The information contained in this section
has been filed with NASD as part of the state Registered Investment
Advisor regulations as an Amendment to Form ADV.
Thomas Financial Planning Asset Management
James N. Thomas, CFP®
Thomas Financial Planning
5738 South Black Oak Lake Road
Land O' Lakes, WI 54540
This brochure provides clients with
information about James N. Thomas and the Thomas Financial Planning
Asset Management Program that should be considered before becoming
a client of the Thomas Financial Planning Asset Management Program.
This information has not been approved or verified by any government
Any investment program must be built around
you. Your dreams, goals and needs combined with your tolerance
for risk are the basis for developing a successful asset management
program. As a Certified Financial Planning designee, the heart
of my program is a comprehensive financial planning process.
The financial planning process begins with a complete review
of your financial position and defining your current and future
financial needs. I then help you articulate you goals and develop
a plan to achieve them. Only then do we start the process of
developing an investment strategy.
Asset or wealth management is not a get-rich-quick strategy or
a "hot tip" investment scheme. Instead, I team up with
highly skilled professional investment managers to follow a time
proven process to increase the probability that you will meet
your financial objectives. As an independent investment advisor,
I am not tied to any company or programs. This means I only select
investments that are in your best interest.
The Asset Management Program is a four-step process based on
your financial plan. First we develop an asset allocation policy
based on your needs and goals. This policy maximizes your investment
returns relative to your risk tolerance and time horizon.
Next, your asset allocation policy is implemented by investing
in a well-diversified portfolio managed all or in part by institutional
money management firms. Equity investments are balanced with
other financial instruments and hard assets to meet your financial
Your investment portfolio is carefully monitored on an ongoing
basis to ensure that it remains consistent with your asset allocation
policy. If the relative value of investments in your portfolio
changes enough to become inconsistent with this policy, it is
The fourth step is to periodically review your financial plan
to ensure that your asset allocation policy remains consistent
with you financial goals. If your financial or life situation
changes, we can make modifications to our investment strategy.
I will communicate regularly with your investment managers and
provide a comprehensive reporting package including account performance
reports and statements providing details of your account. I will
combine reports received directly from each portfolio manager
with a summary report with all your investments. The reporting
period can be customized based on your wishes with quarterly
being the preferred.
Ethics and Disclosure
As a Certified Financial Planning designee, I am governed by
the strict Code of Ethics of the Certified Financial Planning
Board. The Code is available on request or can be viewed at www.CFPBoard.com and is summarized
|Principle 1: A CFP practitioner shall provide professional
services with integrity.
Principle 2: A CFP practitioner shall be objective in
providing professional services.
Principle 3: A CFP practitioner shall provide services
to clients competently and maintain the necessary knowledge and
skill to continue to do so in those areas in which the designee
Principle 4: A CFP practitioner shall perform professional
services in a manner that is fair and reasonable and shall disclose
conflicts of interest in providing such services.
Principle 5: A CFP practitioner shall not disclose any
confidential client information unless in response to proper
Principle 6: A CFP practitioner's conduct in all matters
shall reflect credit on the profession.
Principle 7: A CFP practitioner shall act diligently in
providing professional services.
As a fee only financial planner and investment
advisor I receive no commissions or compensation from any third
party in connection with your investments. Therefore, I have
no conflicts of interest and incentive for you to select one
investment over another. I have different fees depending on the
level of service I provide that are outlined in "Fee Schedule".
There are no conflicts between the interests of Thomas Financial
Planning and those of my clients as reported in Form ADV Part
Thomas Financial Planning is a fee-only
firm providing comprehensive financial planning. Investment advisory
or asset management services are only one part of the financial
planning process. Since no two clients are alike, I offer my
services on an hourly, flat fee, or management (wrap fee) basis.
This allows you to select only the services you need. Also, you
may not want to sever relationships with brokers or money managers
that currently handle your equity investments. I will work as
part of a team if you feel this is in your best interest.
