Financial’s outstanding customer support is reflected in the customer reviews the company receives. Unlike many self-directed IRA competitors, Broad Financial actually has a page on their website listing their reviews left by real customers. It gives the company a real personal feel in the eyes of new prospects visiting their website. If word-of-mouth is the best form of advertising, nailing customer reviews is something Broad Financial does really well. Even in the eyes of the Better Business Bureau, the organization carries an A+ rating. Investors looking to invest independently while still getting the support they need when they need it will fare really well at Broad Financial.
Frequently Asked Questions About Broad Financial
Where is Broad Financial's Headquarters?
Broad Financial’s head office is located at 1 Paragon Drive Suite 275 in Montvale, New Jersey.
How can I withdraw money from Broad Financial?
Withdrawing money from a Broad Financial self-directed IRA account is as simple as asking for an electronic funds transfer to a bank account, transferring the money to a different Broad Financial account, or just having a check written out in your name.
Where can I cash a check from Broad Financial?
Most major banks and local credit unions will take a check from Broad Financial. Bankers can call to verify funds. It is also possible to use a payday loan service to cash a Broad Financial check. Keep in mind that most payday loan services charge between 1% and 5% on the value of the check to cash it for you immediately.
Is there a Broad Financial robo-advisor?
Broad Financial does not provide a robo-advisor service where an investor's options are automated, nor does the company offer any pre-bill portfolios to choose from. However, Broad Financial does have a questionnaire available on their website for prospects to fill out so that each individual investor can assess whether a self-directed IRA is right for them.
Should You Choose Broad Financial for your Self-Directed IRA?
Very few companies can compete with Broad Financial when it comes to customer reviews. That should speak volumes of the way Broad Financial approaches retirement investing planning for clients. While they could easily offer more account types to be more competitive in that sector of the IRA game, generally speaking Broad Financial is among the top competitors when it comes to smaller self-directed IRA providers.
Like many of their competitors, they offer a unique approach to diversifying investments. The company’s website preaches against the idea of investing solely in Wall Street-related securities and instruments like stocks and bonds. Erasing the negative memories created by the 2008 global economic crisis is clearly at the heart of the company’s mission and they’ve clearly been carrying out that mission very well over the last 12 years.
Broad Financial is definitely recommended as one of the top self-directed IRA providers in the industry today. If you’re still not sold, feel free to browse our exclusive list of the Best IRA Providers on the market to compare with the other leading companies.
- Phone : 1-800-395-5200
- URL :
- Global Rating
- Very Good
User Rating
- 0 No reviews yet!
Broad Financial launched in 2004 and is one of the few self-directed IRA companies to offer cryptocurrency. The company offers a very competitive fee structure, options for investing in Bitcoin and a wide range of fantastic customer reviews across different platforms. Find out if it’s the right self-directed IRA company for your needs.
