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MCM - Frequently Asked Questions
MCM – Frequently Asked Questions

What is the organizational structure of Marketocracy Capital Management? How is it related to the other company entities?

Marketocracy Inc. was founded by Ken Kam in 2000. Its two wholly-owned subsidiaries are Marketocracy Data Services LLC (MDS), an investment research firm, and Marketocracy Capital Management LLC (MCM), an S.E.C. registered investment advisor. MCM contracts with MDS to use the research generated by the Marketocracy Masters to manage mutual funds (Symbol: MOFQX), and separately managed accounts (SMAs) for clients. The minimum investment to open an SMA is $100,000.

How does Marketocracy Capital Management use the research generated by Marketocracy Data Services for client accounts?

At Marketocracy Inc., our investment strategy is simple: find the right people and hold them accountable for results. We believe the most convincing evidence of investment skill is not found in a resume but in a long-term track record. After careful vetting and reviewing of track records, MDS invites members with top-performing, outstanding portfolios to join the m100 – the Marketocracy bench. 

From the bench, the best m100 members go on to join the ranks of our Marketocracy Masters. Marketocracy Masters are members whose model portfolios are used to guide professional investment management at Marketocracy Capital Management LLC (MCM), an S.E.C. registered investment advisor. MCM contracts with MDS to use the research generated by the Marketocracy Masters to manage mutual funds, hedge funds, and separately managed accounts for clients at all levels of risk tolerance.

The fund managers at MCM analyze the Masters’ portfolios individually and as components of different investment strategies, then blend customized investment portfolios for our clients.

Who are the Marketocracy Masters?

Adam Thompson

Eugene Groysman

Ian St. Martin


Wayne Himelsein

Jim Van Meerten

Tim Eriksen

Timothy Siegel

Mike Koza

Christopher Rees

John Navin

Kai Petainen

Justin Uyehara


What does the fee schedule look like for Marketocracy Capital Management clients? 

Click here to see our SMA Program Fees.

Click here to review FOLIOfn’s Special Service fees.

What is “window trading”? 

A window trade is an innovative way of placing trades designed for long term investors. Instead of being executed immediately, trades are grouped together, matched internally, and the remaining orders are sent to the market twice a day.

More information on window trading can be found at FOLIOfn’s website:

Since the asset-based brokerage fee (wrap fee) at FOLIOfn provides for unlimited commission-free window trading, why would limit orders ever be used?

While FOLIOfn does provide unlimited commission-free window trading under their wrap-fee program, there are very rare occasions when we believe that a client would be better served to enter a limit order instead of participating in a window trade. For example, if a relatively large order in a client account appears unlikely to receive a mid-market price for a trade due to the size of the order relative to a stock’s liquidity, we might enter a limit order for this trade for the client because we believe that the client will likely benefit more than the $3.95 commission for the trade.

If a commission is charged, it is charged by FOLIOfn – not by Marketocracy Capital Management (MCM). MCM does not receive any payment for commissions that might be charged to our clients; so it is in our best interest to make these decisions based upon what is best for the client.

How does MCM handle and oversee separately managed accounts for clients?

MCM account paperwork is completed by the prospective client/investor.

After review and approval, MCM opens an account on behalf of the investor and in the name of the investor at FOLIOfn Investments, MCM's third party broker/custodian.

MCM emails the investor their login and password details for their account at FOLIOfn Investments (FOLIOfn).

The investor funds their account at FOLIOfn via wire transfer, EFT, check, or ACATS transfer.  MCM personnel can assist/facilitate with any necessary account transfer documents.

The investor selects their investment strategy or strategies and confirms the details in a Client Instruction Form. MCM account representatives are available to discuss the investment strategies and to advise on the construction of a portfolio of strategies tailored to match the investor's goals, financial profile, and risk tolerance.

What role does FOLIOfn play? 

FOLIOfn acts as the third party broker custodian for all MCM separately managed accounts and provides SIPC insurance coverage and, in some circumstances, FDIC coverage. Details can be found at

What is the benefit that an MCM client received by having an account at FOLIOfn?

Utilizing FOLIOfn as a third party custodian provides an independent source for account valuation and fee calculation, as well as daily liquidity and near real-time visibility into your account holdings and transaction history.

What services does FOLIOfn provide?

FOLIOfn provides a wrap fee program with allows for unlimited "window trading" for a single asset based fee. [See section on Account Fees]. Additional details can be found at

FOLIOfn provides a wide range of brokerage related services and expertise including Retirement Account Administration (IRA/Roth IRA/SEP IRA/etc.), ACATS transfers, incoming & outgoing wires, incoming & outgoing EFTs, Tax reporting, electronic statements, etc.

Currently, MCM SMAs below $5,000,000 are available only on the FOLIOfn platform. SMAs over $5,000,000 can be placed with alternate custodians by special agreement subject to certain limitations.

What investment strategies for separately managed accounts does MCM offer to clients?

MCM manages investment accounts according to the strategies selected by the clients. These strategies are categorized as either Team Strategies or Individual Model Strategies.

Individual Model Strategies are primarily defined by a list of qualified individual investment models managed on the MDS platform by Marketocracy Masters (Analysts).

Team Strategies are managed by Ken Kam and consist of various combinations and weights of Individual Model Strategies designed as a whole to pursue an overall strategy.

The currently available Team Strategy is the Explore team. 

What is The Explore Team?

The Explore Team strategy is generally designed for investors with at least moderate risk tolerance and an investment time horizon of 10 or more years (or the portion of an investor's portfolio that has these characteristics).

The Explore Team is more appropriate for those investors who generally are not as worried about downside protection because their investment time horizon or risk tolerance is such that they expect to maintain their portfolio position longer than any broad equity market correction.


Please note that past performance is no guarantee of future results.



Contact Info

Marketocracy Capital Management, LLC.

In California:
     26888 Almaden Court
Los Altos, CA 94022
In Texas:
1208 West Magnolia — Suite 236
Fort Worth, TX 76104

(877) 462-4180