A. Janiczek Wealth Management, LLC (the “Registrant”) is a Delaware limited liability
company formed as of January 1, 2021. The Registrant succeeded the registration of JJJ
Advisors, Inc., which originally became registered as an Investment Adviser Firm in
December 1990. The Registrant is principally owned by JJJ Advisors, Inc., which in turn is
principally owned by Joseph J. Janiczek, the Registrant’s CEO.
B. As discussed below, the Registrant offers to its clients (individuals, pension and profit
sharing plans, business entities, trusts, estates and charitable organizations, etc.) investment
advisory, financial advisory/planning, retirement advisory/planning, business
advisory/planning and wealth management related services. The Registrant also provides
financial advisory/planning, retirement advisory/planning, business advisory/planning and
wealth management related services, hereon after referred to as “a la carte” services on a
stand-alone basis, particularly when a transaction or event on the horizon is expected to
result in a windfall of assets requiring investment advisory services in addition to the a la
carte services offered and provided until then.
OPTION # 1: INVESTMENT ADVISORY ONLY SERVICES
The Registrant’s investment advisory services are offered (Option #1) on a stand-alone
basis for those who desire to limit the scope of the engagement solely to investment
advisory services. This option is called The Complete Investment Solution (CIS).
The Complete Investment Solution (“CIS”) is a service package for clients who only want
professional investment portfolio management services (not investment management
integrated with financial planning/advising, wealth management, and retirement
planning/advising).
Registrant shall discharge its investment management responsibilities by building a
diversified portfolio of recommended investment vehicles tailored as needed to match the
Client’s general economic and taxation circumstances, investment time horizon, risk
temperament, and investment objectives as specified by selections made within the
Registrant’s official Investor Profile (hereinafter referred to as the “IP”) form, filled-out,
signed and amended (by replacing a past IP with a new, later dated IP) from time to time by
the Client and/or any other specific written investment instructions received and verbally
verified (for cyber-security, quality control and clarification purposes) by the Registrant
from the Client. If various accounts or registrations within the portfolio have different risk,
time horizon or investment objective profiles, a separate IP form will be prepared to specify
separate profiles of the Client by account(s) and/or registrations.
The Registrant’s official IP form will explicitly 1) define whether the Client is selecting an
Income, Income and Growth, Core, Growth or Aggressive Growth mix and define the
associated risk temperament (conservative/moderate, moderate, moderate/aggressive or
aggressive) and investment objective of the Client and account(s) to be managed under this
IP; 2) define the typical “neutral” equity-like (including equity-like alternatives) and fixed-
income-like (including fixed-income-like alternatives) currently associated with the
portfolio; 3) define the pre-approved overweight and underweight tactical shift range of
the equity-like, fixed-income-like, and cash-like (such as money market funds or Treasury
Bills) asset classes within the portfolio the Registrant is able to institute on the basis of the
Registrant’s assessment of investment opportunities, dangers, and conditions, which unless
explicitly defined otherwise in the IP or other written and confirmed instructions, is plus
(+) or minus (-) ten percent (10%) the defined neutral target weight for each asset class; 4)
the desired client-defined minimum/maximum cash reserve target associated with the
Account(s), if any; and 5) provide any written restrictions or other instructions that apply to
the Client across all Accounts or specific accounts or ownership registrations.
The Assets will be managed by Registrant based upon the IP on an ongoing basis, adjusting
holdings and target allocations within the approved neutral and tactical overweight or
underweight tolerance range based upon Registrant’s assessments of economic dangers,
strengths, conditions and opportunities and Registrant’s assessments of each asset class’,
investment vehicle’s and/or manager’s ability to perform in current, possible or expected
conditions. Such asset allocation ranges can and will fluctuate within the approved range
and outside the approved range as normal or extreme market conditions impact the daily
market price of holdings within the portfolio. The Registrant has the discretion to select
when to rebalance mixes back to the approved tolerance range and targeted levels based
upon Registrant’s assessment of investment conditions within each asset class, sub asset
class and/or asset sector. Rebalancing portfolios back to targeted ranges is generally
executed inside each calendar year and may occur multiple times within a calendar year,
but also may be thoughtfully extend beyond such a calendar year period in certain
investment environments and circumstances.
Economic, fundamental, and technical research data is considered by Registrant in an
Evidence Based Investing (EBI) investment management approach. Exchange traded funds
(“ETFs”) (both indexed and managed), mutual funds, and separate account managers are
the primary vehicles selected by Registrant to achieve the targeted equity-like and fixed
income-like allocations/ranges. These may be augmented by individual equity or fixed
income holdings or alternative asset class and hedge fund managers (depending upon if the
Client meets net worth qualification standards for such vehicles).
This service package includes recommendations and services related to all five aspects of
the Registrant’s Evidence Based Investing approach: 1) Asset Allocation, 2) Security
Selection, 3) Trading and Monitoring, 4) Tactical Adjustments and 5) Review and
Rebalancing Routines. The Client will receive: 1) at least quarterly account statements from
the custodian utilized, 2) Quarterly Performance Reports, 3) written or video/audio
publications and email alerts and 4) discretionary portfolio management from Registrant
on an ongoing basis. Client may also gain access to the Registrant’s online Client Portal
which provides information on the value, allocation and performance of accounts and
holdings as of the closing price last recorded in the Registrant’s portfolio management
system. After a one- or two-session start-up process, client briefing sessions are generally
offered and recommended semi-annually. No financial, retirement or estate planning
analysis or services are offered in this investment advisory only service package. The
Client, under a separate agreement and fee schedule, can pursue other services offered by
the Registrant or upgrade to a different service package that may include financial,
retirement, business or estate planning analysis or services if such services are desired.
Unless the Client has advised the Registrant to the contrary, in writing, there are no
restrictions that the Client has imposed upon the Registrant with respect to the management
of the Assets.
The Client agrees to provide information and/or documentation requested by Registrant in
furtherance of this Agreement as pertains to Client’s objectives, needs and goals, and
maintains exclusive responsibility to keep Registrant informed of any changes
regarding same. Client acknowledges that Registrant cannot adequately perform its
services for Client unless Client diligently performs his responsibilities under this
Agreement. Registrant shall not be required to verify any information obtained from Client,
Client’s attorney, accountant or other professionals, and is expressly authorized to rely
thereon.
In the event that the Client has retirement and/or 401k, 403b or other qualified accounts at
a current or former employer, Client acknowledges that Registrant will not manage such
assets under this Agreement and shall not charge the fee defined in this Agreement for such
investment accounts of the Client.
Client authorizes Registrant to respond to inquiries from, and communicate and share
information with, Client’s attorney, accountant, and other professionals to the extent
necessary in furtherance of Registrant’s services under this Agreement.
OPTION # 2: INVESTMENT ADVISORY SERVICES AUGMENTED BY
FINANCIAL ADVISORY/WEALTH MANAGEMENT SERVICES
The Registrant offers investment advisory services augmented by financial
advisory/planning and wealth management services (which can include retirement
advisory/planning services) (Option #2), which is the flagship service package offered by
the Registrant. This option is called The Complete Wealth Solution (CWS).
