Stonebridge Advisors LLC

What Stonebridge Advisors LLC does

Stonebridge Advisors LLC is an SEC-registered investment advisor founded in 2004 and headquartered in Wilton, Connecticut, that specializes exclusively in the active management of preferred and hybrid securities for institutional investors and high net worth individuals. As of March 31, 2026, the firm manages $13.26 billion in assets under management or supervision through a 9-person investment team averaging more than 22 years of investment experience. Stonebridge operates as an affiliate of First Trust Portfolios L.P. and First Trust Advisors L.P., which serve as the primary distribution partners.

The firm offers three core separately managed account (SMA) strategies — Standard Taxable Preferred Securities, Tax-Advantaged QDI Preferred Securities, and Institutional Preferred Securities (including $1000 par institutional instruments) — and serves as discretionary sub-advisor to four First Trust fund products listed on the New York Stock Exchange: the First Trust Preferred Securities and Income ETF (FPE), First Trust Institutional Preferred Securities and Income ETF (FPEI), First Trust Intermediate Duration Preferred and Income ETF (FPF), and First Trust Preferred Securities and Income Fund (FPEIX). Stonebridge's investment framework combines proprietary industry and issuer-level credit analysis with macroeconomic themes, relative value analysis, and market technicals, supported by internally developed portfolio management, security selection, trading, and operational tools led by Chief Strategist Eric Weaver.

The business model is asset-based recurring revenue: Stonebridge earns investment advisory fees on SMA and institutional mandates plus sub-advisory fees on the four First Trust fund products. Distribution is conducted through an approved network of financial advisors for SMA strategies, direct institutional relationships, and First Trust's wholesaling network for retail and intermediary channels. The firm does not disclose fee schedules publicly; pricing is negotiated by channel and client type. Operating geographies are limited to the United States, and Stonebridge has not pursued disclosed acquisitions, external funding rounds, or material geographic expansion.

Name

Stonebridge Advisors LLC

Legal name

Stonebridge Advisors LLC

Website

https://stonebridgeft.com

Company type

Private

Founded year

2004

Operating status

Operating

Headcount range

11–50 employees

Short description

Stonebridge Advisors LLC is an SEC-registered investment advisor founded in 2004 that actively manages preferred and hybrid securities for institutional and high net worth investors, managing $13.26 billion in AUM via SMA strategies and four sub-advised First Trust funds.

Ownership category

akta.pro rank

Product category

Investment Management - Preferred and Hybrid Securities

NAICS

Portfolio Management and Investment Advice (523940)

SIC

Investment Advice (6282)

akta.pro primary industry

Advisory Portfolio Management (Non-Discretionary) (FSAAABAD)

akta.pro secondary industry

Managed Account Platforms (Separately Managed Accounts / Customized Portfolios) (FSAHAKAC)

Keywords

• Preferred securities management
• Hybrid securities investing
• Separately managed accounts
• Fixed income portfolio management
• Sub advisory services

Headquarters

HQ city

Wilton

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure

Revenue model

1. Investment Advisory Fees: Stonebridge earns investment advisory fees based on assets under management. The firm manages $13.26 billion in assets under management or supervision as of March 31, 2026, generating revenue through management fees on SMA strategies and institutional accounts.
2. Sub-Advisory Fees: Stonebridge serves as the discretionary sub-advisor to four First Trust preferred and hybrid securities fund products (FPE, FPEI, FPF, FPEIX), earning sub-advisory fees for portfolio management services.

Pricing tiers

Go-to-market motion2 records

Distribution channels3 records

Marketing channels3 records

Core offering

Stonebridge Advisors LLC is a registered investment advisor that actively manages preferred and hybrid securities portfolios for institutional and high net worth investors through three Separately Managed Account (SMA) strategies: Standard Taxable, Tax-Advantaged QDI, and Institutional. The firm also serves as the discretionary sub-advisor to four First Trust preferred and hybrid securities fund products (FPE, FPEI, FPF, FPEIX) available for direct purchase on the New York Stock Exchange, applying a proprietary investment framework built on industry- and issuer-level credit analysis, macroeconomic themes, relative value analysis, and market technicals.

Product overview

Stonebridge Advisors LLC offers a suite of separately managed account (SMA) strategies focused on preferred and hybrid securities, including the Standard Taxable Preferred Securities Strategy, Tax-Advantaged QDI Preferred Securities Strategy, and Institutional Preferred Securities Strategy. Additionally, Stonebridge serves as discretionary sub-advisor to four First Trust fund products (FPE ETF, FPEI ETF, FPF closed-end fund, and FPEIX mutual fund), providing institutional and retail investors access to preferred securities investment strategies through multiple vehicle types.

