FORM CRS – Client Relationship Summary
ADV PART 3
April1, 2021
1. Introduction
FMB Wealth Management (FMB) is an investment advisor registered with the Securities and Exchange Commission. We feel it is important for you to understand how advisory and brokerage services and fees differ in order to determine which type of account is right for you. There are free and simple tools available to research firms and financial professionals at www.investor.gov/CRS which also provides educational materials about investment advisors, broker-dealers and investing.
2. Relationship and Services
What types of investment services and advice can you provide me?
Description of Services: FMB offers investment advisory services to retail investors for an ongoing asset-based fee based on the value of cash and investments in your account. Our advisory services include wealth management, financial planning, consultations on wealth transfer, estate planning, income taxes, retirement planning, education funding and charitable gifting.
Monitoring: If you open an account with our firm, we’ll meet with you to understand your current financial situation, existing resources, goals, and risk tolerance. Based on what we learn, we’ll recommend a portfolio of publicly available investments that is regularly monitored (ongoing, with a thorough review at least annually), and if necessary, rebalanced to meet your changing needs, stated goals and objectives.
Investment Authority: Our accounts are managed on a discretionary basis which means we don’t need to call you when buying or selling in your account. You will sign an investment management agreement giving us this authority. This agreement will remain in place until you or we terminate the relationship. We do not offer non-discretionary services.
Limited Investment Offerings: We do not offer proprietary products. We do make available and offer advice to a limited menu of products and types of investments.
Account Minimums and Other Requirements: There is a $1 million account minimum for retail investors that can be waived to open or maintain an account or establish a relationship. FMB will only enter into a client management agreement if we believe we can benefit a client with our services.
Additional information: This is a brief summary of our services. More detailed information is located in Item 4 of our Firm ADV Part 2A Disclosure Brochure which is available online at https://adviserinfo.sec.gov/firm/summary/122309.
Questions to Ask Us: Given my financial situation, should I choose an investment advisory service or brokerage service? Why or why not? How will you choose investments to recommend to me? What is your relevant experience, including your licenses, education and other qualifications? What do those qualifications mean?
3. Fees, Costs, Conflicts and Standard of Conduct
What fees and costs will I pay?
Description of Principal Fees and Costs: You will pay fees and costs whether you make or lose money on your investments. Fees and costs affect the value of your account over time. Please ask your advisor to give you personalized information on the fees and costs that you will pay. At FMB you will be charged an ongoing fee that is calculated annually and then collected on a quarterly basis based on the value of the investments in your account. Our fee schedule is based on the value of the investments in your account and is negotiable. More information about our fee schedule is located in Item 5 of our Firm ADV Disclosure Brochure. Our Brochure is available online: https://adviserinfo.sec.gov/firm/summary/122309.
Our incentive is to increase the value of your account over time which will increase our fees over time. The quarterly fees will be automatically deducted from your account according to the terms of your FMB client service agreement.
The account custodian that holds your assets can charge you a transaction fee when we buy or sell an investment for you. The custodian’s transaction fees are in addition to our advisory fee for our investment advisory service.
You could also pay charges imposed by the custodian holding your accounts for certain investments and maintaining your account. Some investments, such as mutual funds and exchange traded funds charge additional fees that will reduce the value of your investments over time.
Questions to Ask Us: Help me understand how these fees and costs will affect my investments. If I give you $10,000 to invest, how much will go to fees and costs and how much will be invested for me? How do you determine what fee I will be charged? How might your conflicts of interest affect me, and how will you address them?
What are your legal obligations to me when acting as my investment advisor? How does your firm make money and what conflicts of interest do you have?
When we act as your investment advisor, we have a fiduciary duty to act in your best interest and place our clients’ interests ahead of our own. At the same time, the way we make money creates some conflicts with your interests. You should understand and ask us about these conflicts because they can affect the investment advice we provide you. Additional information about our conflicts of interest can be found in our Firm ADV Disclosure Brochure under Item 11, available online:
https://adviserinfo.sec.gov/firm/summary/122309
How do your financial professionals make money?
The firm’s revenue is from the advisory fees we collect from your accounts each quarter. Our financial professionals are employees of the firm and are paid a fixed monthly salary.
4. Disciplinary History
Do you or your financial professionals have legal or disciplinary history?
No, our firm and our financial professionals do not have any legal and/or disciplinary history. Visit www.Investor.gov/CRS for a free and simple search tool to research our firm and our financial professionals.
Questions to Ask Us: As a financial professional, do you have any disciplinary history? If yes, for what type of conduct?
5. Additional Information
You can find additional information about our firm’s investment advisory services and disclosures on the SEC’s website at https://adviserinfo.sec.gov/firm/summary/122309. You may also contact our firm at (805) 446-4494 and talk to any one of our investment professionals or support staff, or by email at info@fmbwealth.com.
Questions to Ask Us: Who is my primary contact person? Is he or she a representative of an investment advisor or a broker-dealer, or both? Who can I talk to if I have concerns about how this person is treating me?