The Complete Wealth Solution (‘CWS”) is a flagship service package offered by the
Registrant. Registrant shall discharge its investment management responsibilities by
building a diversified portfolio of recommended investment vehicles tailored as needed to
match the Client’s general economic and taxation circumstances, investment time horizon,
risk temperament, and investment objectives as specified by selections made within the
Registrant’s official Investor Profile (hereinafter referred to as the “IP”) form, filled-out,
signed and amended (by replacing a past IP with a new, later dated IP) from time to time
by the Client and/or any other specific written investment instructions received and
verbally verified (for cyber-security, quality control and clarification purposes) by the
Registrant from the Client. If various accounts or registrations within the portfolio have
different risk, time horizon or investment objective profiles, a separate IP form will be
prepared to specify separate profiles of the Client by account(s) and/or registrations.
The Registrant’s official IP form will explicitly 1) define whether the Client is selecting an
Income, Income and Growth, Core, Growth or Aggressive Growth mix and define the
associated risk temperament (conservative/moderate, moderate, moderate/aggressive or
aggressive) and investment objective of the Client and account(s) to be managed under this
IP; 2) define the typical “neutral” equity-like (including equity-like alternatives) and fixed-
income-like (including fixed-income-like alternatives) currently associated with the
portfolio; 3) define the pre-approved overweight and underweight tactical shift range of the
equity-like, fixed-income-like, and cash-like (such as money market funds or Treasury
Bills) asset classes within the portfolio the Registrant is able to institute on the basis of the
Registrant’s assessment of investment opportunities, dangers, and conditions, which unless
explicitly defined otherwise in the IP or other written and confirmed instructions, is plus
(+) or minus (-) ten percent (10%) the defined neutral target weight for each asset class; 4)
the desired client-defined minimum/maximum cash reserve target associated with the
Account(s), if any; and 5) provide any written restrictions or other instructions that apply
to the Client across all Accounts or specific accounts or ownership registrations.
The Assets will be managed by Registrant based upon the IP on an ongoing basis, adjusting
holdings and target allocations within the approved neutral and tactical overweight or
underweight tolerance range based upon Registrant’s assessments of economic dangers,
strengths, conditions and opportunities and Registrant’s assessments of each asset class’,
investment vehicle’s and/or manager’s ability to perform in current, possible or expected
conditions. Such asset allocation ranges can and will fluctuate within the approved range
and outside the approved range as normal or extreme market conditions impact the daily
market price of holdings within the portfolio. The Registrant has the discretion to select
when to rebalance mixes back to the approved tolerance range and targeted levels based
upon Registrant’s assessment of investment conditions within each asset class, sub asset
class and/or asset sector. Rebalancing portfolios back to targeted ranges is generally
executed inside each calendar year and may occur multiple times within a calendar year,
but also may be thoughtfully extend beyond such a calendar year period in certain
investment environments and circumstances.
Economic, fundamental, and technical research data is considered by Registrant in an
Evidence Based Investing (EBI) investment management approach. Exchange traded funds
(“ETFs”) (both indexed and managed), mutual funds, and separate account managers are
the primary vehicles selected by Registrant to achieve the targeted equity-like and fixed
income-like allocations/ranges. These may be augmented by individual equity or fixed
income holdings or alternative asset class and hedge fund managers (depending upon if the
Client meets net worth qualification standards for such vehicles).
This service package includes recommendations and services related to all five aspects of
the Registrant’s Evidence Based Investing approach: 1) Asset Allocation, 2) Security
Selection, 3) Trading and Monitoring, 4) Tactical Adjustments and 5) Review and
Rebalancing Routines. The Client will receive: 1) at least quarterly account statements from
the custodian utilized, 2) Quarterly Performance Reports, 3) written or video/audio
publications and email alerts and 4) discretionary portfolio management from Registrant
on an ongoing basis. Client may also gain access to the Registrant’s online Client Portal
which provides information on the value, allocation and performance of accounts and
holdings as of the closing price last recorded in the Registrant’s portfolio management
system. After a one- or two-session start-up process, client briefing sessions are generally
offered and recommended semi-annually. The Client, under a separate agreement and fee
schedule, can pursue other services offered by the Registrant or upgrade to a different
service package that may include additional financial, retirement, business or estate
planning analysis or services for the Client and the Client’s adult children if such services
are desired.
Unless the Client has advised the Registrant to the contrary, in writing, there are no
restrictions that the Client has imposed upon the Registrant with respect to the management
of the Assets.
The Client agrees to provide information and/or documentation requested by Registrant in
furtherance of this Agreement as pertains to Client’s objectives, needs and goals, and
maintains exclusive responsibility to keep Registrant informed of any changes regarding
same. Client acknowledges that Registrant cannot adequately perform its services for
Client unless Client diligently performs his responsibilities under this Agreement.
Registrant shall not be required to verify any information obtained from Client, Client’s
attorney, accountant or other professionals, and is expressly authorized to rely thereon.
In the event that the Client has retirement and/or 401k, 403b or other qualified accounts at
a current or former employer, Client acknowledges that Registrant will not manage such
assets under this Agreement and shall not charge the fee defined in this Agreement for such
investment accounts of the Client.
Client authorizes Registrant to respond to inquiries from, and communicate and share
information with, Client’s attorney, accountant, and other professionals to the extent
necessary in furtherance of Registrant’s services under this Agreement.
Financial and Retirement Planning, Consulting and Wealth Management
The Registrant shall provide select financial advisory/planning, retirement
advisory/planning, and wealth management services offered within the Registrant’s
Complete Wealth Solution (CWS) service package. This includes the preparation and
unique experience of receiving the Registrant’s proprietary Wealth Optimization Plan™
(herein after referred to as “Plan”), featuring the patented Systems and Methods for
Optimizing Wealth color coded Wealth Optimization Dashboard™ (red, yellow, green
color-coded grids in up to 35 Essential Strengths® categories). This Plan typically includes
a Balance Sheet Analysis and Rating, Cash Flow Analysis and Rating, Portfolio Analysis
and Rating (including external assets not managed by the Registrant), Lifestyle Protection
Analysis™ (up to four stress test and stamina scenarios) and Priority Action Plan of
Recommendations to enhance financial strength, agility, flexibility and endurance.
The Wealth Optimization Plan™ process involves two key sessions with the Client and
Registrant near the beginning of the working relationship (called the Big Breakthrough and
Wealth Optimization Plan Sessions) which includes the planning and consulting services
mentioned above. Based upon the needs, objectives and cooperation of the client in
providing the data needed to complete the analysis, Registrant may emphasize or exclude
certain parts of the Plan.
Registrant may also prepare additional financial, retirement or estate planning type analysis
utilizing various software or spreadsheet analysis type tools designed to assist in evaluating
financial needs, circumstances or scenarios and further identifying financial strengths,
weaknesses or vulnerabilities. In the event that the Client requires planning or consultation
services outside of the scope of the Complete Wealth Solution and Wealth Optimization
Plan, the Registrant may charge for such additional services, the dollar amount of which
shall be set forth in a separate written notice to the Client.
