Retirement Portfolio Management, under John Disney’s direction, provides fiduciary advice as an RIA under ERISA 3(21). Our operations fall under both the BIC and Level Fee Exemptions. (Explanation Below)
Our RIA has impartial conduct standards that align with the rule of 1) providing advice in the client’s best interest, 2) receiving only reasonable compensation, and 3) not making materially misleading statements. Our policy is not to enter into any investment advice contract where a conflict of interest exists, nor receive compensation that provides our RIA with additional compensation or incentives based on the type of investment products that are placed within client portfolios.
Retirement Portfolio Management, through its Website, ADV II and Investment Management Agreement discloses (on or before entering into a service agreement) all services offered to our clients within a level fee structure, i.e., portfolio management services, ongoing financial counseling, and client education.
John Disney, or the RIA under his control; does not disclaim liability, ask clients to waive rights, nor limit a client’s ability to assert a legal claim. Additionally, our RIA acts with care, prudence and diligence in fully understanding our client’s investment objectives, risk tolerance, and expectations from our company.
Also, our RIA is a level fee fiduciary that receives only a flat/level and fixed fee based on a percentage of the value of assets within client accounts that we provide recommendations for. We receive absolutely no additional compensation based on investment type, sales commissions or even trailing commissions. The sliding scale of our investment management fee structure is clearly indicated on the investment management agreement and ADV II (Brochure) provided to clients before the commencement of financial services.
Recommendations we offer our retired clients is in their best interest due to one [or all] of the following conditions applying: 1) the client is unable and un-knowledgeable about how to manage their investments independently, correctly and cautiously, 2) the client has decided that our company’s account management style and value-added services surpass those of their current advisor, custodian or fiduciary (in the case of a retirement account rollover). & 3) in the case of a retirement plan rollover or retirement account switch from a competitive company to our firm: A) a client’s alternatives are clearly discussed with them such as leaving money in their former employer’s retirement plan (if applicable), B) fee differences between the previous retirement plan, and what our company or our custodian charges, are clearly discussed. Along with that conversation, the levels of service offered (such as an assigned financial advisor over the account) between the two options will also be discussed.
RPM (Retirement Portfolio Management) does not take custody of client accounts at any time. Custody of client’s account funds are held strictly at Schwab Institutional, a division of Charles Schwab & Co., Inc. Clients will receive account statements from the custodian and should carefully review those statements. As per client request, and with “Standing Letter of Authorization” approval, all RPM clients have the option for our firm to move money to their bank (1st party) or a beneficiary’s bank (3rd party). Current SEC law deems this 3rd party action as “custody”; even though this legal designation may undergo future change. Regardless, there has never been in the past, nor will there be in the future, any financial [or other] relationship between Retirement Portfolio Management (Jacob Mazone) and a client’s 1st or 3rd party recipient.