Firm Description and Types of Advisory Services
Graypoint LLC is an investment adviser.
We were founded in 2019 as the result of a merger between Bender Lane Advisory, LLC and
Hugh Johnson Advisors, LLC. Bender Lane Advisory and Hugh Johnson Advisors are divisions
of JNB Advisors, LLC. As of March 2021, the Firm will now conduct business as Graypoint LLC.
We provide a diverse range of financial services to our clients including, but not limited to
individuals, high-net-worth individuals and families, charitable organizations, corporations,
and retirement plans.
Principal Owners
We are owned by a number of individuals, none of whom hold over 25% ownership. The
individuals we consider to be control persons are Daniel J. Rutnik, Daniel P. Nolan, Joseph N.
Vet, Jr., Susan M. Reese, Christopher M. Denisulk, Renee W. Galloway, Sean M. Leonard,
and Shelly L. Stone.
Types of Advisory Services
Investment Advisory Services
We provide investment advisory services, defined as giving continuous advice to a client or
making investments for a client based on the individual needs of the client. Through
personal discussions in which goals and objectives based on a client's particular
circumstances are established, we create customized, structured portfolios, tailored to
each client’s individual risk tolerance. As part of our investment advisory services, we
determine the client's individual objectives, time horizons, risk tolerance, and liquidity needs.
As appropriate, we also review and discuss a client's prior investment history, as well as
family composition and background. Account supervision is guided by the client's stated
objectives (i.e., maximum capital appreciation, growth, income, or growth and income), as
well as tax considerations. Asset allocation mix may fluctuate and vary depending on our
recommendations and market conditions. We will manage advisory accounts on both a
discretionary and non-discretionary basis.
For Non-discretionary accounts, individual determinations of investment allocation and
investment vehicle selection are made by the client. All such trades must be approved in
advance either verbally or in writing by the client before they will be carried out by us.
Our investment recommendations are not limited to any specific product or service and will
generally include advice regarding the following securities: exchange-listed securities,
securities traded over the counter, corporate debt securities (other than commercial
paper), certificates of deposit, municipal securities, mutual fund shares, United States
governmental securities, options, structured notes and private placements.
Because some types of investments involve certain additional degrees of risk, they will only
be implemented/recommended when consistent with the client's stated investment
objectives, tolerance for risk, liquidity and suitability.
Family Office/ Financial Planning
We offer a diverse range of services to high-net-worth individuals and their families to
efficiently use their wealth and personal skills to meet their objectives now and into the
future.
We provide financial planning services. Financial planning is an evaluation of a client's
current and future financial state by using currently known variables to predict future cash
flows, asset values and withdrawal plans. Through the financial planning process, all
questions, information and analysis are considered as they impact and are impacted by
the entire financial and life situation of the client. Financial planning clients may receive a
written report which provides the client with a detailed financial plan designed to assist the
client in achieving his or her financial goals and objectives.
The financial plan can address any or all of the following areas:
• Personal: We review family records, budgeting, personal liability, estate
information and financial goals.
• Tax & Cash Flow: We analyze the client's income tax and spending and
planning for past, current and future years; then illustrate the impact of
various investments on the client's current income tax and future tax liability.
• Investments: We analyze investment alternatives and their effect on the
client's portfolio.
• Insurance: We review existing policies to ensure proper coverage for life,
health, disability, long-term care, liability, home and automobile.
• Retirement: We analyze current strategies and investment plans to help the
client achieve his or her retirement goals.
• Death & Disability: We review the client's cash needs at death, income needs
of surviving dependents, estate planning and disability income.
• Estate Planning: We assist the client in assessing and developing long-term
strategies, including as appropriate, trusts, wills, powers of attorney, and asset
protection plans. These services may include, but are not limited to:
o Comprehensive maintenance and reporting of financial
information
o Income tax planning and compliance
o Family financial literacy education and coordination
o Bill paying
We gather required information through in-depth personal interviews. Information gathered
includes the client's current financial status, tax status, future goals, returns objectives and
attitudes towards risk. We carefully review documents supplied by the
client and may
prepare a written report. Should the client choose to implement the recommendations
contained in the plan, we suggest the client work closely with his/her attorney, accountant,
insurance agent, and/or investment advisor. Implementation of financial plan
recommendations is entirely at the client's discretion.