With respect to Registrant’s planning and consulting services, the Client acknowledges
that: (i) he/she is free at all times to accept or reject any recommendation from Registrant,
and the Client acknowledges that he/she has the sole authority with regard to the
implementation, acceptance, or rejection of any recommendation or advice from
Registrant; (ii) recommendations (i.e. estate planning, retirement planning, taxes,
insurance, etc.) may be discussed and/or implemented, at Client’s sole discretion, with the
corresponding professional adviser(s) (i.e. broker, accountant, attorney, insurance agent,
etc.) of Client’s choosing (which may include affiliated entities and/or representatives of
the Registrant); (iii) in respect to estate planning and tax planning matters, Registrant’s role
shall be that of a facilitator between the Client and his/her corresponding professional
advisor(s); (iv) no portion of the Registrant’s services should be construed as legal or
accounting advice. Rather, the Client should defer to their attorney or accountant; and (v)
they will maintain sole responsibility to notify the Registrant if there is a change in their
financial situation or investment objective(s) for the purpose of reviewing, evaluating or
revising Registrant’s previous recommendations and/or services and/or to address new
planning or consulting matters.
In the course of normal semi-annual briefing and review sessions that involve the
investment management services provided to the Client in item 1 above, Registrant agrees
to offer, at Client’s request, a broader scope of financial, retirement and wealth
management topics that can be reviewed in the same session, expanding the scope and
potential synergies to include topics related to the Client’s Plan. Client may also contact
Registrant with questions via telephone, email or by setting up a mutually agreeable
additional appointment to request additional guidance or consulting related to the Plan or
Assets between normal semi-annual briefing and review sessions.
In addition, Client may request the Plan or select elements of it be re-run and/or re-analyzed
from time to time, typically every few years, for no additional charge.
OPTION # 3: ”A LA CARTE” FINANCIAL ADVISORY/PLANNING,
RETIREMENT ADVISORY/PLANNING, BUSINESS ADVISORY/PLANNING
SERVICES FOR THOSE ANTICIPATING AN UPCOMING LIQUIDITY EVENT
The Registrant offers financial advisory/planning, retirement advisory/planning, and
business advisory/planning oriented services for clients anticipating an upcoming life-
changing liquidity event or retirement transition within approximately five (5) years.
Transactions and events such as a business sale, real estate sale, inheritance, legal
settlement, retirement, stock option exercising, contract, golden parachute trigger, etc.
often require or can benefit by extensive before the event, at the event and post event
financial advisory/planning/consulting and business advisory/planning and consulting
(including what is often referred to as “Exit Planning”) services offered within this category
of Registrant’s services. Registrant offers a variety of “a la carte” services designed to help
clients optimally plan, prepare and, should conditions manifest as desired, experience such
a liquidity event.
Services may include (independently over time or as part of a comprehensive multifaceted
plan) our Wealth Optimization Plan™, Lifestyle Protection Analysis™ Scenarios, Balance
Sheet Analysis, Cash Flow Analysis, Business Exit Plan, Business Strategic Plan, Before
the Business Sale Planning & Consulting, At the Business Sale Planning & Consulting,
Post Sale Planning & Consulting, Stock Option Exercising Analysis & Consulting, Estate
Plan Analysis, Business Succession Plan Analysis & Plan, Retirement Analysis, Executive
Perk Analysis & Consulting, Quarterly or Semi-Annual Review Services (associated with
any of the above or other services provided) and a multitude of other services related to the
aim of optimally planning for, preparing for and experiencing a life-changing liquidity
event and/or retirement. The typical aim of such services is to add value while preparing
for a liquidity/transition event, build a solid relationship and rapport that is solidly in place
before the liquidity event, build a customized trusted advisor team to meet needs before, at
and post liquidity event and engage in a prudent processes that paves the way for
transitioning to/upgrading to one of our more permanent service packages once the
liquidity event transpires.
Any and all “A la Carte” services recommended by the Registrant are determined by the
Registrant and defined in a separate Statement of Work (SOW) document provided in
writing in advance of any services being performed and will only be performed upon
written/signed acceptance by client and an authorized representative of Registrant.
The SOW spells out precisely what services will be provided, what deliverables the
Registrant will prepare and provide, how many Client and Registrant consulting session
are included with the initial services provided and what if any fees will be associated with
any additional follow-up/review sessions the Client may choose, at their request and
discretion after the initial services are provided by Registrant. In the event that the Client
requires planning or consultation services outside of the scope of the a la carte services
identified in the SOW, the Registrant may charge for such additional services, the dollar
amount of which shall be set forth in a separate written notice to the Client.
With respect to Registrant’s planning and consulting services, the Client acknowledges
that: (i) they are free at all times to accept or reject any recommendation from Registrant,
and the Client acknowledges that they have the sole authority with regard to the
implementation, acceptance, or rejection of any recommendation or advice from
Registrant; (ii) recommendations (i.e. estate planning, retirement planning, taxes,
insurance, business broker, legal, accounting, investment banker, human resources, etc.)
may be discussed and/or implemented, at Client’s sole discretion, with the corresponding
professional adviser(s) (i.e. broker, accountant, attorney, insurance agent, business broker,
investment banker, consultant, etc.) of Client’s choosing (which may include affiliated
entities and/or representatives of the Registrant); (iii) in respect to estate planning, legal,
accounting, business broker, investment banking, and tax planning matters, Registrant’s
role shall be that of a facilitator between the Client and their corresponding professional
advisor(s); (iv) no portion of the Registrant’s services should be construed as legal or
accounting advice. Rather, the Client should defer to their attorney or accountant; and (v)
they will maintain sole responsibility to notify the Registrant if there is a change in their
financial situation or investment objective(s) for the purpose of reviewing, evaluating or
revising Registrant’s previous recommendations and/or services.
The Registrant’s fee for a la carte services provided under this service option/category shall
be based upon those specified in the SOW that are specifically identified as “a la carte
services”.
If the SOW also defines investment advisory services recommended to the Client (such as
Registrant’s Complete Investment Solution (CIS) or Janiczek Model Portfolio Solution
(JMPS)) or combination investment advisory and financial/retirement/wealth management
planning and consulting service packages (such as Registrant’s Complete Wealth Solution
(CWS) or Complete Legacy Solution (CLS)) such services, which are outside the scope of
the Registrant’s a la carte service menu, will be performed under a separate investment
advisory service agreement executed between Client and Registrant for such services.
While our A la Carte service category is designed to be flexible, one more common A la
Carte service is for us to prepare a Wealth Optimization Plan for a flat fee of $5,000 with
no minimum quarterly asset management fee.
In such circumstances, this A la Carte financial planning fee is a one-time fee for such a
plan and would be charged additional times for such plan, each time the client requests a
new plan or a plan update (as per the SOW).
In the event that the a la carte service needs of the Client increase while the services
outlined in the SOW are being performed by Registrant, no increase in the services the
Registrant shall provide or increased fees the Client shall pay will be effective without prior
written notification to the Client in an updated, signed and dated SOW.
OPTION # 4: INVESTMENT ADVISORY SERVICES AUGMENTED BY
FINANCIAL ADVISORY/WEALTH MANAGEMENT SERVICES FOR
PATRIARCH/MATRIARCH AND MULTI-GENERATIONS OF A WEALTHY
FAMILY
The Registrant offers investment advisory services augmented by financial
advisory/planning and wealth management services (which can include retirement
advisory/planning services) for the patriarch/matriarch and multi-generations of a wealthy
family (Option #4). This option is called The Complete Legacy Solution (CLS).
