Trust Advisors, Inc. (“TAI”) was formed and registered with the Securities and Exchange
Commission as a registered investment adviser in 2011. TAI is a wholly-owned subsidiary of
Service Corporation International (“SCI”), a publicly-held company headquartered in Houston,
Texas, which is a leading provider of funeral and cemetery services in North America. As used
herein, “SCI” refers to Service Corporation International and its subsidiaries and affiliates. SCI
enters into various contracts requiring future performance, prepaid funeral (known as preneed
contracts), cemetery perpetual care and prepaid cemetery merchandise trusts. Such services are
provided through entities that are directly or indirectly owned and/or controlled by SCI. In
connection with providing such services, SCI engages the services of certain trustees unaffiliated
with SCI (the “Trustees”) to manage SCI’s assets held in various trust accounts, which include a
significant amount of assets in preneed contracts, cemetery perpetual care and prepaid cemetery
merchandise trusts.
The business of TAI is to provide investment advisory and recordkeeping services (as described
below) for trust assets. The trust assets are held by pooled investment funds (“private fund clients”
together with the Trustees, the “Clients”) or the Trustee, if required by state regulation. The Clients
contract with TAI
to provide investment advisory services, as well as trust accounting, trust
oversight, trust performance monitoring, and other ancillary functions (collectively,
“recordkeeping services”) covering the trust assets. TAI’s primary investment advisory services
include performing due diligence to find, evaluate, and recommend asset classes and investment
managers to manage the assets held in the trust accounts. TAI then subcontracts certain investment
advisory functions to another investment adviser, LCG Associates, Inc. Some trust accounting
services and investment performance monitoring are also subcontracted to third-parties.
The composition of the trust funds is dependent upon the investment goals of the underlying trusts,
as well as state law mandating such trusts, and may be comprised of one or more of the following
security types:
Certificates of Deposit Municipal Securities
Commercial Paper Mutual Funds/Exchange Traded Funds
Corporate Debt Partnerships
Equity Securities (exchange listed and
OTC)
Publicly Traded Master Limited
Partnerships
Guaranteed Insurance Contracts United States Government Securities
As of December 31, 2023, the assets for which TAI provides investment advice and administrative
support were equal to approximately $5,498,238,641. All investment decisions for such assets are
ultimately made by the Clients and not by TAI.