- A+ BBB rating
- Live chat support
- Comprehensive reporting
- Led by industry experts
- Higher fees
- U.S. investors only
Horizon Trust Company is a self-directed IRA provider that offers experienced investors an all-in-one platform for managing investments.
While the company has a great customer service reputation, it is one of the most expensive providers available.
Read more to see if Horizon Trust aligns with your investing goals.
The Verdict for Horizon Trust Company
I’ve given them a rating of 7.3 out of 10.
Horizon Trust Company is a SDIRA custodian with an overwhelmingly positive customer service track record.
While Horizon Trust offers a comprehensive all-in-one platform to add alternative assets to your portfolio, that does come at a high cost.
Before investing, evaluate Horizon Trust’s fees and offerings to determine whether or not it aligns with your financial goals.
| Category | Rating (out of 10) |
|---|---|
| Investment Options | 8 |
| Pricing & Fees | 6 |
| Account Setup & Maintenance | 7 |
| Customer Service & Support | 9 |
| Security & Compliance | 6 |
| Reputation & Reviews | 8 |
| Resources & Tools | 7 |
| Overall Rating | 7.3 |
In this review of Horizon Trust Company, I’ve followed GIC’s detailed criteria for evaluating the self-directed IRA custodian.
About Horizon Trust Company
Founded in 2010, Horizon Trust Company is a self-directed IRA custodian based in Albuquerque, New Mexico.
The company enables investors to diversify their retirement savings by investing in alternative assets like real estate and precious metals.
Horizon Trust Company’s mission is to educate investors on the benefits of SDIRAs so they can use them to build generational wealth.
The company is managed by its founder Greg Herlean and president Steven Little. Herlean has personally managed $1.3 billion in real estate investments.
They bring decades of experience investing in real estate, offering investors insight on how to establish financial security through alternative assets.
Horizon Trust Company has an A+ rating with the BBB and has been accredited since 2015.
Investment Options
Horizon Trust Company offers a variety of tax-advantaged SDIRA accounts including:
- Self-directed traditional IRA
- Self-directed Roth IRA
- SEP IRA
- SIMPLE IRA
- Individual 401(k)
- Health Savings Account
- Coverdell Education Savings Account
Within these accounts, investors can invest in several types of alternative assets:
- Real estate
- Precious metals
- Cryptocurrency
- Private equity
- Promissory notes
- Tax liens
- Private offerings
With these options, Horizon Trust offers flexibility for investors to allocate their portfolios beyond traditional stocks and bonds.
Some assets like life insurance policies and collectibles are not supported by Horizon Trust Company and transactions involving disqualified persons are not permitted.
Horizon Trust Company does not have any preferred providers, but they do partner with different companies to facilitate investments across different asset classes.
Investors are individually responsible for selecting investment opportunities and partners that align with your personal financial goals.
To select investments for an account, identify the investment you’d like to make and instruct Horizon Trust to execute the investment on your behalf.
Once the investment has been made you’ll be able to monitor it on your Horizon Trust investor dashboard.
Pricing & Fees
Horizon Trust Company maintains a transparent fee schedule. The setup and first-year fee for accounts is $2,995.
After that, Horizon Trust charges a flat fee for accounts less than $40,000 and a sliding percentage fee based on account size:
| Account Value | Fee |
|---|---|
| $0-$40,000 | $395 |
| $40,001-$80,000 | 1% |
| $80,001-$150,000 | 0.6% |
| $150,001-$250,000 | 0.4% |
| $250,001 and above | 0.3% |
Speciality accounts like a CESA or an HSA come with a separate fee structure. The activation fee for a CESA, HSA, or precious metals account is $250.
The annual fee for these accounts is $395. Individual 401(k)s come with a $350 setup fee.
In addition to the annual account maintenance fees, Horizon Trust also charges separate transaction fees:
- Late fee: $25 per 30 days
- Form 1099-R: $100
- Account termination fee: $500
The company does not charge a wire fee, research fee, a Roth conversion fee, or a paper statement fee.
Compared to other SDIRA providers, Horizon Trust’s fees are well above the industry standard.
The account setup and first-year fee is higher than other providers and a percentage-based fee based on account value can make account maintenance more expensive for some investors.
Account Setup & Maintenance
Setting up an account with Horizon Trust Company is a straightforward process:
- Choose an account type to open
- Fund the account with a contribution or a rollover from an existing retirement account
- Select your investments
- Complete Direction of Investment form to authorize Horizon Trust to execute the investment on your behalf
You will need to verify your identity to open your account. This may include submitting your driver’s license and Social Security Number.
A Horizon Trust Company representative will work with you to rollover funds from an existing retirement account.