The Complete Legacy Solution (“CLS”) recognizes that many clients have needs that span
generations and often expand into legacy and charitable activities. The Registrant created
the Complete Legacy Solution™ service package to meet the long-term needs of high-net-
worth clients and their extended families and charitable organization(s).
The CLS includes investment advisory and financial planning/advisory, retirement
planning/advisory services for the family patriarch/matriarch (Client) plus: 1) Annual
Family Meeting (if desired, requested), 2) Periodic Financial Education/Coaching
Sessions/Webinars for adult family members (if desired, upon request, per events calendar
of Registrant), 3) Personal Development Workshops/Webinars for adult family members
(per event calendar of Registrant), and 4) Registrant’s Complete Investment Solution
(CIS), Complete Wealth Solution (CWS), or Janiczek Model Portfolio Solution (JMPS) (as
circumstances and needs dictate) at a preferred family aggregate fee level for all adult
family members electing to participate in this program and entering into their own separate
service agreements. The primary aim of CLS is to assist generations of a family to master
money in a manner that augments a quality multi- generational (and, often times, charity-
oriented) estate plan. The CLS is a unique experience designed to deliver Registrant’s
investment advisory, financial planning/advisory, retirement planning/advisory and multi-
generational wealth management services to the Client and Client’s family members in a
synergistic way.
Registrant shall discharge its investment management responsibilities by building a
diversified portfolio of recommended investment vehicles tailored as needed to match the
Client’s general economic and taxation circumstances, investment time horizon, risk
temperament, and investment objectives as specified by selections made within the
Registrant’s official Investor Profile (hereinafter referred to as the “IP”) form, filled-out,
signed and amended (by replacing a past IP with a new, later dated IP) from time to time
by the Client and/or any other specific written investment instructions received and
verbally verified (for cyber-security, quality control and clarification purposes) by the
Registrant from the Client. If various accounts or registrations within the portfolio have
different risk, time horizon or investment objective profiles, a separate IP form will be
prepared to specify separate profiles of the Client by account(s) and/or registrations.
The Registrant’s official IP form will explicitly 1) define whether the Client is selecting an
Income, Income and Growth, Core, Growth or Aggressive Growth mix and define the
associated risk temperament (conservative/moderate, moderate, moderate/aggressive or
aggressive) and investment objective of the Client and account(s) to be managed under this
IP; 2) define the typical “neutral” equity-like (including equity-like alternatives) and fixed-
income-like (including fixed-income-like alternatives) currently associated with the
portfolio; 3) define the pre-approved overweight and underweight tactical shift range of the
equity-like, fixed-income-like, and cash-like (such as money market funds or Treasury
Bills) asset classes within the portfolio the Registrant is able to institute on the basis of the
Registrant’s assessment of investment opportunities, dangers, and conditions, which unless
explicitly defined otherwise in the IP or other written and confirmed instructions, is plus
(+) or minus (-) ten percent (10%) the defined neutral target weight for each asset class; 4)
the desired client-defined minimum/maximum cash reserve target associated with the
Account(s), if any; and 5) provide any written restrictions or other instructions that apply
to the Client across all Accounts or specific accounts or ownership registrations.
The Assets will be managed by Registrant based upon the IP on an ongoing basis, adjusting
holdings and target allocations within the approved neutral and tactical overweight or
underweight tolerance range based upon Registrant’s assessments of economic dangers,
strengths, conditions and opportunities and Registrant’s assessments of each asset class’,
investment vehicle’s and/or manager’s ability to perform in current, possible or expected
conditions. Such asset allocation ranges can and will fluctuate within the approved range
and outside the approved range as normal or extreme market conditions impact the daily
market price of holdings within the portfolio. The Registrant has the discretion to select
when to rebalance mixes back to the approved tolerance range and targeted levels based
upon Registrant’s assessment of investment conditions within each asset class, sub asset
class and/or asset sector. Rebalancing portfolios back to targeted ranges is generally
executed inside each calendar year and may occur multiple times within a calendar year,
but also may be thoughtfully extend beyond such a calendar year period in certain
investment environments and circumstances.
Economic, fundamental, and technical research data is considered by Registrant in an
Evidence Based Investing (EBI) investment management approach. Exchange traded funds
(“ETFs”) (both indexed and managed), mutual funds, and separate account managers are
the primary vehicles selected by Registrant to achieve the targeted equity-like and fixed
income-like allocations/ranges. These may be augmented by individual equity or fixed
income holdings or alternative asset class and hedge fund managers (depending upon if the
Client meets net worth qualification standards for such vehicles).
This service package includes recommendations and services related to all five aspects of
the Registrant’s Evidence Based Investing approach: 1) Asset Allocation, 2) Security
Selection, 3) Trading and Monitoring, 4) Tactical Adjustments and 5) Review and
Rebalancing Routines. The Client will receive: 1) at least quarterly account statements from
the custodian utilized, 2) Quarterly Performance Reports, 3) written or video/audio
publications and email alerts and 4) discretionary portfolio management from Registrant
on an ongoing basis. Client may also gain access to the Registrant’s online Client Portal
which provides information on the value, allocation and performance of accounts and
holdings as of the closing price last recorded in the Registrant’s portfolio management
system. After a one- or two-session start-up process, client briefing sessions are generally
offered and recommended semi-annually. The Client, under a separate agreement and fee
schedule, can pursue other services offered by the Registrant or upgrade to a different
service package that may include additional financial, retirement, business or estate
planning analysis or services for the Client and the Client’s adult children if such services
are desired.
Unless the Client has advised the Registrant to the contrary, in writing, there are no
restrictions that the Client has imposed upon the Registrant with respect to the management
of the Assets. The Client agrees to provide information and/or documentation requested by
Registrant in furtherance of this Agreement as pertains to Client’s objectives, needs and
goals, and maintains exclusive responsibility to keep Registrant informed of any changes
regarding same. Client acknowledges that Registrant cannot adequately perform its
services for Client unless Client diligently performs his responsibilities under this
Agreement. Registrant shall not be required to verify any information obtained from Client,
Client’s attorney, accountant or other professionals, and is expressly authorized to rely
thereon.
In the event that the Client has retirement and/or 401k, 403b or other qualified accounts at
a current or former employer, Client acknowledges that Registrant will not manage such
assets under this Agreement and shall not charge the fee defined in this Agreement for such
investment accounts of the Client.
Client authorizes Registrant to respond to inquiries from, and communicate and share
information with, Client’s attorney, accountant, and other professionals to the extent
necessary in furtherance of Registrant’s services under this Agreement.
Financial and Retirement Planning, Consulting and Wealth Management
The Registrant shall provide select financial advisory/planning, retirement
advisory/planning, and wealth management services offered within the Registrant’s
Complete Legacy Solution service package. This includes the preparation and unique
experience of receiving the Registrant’s proprietary Wealth Optimization Plan™ (herein
after referred to as “Plan”), featuring the patented Systems and Methods for Optimizing
Wealth color coded Wealth Optimization Dashboard™ (red, yellow, green color coded
grids in up to 35 Essential Strengths® categories).
