Introduction
F&V Capital Management, LLC is an SEC registered investment advisor. The services we provide and the fees we charge are different from those of broker-dealers. It is important for retail investors to understand these differences. Free and simple tools are available to research firms and financial professionals at https://www.investor.gov/CRS, which also provides educational materials about investment advisors, broker-dealers, and investing.
Relationships and Services
What investment services and advice can you provide me?
Description of Services: We manage investment advisory accounts for retail investors on either a discretionary or non-discretionary basis. Management of your individual, segregated account is guided by your objectives (i.e., maximum capital appreciation, growth, income, or growth and income), as well as tax considerations. For our clients that provide us with discretionary authority, we buy and sell securities that we monitor on a continuous basis on their behalf. For non-discretionary clients, the client makes the ultimate decision regarding the purchase or sale of investments. Financial planning is also offered free of additional charge to some of our fee-paying clients. Our investment recommendations and advice are not limited to any specific product or service. We do not have any specific minimum account size. We consider the client’s overall potential, and we are willing to consider clients with various initial amounts for investment.
Additional Information: The firm provides a much more detailed description of its services and offerings in our Form ADV, Part 2A, our “brochure” which we file with the Securities and Exchange Commission (SEC). The firm will provide paper or electronic versions of this brochure, at your request. In addition, our ADV Part 2A can be found at the SEC’s website using the following link. https://adviserinfo.sec.gov/firm/summary/146399
The following are questions that retail investors may wish to ask a financial professional and start a conversation about relationships and services:
Given my financial situation, should I choose an investment advisory 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 these qualifications mean?
Fees, Costs, Conflicts, and Standard of Conduct
What fees will I pay?
Our firm charges fees on a quarterly basis. The fee is typically calculated as a percentage of the assets under management and generally range from 0.50% to 2.50% per year. Some clients may choose a performance-based fee consisting of a lower fixed percentage fee, but with an additional performance fee equal to some part of investment profits. Accounts may also be subject to a minimum fixed fee. Because we earn a fee based on a percentage of your assets, some may consider it a conflict of interest in that this arrangement gives our firm an incentive to encourage clients to increase assets in their account.
Other Fees and Costs: Some clients may hold mutual funds or Exchange Traded Funds (ETFs). The performance of such funds are net of certain fees or other costs charged by the manager of those funds. Clients are also charged transaction fees by a broker-dealer when transactions are made for their account.
Additional Information: You will pay fees and costs whether you make or lose money on your investments. Fees and costs will reduce any amount of money you make on your investments over time. Please make sure you understand what fees and costs you are paying. In Form ADV Part 2A, the firm provides more detailed information about fees. https://adviserinfo.sec.gov/firm/summary/146399
You may wish to ask a financial professional the following question to start a conversation about the impact of fees and costs on investments:
Help me understand how these fees and costs might 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?
What are your legal obligations to me when acting as my investment adviser? How else does your firm make money and what conflicts of interest do you have?”
When we act as your investment adviser, 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. You should understand and ask us about these conflicts because they can affect the investment advice we provide you. Here are some examples to help you understand what this means. Because we charge a higher fee for equity rather than fixed income management, we have a conflict of interest because of the incentive to favor equity investments. Because our fees are based on portfolio size, we have an incentive to suggest you increase your assets under management with our firm.
You may wish to ask a financial professional the following question to start a conversation about conflicts of interest:
How might your conflicts of interest affect me, and how will you address them?
Additional Information: You will find more detailed information about our conflicts of interest in our Form ADV Part 2A. That Form can be found by following the following link https://adviserinfo.sec.gov/firm/summary/146399
How do your financial professionals make money?
The professionals in our firm are paid a salary in cash, plus a cash bonus. Such payments are based on the employee’s seniority, contribution to the firm, and the firm’s overall success and profitability.
Do you or your financial professionals have legal or disciplinary history?
No.
Visit https://www.investor.gov/CRS for a free and simple search tool to research our firm and its professionals.
When discussing a potential relationship with a financial professional, consider asking the following question about disciplinary history:
As a financial professional, do you have any disciplinary history? For what type of conduct?
Additional Information
If you wish to request up-to-date information about F&V Capital Management, LLC and/or a copy of this Relationship Summary, please contact us at 561-208-1081.
Consider asking a financial professional the following question and start a conversation about contacts and complaints:
Who is my primary contact person? Is he or she a representative of an investment advisor? Who can I talk to if I have concerns about how this person is treating me?