Differentiator

Problem solved

Functional benefit

Products and services

• Standard Taxable Preferred Securities Strategy Actively managed SMA strategy that seeks to maximize income and total return by generally investing within the $25 par exchange-traded preferred securities market for taxable investors.
• Tax-Advantaged QDI Preferred Securities Strategy Actively managed SMA strategy that seeks to maximize tax-advantaged preferred income for individual investors (not corporations) and total return by generally investing within the $25 par exchange-traded preferred securities market.
• Institutional Preferred Securities Strategy Actively managed SMA strategy that seeks to maximize income for institutional investors by investing in preferred, hybrid, and other approved securities that pay dividends and interest, including institutional ($1000 par) securities.
• First Trust Preferred Securities and Income ETF (FPE) ETF product sub-advised by Stonebridge Advisors that invests in preferred and hybrid securities, available for direct purchase on the New York Stock Exchange under ticker FPE.
• First Trust Institutional Preferred Securities and Income ETF (FPEI) Institutional ETF product sub-advised by Stonebridge Advisors that invests in preferred and hybrid securities, available for direct purchase on the New York Stock Exchange under ticker FPEI.
• First Trust Intermediate Duration Preferred and Income ETF (FPF) Closed-end fund product sub-advised by Stonebridge Advisors focusing on intermediate duration preferred and hybrid securities, traded on the New York Stock Exchange under ticker FPF.
• First Trust Preferred Securities and Income Fund (FPEIX) Mutual fund product sub-advised by Stonebridge Advisors that invests in preferred and hybrid securities, ticker FPEIX.

Quantifiable outcome

• $13.26 billion in assets under management or supervision

Segments3 records

Ideal customer profiles3 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature2 records

Partnerships

Six partnerships are on record, tiered core.

• First Trust Portfolios L.P.coreChannel Partner/ Reseller/ DistributorFirst Trust Portfolios L.P. is an affiliate of Stonebridge and serves as the primary distribution partner for Stonebridge's investment strategies. First Trust wholesaling team (866-848-9727) markets Stonebridge strategies to financial advisors and offers four Stonebridge sub-advised fund products on the NYSE.
• First Trust Advisors L.P.coreStrategic or Co-development PartnerFirst Trust Advisors L.P. is an affiliate of Stonebridge, working together on the management and distribution of preferred and hybrid securities fund products.
• First Trust Preferred Securities and Income ETF (FPE)coreChannel Partner/ Reseller/ DistributorETF product sub-advised by Stonebridge Advisors. Trades on NYSE under ticker FPE. Stonebridge serves as discretionary sub-advisor to this First Trust product.
• First Trust Institutional Preferred Securities and Income ETF (FPEI)coreChannel Partner/ Reseller/ DistributorETF product sub-advised by Stonebridge Advisors. Trades on NYSE under ticker FPEI. Stonebridge serves as discretionary sub-advisor to this First Trust product.
• First Trust Intermediate Duration Preferred and Income ETF (FPF)coreChannel Partner/ Reseller/ DistributorClosed-end fund product sub-advised by Stonebridge Advisors. Trades on NYSE under ticker FPF. Stonebridge serves as discretionary sub-advisor to this First Trust product.
• First Trust Preferred Securities and Income Fund (FPEIX)coreChannel Partner/ Reseller/ DistributorMutual fund product sub-advised by Stonebridge Advisors. Ticker FPEIX. Stonebridge serves as discretionary sub-advisor to this First Trust product.

Scale indicators4 records

Recent moves5 records

Expansion highlights5 records

Direct peers

• Flaherty & Crumrine: One of the longest-tenured specialist managers of preferred and hybrid securities, with multiple open-end mutual funds, closed-end funds, and SMA strategies. Closest pure-play comparable to Stonebridge by asset class, client base, and SMA-plus-fund delivery model.
• Cohen & Steers: Publicly traded specialist in preferred securities, REITs, and real assets, with a Preferred Securities and Income Fund and SMA offerings. Directly competes with Stonebridge in preferred securities mandates for institutional and intermediary clients.
• Tortoise Capital Advisors: Income-focused credit manager with closed-end funds and SMA strategies across credit and income-producing securities. Comparable to Stonebridge in its specialist income orientation and use of sub-advised wrapper products distributed to retail and institutional clients.

Broad incumbents

• Nuveen (TIAA): Large diversified asset manager offering preferred securities and income strategies as part of a much broader fixed income and equity product shelf. Overlaps with Stonebridge in preferred securities mandates but operates at materially greater scale and product breadth.
• Lazard Asset Management: Global asset manager with a Preferred Securities open-end fund and broader fixed-income product range. Competes with Stonebridge in the preferred securities sleeve for institutional and intermediary distribution.
• Victory Capital (USAA Preferred): Multi-affiliate asset manager whose USAA Preferred Securities Fund and related income strategies compete with Stonebridge's intermediary-distributed preferred products. Broader product shelf but overlapping target customer base.
• BlackRock: World's largest asset manager with extensive fixed-income, preferred securities, and SMA capabilities. Represents the largest incumbent competitor for institutional preferred-securities mandates but does not specialize exclusively in the niche.
• Western Asset Management: Large fixed-income specialist with credit, structured products, and institutional SMA offerings. Comparable as a credit research-driven active manager serving institutional clients, though broader than Stonebridge's preferred-securities focus.
• PGIM Fixed Income: Global fixed-income manager with credit, structured, and institutional SMA capabilities. Overlaps with Stonebridge in institutional preferred and hybrid securities mandates as part of a much broader multi-sector credit platform.
• Eaton Vance (Morgan Stanley Investment Management): Diversified asset manager with income, credit, and preferred securities strategies; now part of Morgan Stanley Investment Management. Competes in intermediary and institutional preferred-securities distribution with a much wider product shelf.

Market position

Strengths4 records

Weaknesses4 records

Competitive moat4 records

Key risks6 records

Key highlights6 records

Customer concentration

Revenue estimate

Valuation estimate

Number of profiles

Profiles9 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Stonebridge Advisors LLC