This Plan typically includes a Balance Sheet Analysis and Rating, Cash Flow Analysis and
Rating, Portfolio Analysis and Rating (including external assets not managed by the
Registrant), Lifestyle Protection Analysis™ (up to four stress test and stamina scenarios)
and Priority Action Plan of Recommendations to enhance financial strength, agility,
flexibility and endurance. The Wealth Optimization Plan™ process involves
two key
sessions with the Client and Registrant near the beginning of the working relationship
(called the Big Breakthrough and Wealth Optimization Plan Sessions) which includes the
planning and consulting services mentioned above. Based upon the needs, objectives and
cooperation of the client in providing the data needed to complete the analysis, Registrant
may emphasize or exclude certain parts of the Plan.
Registrant may also prepare additional financial, retirement or estate planning type analysis
utilizing various software or spreadsheet analysis type tools designed to assist in evaluating
financial needs, circumstances or scenarios and further identifying financial strengths,
weaknesses or vulnerabilities. In the event that the Client requires planning or consultation
services outside of the scope of the Complete Legacy Solution and Wealth Optimization
Plan, the Registrant may charge for such additional services, the dollar amount of which
shall be set forth in a separate written notice to the Client.
With respect to Registrant’s planning and consulting services, the Client acknowledges
that: (i) they are free at all times to accept or reject any recommendation from Registrant,
and the Client acknowledges that they have the sole authority with regard to the
implementation, acceptance, or rejection of any recommendation or advice from
Registrant; (ii) recommendations (i.e. estate planning, retirement planning, taxes,
insurance, etc.) may be discussed and/or implemented, at Client’s sole discretion, with the
corresponding professional adviser(s) (i.e. broker, accountant, attorney, insurance agent,
etc.) of Client’s choosing (which may include affiliated entities and/or representatives of
the Registrant); (iii) in respect to estate planning and tax planning matters, Registrant’s role
shall be that of a facilitator between the Client and their corresponding professional
advisor(s); (iv) no portion of the Registrant’s services should be construed as legal or
accounting advice. Rather, the Client should defer to their attorney or accountant; and (v)
they will maintain sole responsibility to notify the Registrant if there is a change in their
financial situation or investment objective(s) for the purpose of reviewing, evaluating or
revising Registrant’s previous recommendations and/or services and/or to address new
planning or consulting matters.
In the course of normal semi-annual briefing and review sessions that involve the
investment management services provided to the Client in item 1 above, Registrant agrees
to offer, at Client’s request, a broader scope of financial, retirement, legacy and multi-
generational wealth management topics that can be reviewed in the same session,
expanding the scope and potential synergies to include topics related to the Client’s Plan,
family and charitable activities. Client may also contact Registrant with questions via
telephone, email or by setting up a mutually agreeable additional appointment to request
additional guidance or consulting related to the Plan or Assets between normal semi-annual
briefing and review sessions. In addition, Client may request the Plan or select elements of
it be re-run and/or re-analyzed from time to time for no additional charge.
OPTION # 5: FIXED MODEL PORTFOLIO MANGEMENT FOR FAMILY &
FRIENDS OF CLIENTS OR EMPLOYEES WITH SMALLER PORTFOLIOS
(BY INVITATION ONLY)
Recognizing that clients of Registrant are often in the position or asked by family members
or friends to assist them in obtaining professional portfolio management services and
sometimes these requests are portfolios under a threshold amount where Registrant’s
normal portfolio management services do not fit the circumstances. The Registrant offers
investment advisory services (Option #5) intended to meet the more limited investment
management needs of the family members and friends of clients or employees with smaller
(under $1,499,999) portfolios. This option is called the Janiczek® Model Portfolio Solution
(JMPS).
Registrant shall discharge its investment management responsibilities by allocating the
JMPS Client’s assets into one of the five Model Portfolios (hereinafter referred to as
“MPs”) offered by Registrant (on an invitation-only basis to family and friends of clients
and employees of Registrant) and selected by Client after careful consideration of the
investment objectives, risk temperament, investment time horizon and general financial
circumstances of the Client.
The Registrant’s official JMPS Investor Profile (hereinafter referred to as “JMPS IP”) form
will explicitly 1) define whether the Client is selecting a conservative/moderate risk 25/75
+/- 10% equity/fixed income mix model portfolio, a moderate risk 40/60 +/-10%
equity/fixed income mix model portfolio, moderate/aggressive risk 60/40 +/-10%
equity/fixed income mix model portfolio, an aggressive risk 75/25 +/-10% equity/fixed
income mix model portfolio equity/fixed income mix, or a Special $10,000 or Less
moderate risk 50/50 +/-10% equity/fixed income mix model portfolio; 2) define the typical
“neutral” equity-like (including equity-like alternatives) and fixed-income-like (including
fixed-income-like alternatives) currently associated with the portfolio; and 3) define the
pre-approved overweight and underweight tactical shift range of the equity-like, fixed-
income-like, and cash-like (such as money market funds or Treasury Bills) asset classes
within the portfolio the Registrant is able to institute on the basis of the Registrant’s
assessment of investment opportunities, dangers, and conditions, which is plus (+) or minus
(-) ten percent (10%) the defined neutral target weight for each asset class.
The Client assets will be managed by Registrant based upon the JMPS IP on an ongoing
basis, adjusting holdings and target allocations within the approved neutral and tactical
overweight or underweight tolerance range based upon Registrant’s assessments of
economic dangers, strengths, conditions and opportunities and Registrant’s assessments of
each asset class’, investment vehicle’s and/or manager’s ability to perform in current,
possible or expected conditions. Such asset allocation ranges can and will fluctuate within
the approved range and outside the approved range as normal or extreme market conditions
impact the daily market price of holdings within the portfolio. The Registrant has the
discretion to select when to rebalance mixes back to the approved tolerance range and
targeted levels based upon Registrant’s assessment of investment conditions within each
asset class, sub asset class and/or asset sector. Rebalancing portfolios back to targeted
ranges is generally executed inside each calendar year and may occur multiple times within
a calendar year, but also may be thoughtfully extend beyond such a calendar year period in
certain investment environments and circumstances.
Economic, fundamental, and technical research data is considered by Registrant in an
Evidence Based Investing (EBI) investment management approach. Exchange traded funds
(“ETFs”) (both indexed and managed) and mutual funds are the primary vehicles selected
by Registrant to achieve the targeted equity-like and fixed income-like allocations/ranges.
These may be augmented by individual equity or fixed income holdings or alternative asset
class investment vehicles.
This service package includes model portfolio investment management services related to
all five aspects of the Registrant’s Evidence Based Investing approach: 1) Asset Allocation,
2) Security Selection, 3) Trading and Monitoring, 4) Tactical Adjustments and 5) Review
and Rebalancing Routines. This abbreviated invited family and friends of clients and
employee’s investment management service of Registrant is specifically designed for
portfolios under $1,499,999 and includes limited servicing, customizing, and reporting
compared to Registrant’s primary investment management service offerings. Clients on
this service package receive: 1) at least quarterly investment statements from the custodian
utilized, 2) online access to account balances, 3) Market Commentary Reports (quarterly),
and 4) discretionary model portfolio management from Registrant on an ongoing basis.
