What is Apex and why does Facet use it?

Apex Clearing Corporation, a wholly owned subsidiary of Apex Fintech Solutions, is a clearing firm and custodian that helps Facet handle the day-to-day details of transactions and accounts we manage for our members. Behind the scenes, all financial planning firms that directly manage client assets use custodians to facilitate the purchase, sale, and safekeeping of securities.

While Apex is a major custodian that manages accounts for over 200 firms, the majority of their work happens outside of the spotlight — which connects to one of the main reasons we selected them. Unlike some other custodians, Apex does not promote or sell their own investment products. This helps Facet make objective decisions in the best interests of our members.*

Why did Facet choose Apex?

After conducting thorough due diligence on multiple custodians, Facet chose Apex for several reasons:

• Apex provides our experts with the access to capital markets we need to buy and sell securities on behalf of our members.
• Apex is one of the very few custodians that does not have their own in-house investment products (which Apex doesn’t offer).
• Apex offers a combination of low fees, extensive products and services, and technology integration Facet needs to provide a world-class member experience.

How large is Apex?

As of April 2026, Apex manages 37 million+ investor accounts and over $229 billion in assets under custody, with 20+ years of custody experience and active investors across 170 countries, according to Apex data. While not a household name, Apex manages client accounts for hundreds of firms, including many of the most well-known brands in the industry.

How is my money protected at Apex?

As a U.S.-based custodian, Apex is subject to significant regulatory oversight designed to protect financial integrity, prevent the misuse of client funds, and ensure that trades are properly executed. A dedicated security team takes a holistic approach in line with industry best practices — including rigorous testing, auditing, and a focus on application security, threat monitoring, data privacy, and data retention. Additionally, Apex’s CEO, Bill Capuzzi, sits on the board of the Depository Trust and Clearing Corporation (DTCC), which provides essential infrastructure to protect the security of the global financial system.

Do Apex accounts carry SIPC insurance?

The Securities Investor Protection Corporation (SIPC) protects against the loss of cash and securities – such as stocks and bonds – held by a customer at a financially-troubled SIPC-member brokerage firm. The limit of SIPC protection is $500,000, which includes a $250,000 limit for cash. SIPC protection is limited. SIPC only protects the custody function of the broker dealer, which means that SIPC works to restore to customers their securities and cash that are in their accounts when the brokerage firm liquidation begins. SIPC does not protect against the decline in value of your securities. SIPC does not protect individuals who are sold worthless stocks and other securities. SIPC does not protect against losses due to a broker’s bad investment advice, or for recommending inappropriate investments. Custodians offer SIPC insurance for securities and cash. Likewise, SIPC insurance does not protect against market fluctuation.

Note SIPC protection is different from FDIC protection that exists on bank deposits. See this article for more information on FDIC vs. SIPC insurance.

Does Apex have excess SIPC insurance?

Yes. Apex carries $150 million in excess SIPC insurance.

What would happen if Apex had financial trouble?

Unlike banks, a custody firm does not access your money for its own use. Banks use your deposits to make loans, whereas custodians simply hold your money in segregated accounts. There can be some exceptions to this, such as if you use margin in your account. However, speaking strictly about the way Facet uses Apex accounts, your money is never used to make loans or for any other purpose by Apex.

Another key protection regulators require is that U.S. custody firms are legally separate from their parent companies. For example, Apex Fintech Solutions is the parent company, and Apex Clearing Corporation is the custodian. If the parent company were to go into bankruptcy, the custody arm would keep operating.

The Lehman Brothers bankruptcy in 2008 provides a good example of how these protections benefit individual investors. Lehman Brothers Inc. declared bankruptcy on September 15th 2008. However, Lehman’s brokerage unit was specifically excluded from the bankruptcy. This unit was sold to Barclays a few days later. Obviously there was tremendous market turmoil during this time, but individual customers did not lose any money due specifically to the bankruptcy. If you had been a regular brokerage customer of Lehman Brothers at that time, you simply would have become a Barclays customer.

How does Facet safeguard accounts at Apex?

Facet closely monitors Apex’s business practices to ensure that they continue to provide reliable services. If we detected any material risk to members, we could simply change custodians. We have back-up agreements prepared and could make such a switch if necessary.

To further protect our members, Facet’s accounts are segregated from Apex’s company finances. This means that Apex cannot use any of the funds we manage on your behalf for any purpose whatsoever, regardless of their financial condition.

Facet takes the security of your account very seriously. Besides conducting thorough due diligence before working with any provider, we employ ever-evolving tools and infrastructure to safeguard your financial and personal data.

What fees do I pay to Apex?

There are no commissions or other fees for members on any securities or mutual funds. There may be small fees for certain transactions, such as wire transfers or paper checks.

Why do I have to sign separate account agreements with Facet and Apex?

Because Facet and Apex are separate entities, both are required to have account agreements with clients. These agreements, which outline the roles and responsibilities of each firm and the client, are standard in the industry.

Why are there criticisms of Apex online?

Apex is a behind-the-scenes clearing and custody resource that doesn’t interact directly with clients. However, their name often appears on brokerage statements. For this reason, customers who are frustrated with their introducing brokers sometimes leave negative reviews for every company they see on their statement, including Apex. We assure you that Apex is fully vetted, and we have found their service to be excellent.