Frec: Direct indexing 0.1.14

The Frec Direct Indexing platform offers a compelling approach to investment, allowing users to retain more of their earnings by achieving market returns on well-known indices such as the S&P 500 while minimizing capital gains taxes with fees starting at just 0.1%. The accompanying mobile app facilitates user-friendly investment management, empowering individuals to take charge of their financial futures.

Direct Indexing

Frec allows investors to directly hold individual stocks within major indices like the S&P 500 or Russell 2000, complemented by automated daily tax-loss harvesting to enhance efficiency. This feature promotes effortless, passive investing while providing the flexibility to customize portfolios through stock exclusions and additions, fostering diversified growth with enhanced control.

Portfolio Line of Credit

For those requiring liquidity without liquidating assets, Frec extends a portfolio line of credit (PLOC) that offers access to cash at competitive rates—constantly aligned with the Effective Federal Funds Rate plus 1%—ideal for financing significant purchases or direct indexing strategies.

Maximizing Idle Cash Returns

Frec provides opportunities for maximizing returns on idle cash through higher yields while maintaining security. The platform’s highly liquid Treasury services simplify the management of recurring deposits.

Commission-Free Trading

Investors can engage in commission-free trading for individual stocks and ETFs, along with an effortless process for transferring assets from other brokerages.

Security of Assets

Your investments are held in a secure environment with Apex Clearing, a custodian known for managing $141 billion in assets. Frec ensures robust protection measures, including encryption and two-factor authentication (2FA), and is a member of SIPC. Securities within accounts are safeguarded up to $500,000, with additional coverage provided by Apex up to $150 million.

Simplified Onboarding

Beginning your investment journey with Frec is quick and straightforward—users can set up accounts, customize portfolios, and start investing with minimal effort.

Upcoming Features

Frec is expected to expand its offerings shortly with new options for trust and business accounts. Users will soon be able to manage these accounts via the web platform and the mobile app post-approval, simplifying family asset management and business investments while maintaining low fees and tax-efficient strategies.

Disclosures:

• Product images are illustrative and do not serve as trade recommendations.
• No trade commission fees apply; however, other charges may exist. For detailed fee information, refer to Frec’s fee schedule at this link.
• AUM fees for Frec range from 0.10% to 0.45% based on the chosen direct index strategy, with competitive rates compared to other providers such as Wealthfront and Fidelity.
• Borrowing via margin may elevate investment risks; it is advisable to review Frec's Margin Disclosure prior to engaging in margin borrowing.
• The minimum investment required varies by strategy, as indicated in product descriptions.
• All information represents conditions as of 12/12/2024. Investing involves inherent risks, including potential loss of principal.
• Brokerage services are provided by Frec Securities LLC (member FINRA/SIPC), while advisory services come from Frec Advisers LLC (an SEC-registered investment adviser), both subsidiaries of Frec Markets, Inc.
• Account holders must be at least 18 years old and legal U.S. residents.

Address: 171 2nd St., 3rd Flr., San Francisco, CA 94105
Email: [email protected]