Trades in these accounts are made on a bulk model portfolio level and are not customized
to each individual client. Access to Registrant’s professional advisors in this service
package is limited to phone calls or meetings to assist the client in defining their time
horizon, risk temperament, and general financial objectives and circumstances, and in
selecting one of five model portfolios. Registrant’s advisors are also available to discuss the
allocation of the model portfolios and Registrant’s assessment of investment conditions,
including risks. Client is encouraged to read the prospectuses and annual reports of each
holding to better understand what they are invested in. Access to Registrant’s service team
personnel and advisors who are in JMPS is limited to opening accounts, depositing funds,
withdrawing funds, or closing accounts.
This service package does not include financial, retirement, or estate planning and
management services or any type of custom portfolio management. It also does not include
the more advanced customizing, educating, counseling, or reporting services of our
Complete Investment Solution. It is organized and priced as a model portfolio solution for
individuals or organizations seeking a diversified portfolio of no-load mutual funds and/or
ETFs selected and adjusted by Registrant from time to time. This service package is only
offered by invitation only for family members and friends of clients or employees desiring
a model portfolio management solution. If more customizing, financial advising, planning,
education and/or counseling is required than is offered in this service package, Registrant
recommends such individuals or organizations seek and select an outside advisor of his or
her choosing for such services. The Client, under a separate agreement and fee schedule,
can pursue other services offered by the Registrant or upgrade to a different service package
that may include financial, retirement, business or estate planning analysis or services if
such services are desired.
Registrant recommends that each JMPS participant maintain adequate liquid reserves in
bank or money market accounts at an institution of their choice to meet short-term expense
needs (within 1 year) and short- term/intermediate needs (1 to 3 years) and Client agrees
to maintain such liquidity levels outside the JMPS Account(s). The 25/75, 40/60, 60/40,
75/25, and Special $10,000 or Less Balanced 50/50 models are designed for long-term
investors with time horizons well in excess of five (5) years with the moderate/aggressive
and aggressive risk portfolios (60/40 and 75/25) intended for investors with time horizons
well in excess of ten (10) years. If various accounts or registrations within the portfolio
have different risk, time horizon or investment objective profiles, a separate JMPS IP form
should be prepared to specify separate profiles of the Client by account(s) and/or
registrations.
Unless the Client has advised the Registrant to the contrary, in writing, there are no
restrictions that the Client has imposed upon the Registrant with respect to the management
of the Assets.
The Client agrees to provide information and/or documentation requested by Registrant in
furtherance of this Agreement as pertains to Client’s objectives, needs and goals, and
maintains exclusive responsibility to keep Registrant informed of any changes regarding
same. Client acknowledges that Registrant cannot adequately perform its services for
Client unless Client diligently performs their responsibilities under this Agreement.
Registrant shall not be required to verify any information obtained from Client, Client’s
attorney, accountant or other professionals, and is expressly authorized to rely thereon.
In the event that the Client has retirement and/or 401k, 403b or other qualified accounts at
a current or former employer, Client acknowledges that Registrant will not manage such
assets under this Agreement and shall not charge the fee defined in this Agreement for such
investment accounts of the Client.
Client authorizes Registrant to respond to inquiries from, and communicate and share
information with, Client’s attorney, accountant, and other professionals to the extent
necessary in furtherance of Registrant’s services.
The Client acknowledges and understands that the services to be provided by Registrant
under the JMPS service agreement are limited to the management of the Assets and do not
include financial planning or any other related or unrelated consulting services.
MISCELLANEOUS
Limitations of Financial Planning and Non-Investment Consulting/Implementation
Services. To the extent requested by the client, Registrant will generally provide financial
planning and related consulting services regarding matters such as tax and estate planning,
insurance, etc. Registrant will generally provide such consulting services inclusive of its
advisory fee set forth at Item 5 below (exceptions could occur based upon assets under
management, extraordinary matters, special projects, stand-alone planning engagements,
etc. for which Firm may charge a separate or additional fee).
Registrant believes that it is important for the client to address financial planning issues on
an ongoing basis. Registrant’s advisory fee, as set forth at Item 5 below, will remain the
same regardless of whether or not the client determines to address financial planning issues
with Registrant.
Registrant does not serve as an attorney, accountant, or insurance agent, and no portion of
our services should be construed as same. Accordingly, Registrant does not prepare legal
documents, prepare tax returns, or sell insurance products. To the extent requested by a
client, we may recommend the services of other professionals for non-investment
implementation purpose (i.e., attorneys, accountants, insurance, etc.). The client is not
under any obligation to engage any such professional(s). The client retains absolute
discretion over all such implementation decisions and is free to accept or reject any
recommendation from Registrant and/or its representatives. If the client engages any
professional (i.e., attorney, accountant, insurance agent, etc.), recommended or otherwise,
and a dispute arises thereafter relative to such engagement, the client agrees to seek
recourse exclusively from the engaged professional. At all times, the engaged licensed
professional[s] (i.e., attorney, accountant, insurance agent, etc.), and not Registrant, shall
be responsible for the quality and competency of the services provided.
Low Yield Environment. In a low yield environment, the Registrant could consider, and
utilize, asset classes to enhance current income, including private and publicly traded Real
Estate Investment Trusts and Funds, High Yield Bonds, Preferred Stock, High Dividend
Yield Common Stock, Private Lending Funds, Business Development Companies,
Farm/Crop Land Funds, Interval Funds and Income-oriented Infrastructure Assets/Funds.
Publicly traded securities of these type securities can be purchased by Registrant on a
discretionary basis. However, if these types of securities are included within private funds,
including those with which the Registrant is affiliated, they may only be purchased on a
non-discretionary basis upon qualification of, and authorization from, the client. Although
these types of securities can deliver enhanced income, they also present corresponding
potential for enhanced risk to, and volatility of, the invested principal and differing liquidity
characteristics. A client desiring higher current income must be willing to accept this trade-
off.
Inverse/Enhanced Market Strategies. In extremely limited circumstances, the Registrant
may utilize long and short mutual funds and/or exchange traded funds that are designed to
perform in either an: (1) inverse relationship to certain market indices (at a rate of 1 or more
times the inverse [opposite] result of the corresponding index) as an investment strategy
and/or for the purpose of hedging against downside market risk; and (2) enhanced
relationship to certain market indices (at a rate of 1 or more times the actual result of the
corresponding index) as an investment strategy and/or for the purpose of increasing gains
in an advancing market. There can be no assurance that any such strategy will prove
profitable or successful. In light of these enhanced risks/rewards, a client may direct the
Registrant, in writing, not to employ any or all such strategies for his/her/their/its accounts.
Independent Managers. The Registrant may allocate (and/or recommend that the client
allocate) a portion of a client’s investment assets among unaffiliated independent
investment managers in accordance with the client’s designated investment objective(s). In
such situations, the Independent Manager[s] shall have day-to-day responsibility for the
active discretionary management of the allocated assets. The Registrant shall continue to
render investment supervisory services to the client relative to the ongoing monitoring and
review of account performance, asset allocation and client investment objectives. Factors
which Registrant shall consider in recommending Independent Managers include the
client’s designated investment objectives, management style, performance, reputation,
financial strength, reporting, pricing, and research. The investment management fee
charged by the Independent Manager[s] is separate from, and in addition to, Registrant’s
advisory fee as set forth in the fee schedule at Item 5 below.