This must be done within 60 days of initiation to avoid taxes and penalties.
Once your account is active and investments have been selected you’ll gain access to Horizon Trust’s online portal. It gives you real-time access to your investment’s performance.
You can use the portal to monitor your account, manage your investments, and submit transaction requests.
Customer Service & Support
Horizon Trust Company offers customer support via phone, email, or live chat. You can call the customer support team at 888-205-6036 or send an email to [email protected].
To speak to a dedicated support specialist to set up a new account, you can also call (505) 847-8944.
Existing clients report Horizon Trust is professional and knowledgeable. Support staff is well-equipped to answer questions.
Horizon Trust offers a no-obligation 60-minute consultation to any investor interested in working with the company.
Security & Compliance
Horizon Trust Company prioritizes security to ensure investor’s assets are safe and protected. Cash that hasn’t been invested is FDIC insured up to $250,000.
The company adheres to IRS and state regulations regarding SDIRAs. They ensure investors stay within annual contribution limits and do not allow prohibited assets to be added to SDIRA portfolios.
Horizon Trust Company does not publicly share the data protection measures it undertakes to secure investor data.
It also does not share about internal audits or controls to ensure regulatory compliance.
Reputation & Reviews
Horizon Trust Company has a 4.9-star rating from 336 reviews on Trustpilot. It also has a 4-star rating from 12 customers on the Better Business Bureau.
Investors are overwhelmingly content with Horizon Trust Company’s services and support.
There are no formal complaints against the company. Negative complaints include high account closure fees and issues contacting investment partners.
The company maintains social media accounts on Facebook and Instagram.
Resources & Tools
Horizon Trust Company offers a simple library of educational resources to help investors make informed decisions about SDIRA investing.
This includes free ebooks and guides about investing in specific assets like real estate or private equity.
The company also offers a video library with resources on how to use an SDRIA as part of your overall investing strategy.
Videos include tax strategies, the basics of investing with an SDIRA, and asset-specific webinars with industry experts.
The education section of the website includes a compound interest calculator and you can elect to sign up for Horizon Trust’s newsletter.
There aren’t any additional advanced tools and the company does not offer market analysis or investment advice.
Horizon Trust Company Alternatives
While Horizon Trust Company is a well-respected SDIRA custodian, its high fees might not make it the best option for all investors.
Here are a few alternatives to consider.
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Our Rating:
4.8
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Our Rating:
4.5
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Our Rating:
4.2
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Setup fee for IRA:
$360-$600
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Setup fee for IRA:
$50
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Setup fee for IRA:
$50
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Rocket Dollar
Rocket Dollar is ideal for investors who want the most flexibility. It offers self-directed IRAs and solo 401(k)s and investors can choose from a variety of assets, including the option to “bring your own deal.”
While the setup fees are also on the high end, they are considerably lower than Horizon Trust.
Get started with Rocket Dollar today!
Equity Trust Company
Equity Trust Company brings decades of experience and is one of the oldest SDIRA custodians out there. It also offers a wide range of account types including HSAs.
Equity Trust is ideal for investors who want diverse account options beyond an IRA at an affordable rate.
The Entrust Group
The Entrust Group has 40 years of experience and offers a variety of account options including HSAs and CESAs.
It is a cost-conscious alternative to Horizon Trust with annual fees starting at $199 and a 0.15% fee for accounts with total asset values over $50,000.
Is Horizon Trust a good company?
Horizon Trust Company offers a range of self-directed accounts designed to help investors build wealth through alternative assets.
It is best for experienced investors who want an array of alternative investment options and are comfortable with the high fees.
New investors who are learning about alternative investments or cost-sensitive investors might find other providers more suitable.
Evaluate Horizon Trust’s offerings to see if it’s the right partner for your financial goals.
FAQs
Who owns Horizon Trust Company?
Horizon Trust Company is privately owned and was founded by Greg Herlean in 2010.
Does Horizon Trust have any pending lawsuits or complaints?
The company is a defendant in a 2019 personal injury lawsuit brought about by a tenant living in a property managed by a real estate investor who held investment properties in an SDIRA with Horizon Trust.
Horizon Trust is also involved in a lawsuit filed in 2021 for violating federal pension law as part of an employee stock ownership plan it was a trustee of.
What type of transactions are prohibited?
Prohibited transactions include self-dealing, providing personal benefits, or engaging in financial interactions with disqualified persons such as family members.
Horizon Trust Company does not support some alternative assets including art.
Horizon Trust Company
Horizon Trust Company is a custodian that offers IRA custodial services for clients looking to self direct their IRA.
Product Brand: Horizon Trust Company
3.6