Selection and Monitoring of Third-Party Money Managers
We also offer advisory management services to our clients through our Selection and
Monitoring of Third-Party Money Managers programs (hereinafter, "Programs"). Based on the
client's individual circumstances and needs we will then perform management searches of
various unaffiliated registered investment advisers to identify which registered investment
adviser's portfolio management style is appropriate for that client. Factors considered in
making this determination include account size, risk tolerance, the opinion of each client
and the investment philosophy of the selected registered investment adviser. Clients should
refer to the selected registered investment adviser's Firm Brochure, Form ADV Parts 2A, 2B, or
other disclosure document for a full description of the services offered. We are available to
meet with clients on a regular basis, or as determined by the client, to review the account.
Family Limited Partnerships
We provide recordkeeping, accounting, tax preparation and other tax services, and
reporting services to family limited partnerships and other registered investment advisers.
Consulting Services
Clients can also receive investment advice on a more focused basis. This may include
advice on only an isolated area(s) of concern such as estate planning, retirement planning,
or any other specific topic.
Retirement Plan Services
We provide sub advisory investment advisory services to 401(k) plans through each plan’s
primary advisor. In these instances, we provide investment recommendations to the primary
advisor for various portfolios i.e., income, balanced, growth, etc., made available to plan
participants. We do not provide discretionary or non-discretionary investment advisory
services in these circumstances.
Tailored Relationships
We tailor investment advisory services to the individual needs of the client. The goals and
objectives for each client are documented in our client relationship management system.
Clients may impose reasonable restrictions, in writing, on investing in certain securities, types
of securities, or industry sectors.
Fiduciary Statement
We are fiduciaries under the Investment Advisers Act of 1940 and when we provide
investment advice to you regarding your retirement plan account or individual retirement
account, we are also fiduciaries within the meaning of Title I of the Employee Retirement
Income Security Act, (“ERISA”) and/or the Internal Revenue Code, (“IRC”), as applicable,
which are laws governing retirement accounts.
We have to act in your best interest and not put our interest ahead of yours. At the same
time, the way we make money creates some conflicts with your interests. We must take into
consideration each client’s objectives and act in the best interests of the client. We are
prohibited from engaging in any activity that is in conflict with the interests of the client. We
have the following responsibilities when working with a client:
• To render impartial advice;
• To make appropriate recommendations based on the client’s needs, financial
circumstances, and investment objectives;
• To exercise a high degree of care and diligence to ensure that information is
presented in an accurate manner and not in a way to mislead;
• To have a reasonable basis, information, and understanding of the facts in order to
provide appropriate recommendations and representations;
• Disclose any material conflict of interest in writing; and
• Treat clients fairly and equitably.
Regulations prohibit us from:
• Employing any device, scheme, or artifice to defraud a client;
• Making any untrue statement of a material fact to a client or omitting to state a
material fact when communicating with a client;
• Engaging in any act, practice, or course of business which operates or would
operate as fraud or deceit upon a client; or
• Engaging in any manipulative act or practice with a client.
We will act with competence, dignity, integrity, and in an ethical manner, when working
with clients. We will use reasonable care and exercise independent professional judgement
when conducting investment analysis, making investment recommendations, trading,
promoting our services, and engaging in other professional activities.
Wrap Fee Programs
We are the investment manager for one wrap-fee program. A “wrap-fee” program is one
that provides the client with advisory and brokerage execution services for an all-inclusive
fee. The client is not charged separate fees for the respective components of the total
service. More information on the wrap fee programs may be found in each wrap sponsors
Form ADV Part 2A Appendix 1, available upon request.
Client Assets
As of December 31, 2023, we manage approximately $3,874,573,983 in assets under
management. $3,829,829,858 is managed on a discretionary basis and $44,744,125 is
managed on a non-discretionary basis.