Socially Responsible Investing Limitations. Socially Responsible Investing involves the
incorporation of Environmental, Social and Governance considerations into the investment
due diligence process (“ESG”). There are potential limitations associated with allocating a
portion of an investment portfolio in ESG securities (i.e., securities that have a mandate to
avoid, when possible, investments in such products as alcohol, tobacco, firearms, oil
drilling, gambling, etc.). The number of these securities may be limited when compared to
those that do not maintain such a mandate. ESG securities could underperform broad
market indices. Investors must accept these limitations, including potential for
underperformance. Correspondingly, the number of ESG mutual funds and exchange
traded funds are few when compared to those that do not maintain such a mandate. As with
any type of investment (including any investment and/or investment strategies
recommended and/or undertaken by Registrant), there can be no assurance that investment
in ESG securities or funds will be profitable, or prove successful. The Registrant does not
maintain or advocate an ESG investment strategy, but will seek to employ ESG if directed
by a client to do so.
Cryptocurrency. For clients who want exposure to cryptocurrencies, including Bitcoin,
Registrant, will advise the client to consider a potential investment in corresponding
exchange traded securities or private funds that provide cryptocurrency exposure. Crypto
is a digital currency that can be used to buy goods and services, but uses an online ledger
with strong cryptography (i.e., a method of protecting information and communications
through the use of codes) to secure online transactions. Unlike conventional currencies
issued by a monetary authority, cryptocurrencies are generally not controlled or regulated
and their price is determined by the supply and demand of their market. Because
cryptocurrency is currently considered to be a speculative investment, Registrant will not
exercise discretionary authority to purchase a cryptocurrency investment for client
accounts. Rather, a client must expressly authorize the purchase of the cryptocurrency
investment. Registrant does not recommend or advocate the purchase of, or investment in,
cryptocurrencies. Registrant considers such an investment to be speculative. Clients who
authorize the purchase of a cryptocurrency investment must be prepared for the potential
for liquidity constraints, extreme price volatility and complete loss of principal.
Retirement Rollovers-Potential for Conflict of Interest: A client or prospective client
leaving an employer typically has four options regarding an existing retirement plan (and
may engage in a combination of these options): (i) leave the money in the former
employer’s plan, if permitted, (ii) roll over the assets to the new employer’s plan, if one is
available and rollovers are permitted, (iii) roll over to an Individual Retirement Account
(“IRA”), or (iv) cash out the account value (which could, depending upon the client’s age,
result in adverse tax consequences). If Registrant recommends that a client roll over their
retirement plan assets into an account to be managed by Registrant, such a recommendation
creates a conflict of interest if Registrant will earn new (or increase its current)
compensation as a result of the rollover. If Registrant provides a recommendation as to
whether a client should engage in a rollover or not, Registrant is acting as a fiduciary within
the meaning of Title I of the Employee Retirement Income Security Act and/or the Internal
Revenue Code, as applicable, which are laws governing retirement accounts. No client is
under any obligation to roll over retirement plan assets to an account managed by
Registrant.
Use of Mutual Funds: Most mutual funds are available directly to the public. Thus, a
prospective client can obtain many of the mutual funds that may be recommended and/or
utilized by Registrant independent of engaging Registrant as an investment advisor.
However, if a prospective client determines to do so, he/she will not receive the
Registrant’s initial and ongoing investment advisory services.
DFA Mutual Funds: Registrant utilizes the mutual funds issued by Dimensional Fund
Advisors (“DFA”). DFA funds are generally only available through registered investment
advisers approved by DFA. Thus, if the client was to terminate Registrant’s services, and
transition to another adviser who has not been approved by DFA to utilize DFA funds,
restrictions regarding additional purchases of, or reallocation among other DFA funds, will
generally apply.
Interval Funds. When consistent with a client’s investment objectives, Registrant may
allocate investment assets to “interval funds.” Investment companies structured as “interval
funds” are generally designed for long-term investors that do not require daily liquidity.
Shares in interval funds typically do not trade on the secondary market. Instead, their shares
are subject to periodic redemption offers by the fund at a price based on net asset value.
Thus, if we determined that the fund was no longer performing or if you ever determined
to transfer your account, the fund could not be sold or transferred immediately. Rather, sale
or transfer would need to await the quarterly permitted sale date. Moreover, the eventual
net asset value for the fund could be substantially different (positive or negative) than the
fund value on the date that the sale was requested. There can be no assurance that any such
strategy will prove profitable or successful. Accordingly, interval funds are subject to
liquidity constraints. Interval funds investing in securities of companies with smaller
market capitalizations, derivatives, or securities with substantial market and/or credit risk
tend to have the greatest exposure to liquidity risk. Generally, the interval funds
recommended by Registrant offer a two to three week period, on a quarterly basis, during
which the client may seek the redemption of previously purchased interval funds. In light
of these enhanced risks/rewards, a client may direct Adviser, in writing, not to purchase
such funds for the client’s account.
Portfolio Activity. Registrant has a fiduciary duty to provide services consistent with the
client’s best interest. As part of its investment advisory services, Registrant will review
client portfolios on an ongoing basis to determine if any changes are necessary based upon
various factors, including, but not limited to, investment performance, mutual fund
manager tenure, style drift, and/or a change in the client’s investment objective. Based
upon these factors, there may be extended periods of time when Registrant determines that
changes to a client’s portfolio are neither necessary nor prudent. Of course, as indicated
below, there can be no assurance that investment decisions made by Registrant will be
profitable or equal any specific performance level(s).
eMoney Advisor Platform. Registrant may provide its clients with access to an online
platform hosted by “eMoney Advisor” (“eMoney”). The eMoney platform allows a client
to view their complete asset allocation, including those assets that Registrant does not
manage (the “Excluded Assets”). Registrant does not provide investment management,
monitoring, or implementation services for the Excluded Assets. Unless otherwise
specifically agreed to, in writing, Registrant’s service relative to the Excluded Assets is
limited to reporting only. Therefore, Registrant shall not be responsible for the investment
performance of the Excluded Assets. Rather, the client and/or their advisor(s) that maintain
management authority for the Excluded Assets, and not Registrant, shall be exclusively
responsible for such investment performance. Without limiting the above, the Registrant
shall not be responsible for any implementation error (timing, trading, etc.) relative to the
Excluded Assets. The client may choose to engage Registrant to manage some or all of the
Excluded Assets pursuant to the terms and conditions of an Investment Advisory
Agreement between Registrant and the client. The eMoney platform also provides access
to other types of information and applications including financial planning concepts and
functionality, which should not, in any manner whatsoever, be construed as services,
advice, or recommendations provided by Registrant. Finally, Registrant shall not be held
responsible for any adverse results a client may experience if the client engages in financial
planning or other functions available on the eMoney platform without Registrant’s
assistance or oversight.
Unaffiliated Private Investment Funds. Registrant may also provide investment advice
regarding unaffiliated private investment funds. Registrant, on a non-discretionary basis,
may recommend that certain qualified clients consider an investment in unaffiliated private
investment funds. Registrant’s role relative to the private investment funds shall be limited
to its initial and ongoing due diligence and investment monitoring services. If a client
determines to become a private fund investor, the amount of assets invested in the fund(s)
shall be included as part of “assets under management” for purposes of Registrant
calculating its investment advisory fee. Registrant’s clients are under absolutely no
obligation to consider or make an investment in a private investment fund(s).
Affiliated Private Fund. Registrant and/or its owners are affiliated with JWM Income &
Growth Fund I, LP, an affiliated private investment fund of funds (the “Fund”), the
complete description of which (the terms, conditions, risks, conflicts and fees, including
incentive compensation) is set forth in the Fund’s offering documents. Registrant serves as
the sub-investment adviser to the Fund. Registrant, on a non-discretionary basis, may
recommend that qualified clients consider allocating a portion of their investment assets to
the Fund. Registrant’s clients are under absolutely no obligation to consider or make an
investment in a private investment fund(s). Registrant’s affiliate, JWM Partners I, LLC is
the Fund’s Investment Manager. JWM Partners I, LLC also serves as the Fund’s general
partner.
Private investment funds generally involve various risk factors, including, but not limited
to, potential for complete loss of principal, liquidity constraints and lack of transparency, a
complete discussion of which is set forth in each fund’s offering documents, which will be
provided to each client for review and consideration. Unlike liquid investments that a client
may own, private investment funds do not provide daily liquidity or pricing. Each
prospective client investor will be required to complete a Subscription Agreement, pursuant
to which the client shall establish that he/she is qualified for investment in the fund, and
acknowledges and accepts the various risk factors that are associated with such an
investment.
Valuation. In the event that Registrant references private investment funds owned by the
client on any supplemental account reports prepared by Registrant, the value(s) for all
private investment funds owned by the client shall reflect the most recent valuation
provided by the fund sponsor. If no subsequent valuation post-purchase is provided by the
Fund Sponsor, then the valuation shall reflect the initial purchase price (and/or a value as
of a previous date), or the current value(s) (either the initial purchase price and/or the most
recent valuation provided by the fund sponsor). If the valuation reflects initial purchase
price (and/or a value as of a previous date), the current value(s) (to the extent ascertainable)
could be significantly more or less than original purchase price. The client’s advisory fee
shall be based upon reflected fund value(s).
Other Business Activities.
Joseph J. Janiczek, CEO of Janiczek Wealth Management, is engaged in a business other
than giving investment advice. He is an award-winning author and may create audio
recordings, books, systems and tools that may be sold through various distribution
channels. Mr. Janiczek is the creator of Strength Based Wealth Management®, inventor of
the Systems and Methods for Optimizing Wealth patent (which he owns under a separate
entity named Wealth with Ease, LLC) and may license and train other advisors,
organizations or consumers in utilizing this system through other entities including Wealth
with Ease, LLC.
Joseph J. Janiczek also founded and owns Flourish Worldwide, LLC and is engaged in
creating technology and educational programs on flourishing across multiple life domains
in an integrated way via this entity. Flourish Worldwide, LLC is not engaged in personal
financial, investor or retirement services and any claims, objectives or aims of the
educational products it offers are in no way related to the services of the Registrant.
Wealth with Ease, LLC is an affiliated Delaware LLC foreign qualified to do business in
Colorado; however, the entity does not provide any investment advisory or management
services whatsoever. The entity was created to develop, own, and license proprietary tools,
trademarks, patents, processes, and systems created by Joseph J. Janiczek to the Registrant
and possibly other investment adviser firms, financial institutions, or customers.
Cash Positions. Registrant continues to treat cash as an asset class. As such, unless
determined to the contrary by Registrant, all cash positions (money markets, etc.) shall
continue to be included as part of assets under management for purposes of calculating
Registrant’s advisory fee. At any specific point in time, depending upon perceived or
anticipated market conditions/events (there being no guarantee that such anticipated market
conditions/events will occur), Registrant may maintain cash positions for defensive
purposes. In addition, while assets are maintained in cash, such amounts could miss market
advances. Depending upon current yields, at any point in time, Registrant’s advisory fee
could exceed the interest paid by the client’s money market fund.
In circumstances where the technique known as “dollar-cost-averaging” (DCA) is utilized
to phase into a portfolio allocation, a Client’s portfolio may hold cash targeted for later
allocation to securities. It is Registrant’s policy to charge its fee for such cash targeted for
allocation within three (3) months. For cash held in reserve for DCA beyond three (3)
months, Registrant may open with Client a separate “non-managed” cash account not
subject to the fee of the Registrant as a temporary holding place for such cash. When this
technique is utilized, Client will permit/authorize and Registrant will execute a journal once
every three (3) months, equivalent to the next three (3) months planned DCA amount, into
the managed account of Client and thereby becoming billable. In circumstances where the
DCA is accelerated or delayed by Registrant or Client, the exact timing may differ than
above. In such cases, the account where the cash resides (billable or not) determines whether
the cash position designated for DCA is included in assets under management.
In IRA accounts, all DCA assets are held in billable IRA accounts regardless of duration
of DCA.
Client Obligations. In performing its services, Registrant shall not be required to verify
any information received from the client or from the client’s other professionals and is
expressly authorized to rely thereon. Moreover, each client is advised that it remains their
responsibility to promptly notify the Registrant if there is ever any change in their financial
situation or investment objectives for the purpose of reviewing, evaluating or revising
Registrant’s previous recommendations and/or services.
Cybersecurity Risk. The information technology systems and networks that Registrant
and its third-party service providers use to provide services to Registrant’s clients employ
various controls, which are designed to prevent cybersecurity incidents stemming from
intentional or unintentional actions that could cause significant interruptions in Registrant’s
operations and result in the unauthorized acquisition or use of clients’ confidential or non-
public personal information. Clients and Registrant are nonetheless subject to the risk of
cybersecurity incidents that could ultimately cause them to incur losses, including for
example: financial losses, cost and reputational damage to respond to regulatory
obligations, other costs associated with corrective measures, and loss from damage or
interruption to systems. Although Registrant has established its systems to reduce the risk
of cybersecurity incidents from coming to fruition, there is no guarantee that these efforts
will always be successful, especially considering that Registrant does not directly control
the cybersecurity measures and policies employed by third-party service providers. Clients
could incur similar adverse consequences resulting from cybersecurity incidents that more
directly affect issuers of securities in which those clients invest, broker-dealers, qualified
custodians, governmental and other regulatory authorities, exchange and other financial
market operators, or other financial institutions.
Disclosure Statement. A copy of our written disclosure statement and client relationship
summary, as set forth on Part 2 of Form ADV and Form CRS respectively, are provided to
each client prior to, or contemporaneously with, the execution of the Client Services
Agreement.
C. The Registrant shall provide investment advisory services specific to the needs of each
client. Prior to providing investment advisory services, an investment adviser
representative will ascertain each client’s investment objective(s). Thereafter, the
Registrant shall allocate and/or recommend that the client allocate investment assets
consistent with the designated investment objective(s). The client may, at any time, impose
reasonable restrictions, in writing, on the Registrant’s services.
D. The Registrant does not participate in a wrap fee program.
E. As of March 1, 2023, the Registrant had approximately $972,515,427 in assets under
management on a discretionary basis.