Our relationship is determined in two steps. First there is a
no-charge meeting where we briefly review your financial position,
investments and current financial needs. We discuss why you feel
you may need financial planning advice. It also provides an opportunity
to get to know each other and determine if we are compatible.
From this information, I will propose the type of services I
am able to provide that will be of value to you. I will also
recommend the type of fee basis that would be the most beneficial
Should I recommend an asset management program that would have
a wrap fee, I will compare this fee to what you are currently
paying for the level of services being provided separately in
addition to the trading costs based on the activity in your account.
The cost for an asset management program may be slightly higher,
but the level of expertise and services provided may give you
a higher probability of meeting your life goals. My objective
with an asset management program is to provide a higher level
of financial planning expertise and personal service.
The Thomas Financial Planning
fee schedule is as follows:
$95 per hour for personal financial planning
Asset Management annual fees are based
on assets under management
Financial planning services are included
in the asset management fee
| Client Account Balance*
|| Annual Fee
| Up to $199,999
| $200,000 to $499,999
| $500,000 to $999,999
| $1,000,000 to $1,999,999
| $2,000,000 and above
| *Total of all accounts
unless otherwise stated
Fees are not subject to negotiation.
The specific manner in which fees are charged
by TFP is established in a
client's written agreement with TFP. TFP bills its fees on a
basis in arrears each calendar quarter. Clients may also elect
to be billed
directly for fees or to authorize TFP to directly debit fees
accounts. Management fees shall be prorated for each capital
and withdrawal made during the applicable calendar quarter (with
exception of small contributions and withdrawals). Accounts initiated
terminated during a calendar quarter will be charged a prorated
termination of any account, any prepaid, unearned fees will be
refunded, and any earned, unpaid fees will be due and payable.
TFP's fees are exclusive of brokerage commissions,
transaction fees, and
other related costs and expenses which shall be incurred by the
Clients may incur certain charges imposed by custodians, brokers,
party investment and other third parties such as fees charged
custodial fees, deferred sales charges, odd-lot differentials,
taxes, wire transfer and electronic fund fees, and other fees
and taxes on
brokerage accounts and securities transactions. Mutual funds
traded funds also charge internal management fees, which are
disclosed in a
Such charges, fees and commissions are exclusive of and in addition
fee, and TFP shall not receive any portion of these commissions,
Financial plan or hourly rate fees are
due upon delivery of a written plan
or appropriate document. Normally a deposit of 50% (not to exceed
the estimated costs of the services to be provided will be paid
signing of a "Services to be Provided" agreement. The
client has the right
to terminate an agreement or the provision of services at any
time and will
be promptly refunded any deposit less payment for the hours expended.
management agreements can be cancelled at any time with the fees
the termination date.
Client Confidentiality Policy
Client confidentiality is of
paramount importance in the financial service industry. All client
information shall be considered confidential in accordance with
the provisions of the "Code of Ethics and Professional Responsibility"
for CFP licensees.
All information about Thomas Financial
Planning and its clients are considered to be confidential. Employees
shall not disclose any confidential information at any time during
or after employment with the firm.
Company files are available to employees
in the course of their normal work on a "need to know"
basis only. No employee shall permit any person whomever to examine
or make copies of any reports or any other documents prepared
by Thomas Financial Planning, its clients, or documents which
come into an employee's possession by reason of employment with
this firm. Any person associated with Thomas Financial Planning,
who has a question regarding the propriety of using client information
in any manner, other than for the benefit of the client, shall
ask the Compliance Officer of Thomas Financial Planning for a
determination of propriety.
Unauthorized use of client lists, client
names, addresses, and/or phone numbers, both during employment
and after termination of employment, is a potential criminal
violation of the laws of the State of Wisconsin. The Company
will prosecute any violations to the fullest extent of the law.
Upon termination of employment, an employee shall turn over to
the President all documents, papers, memoranda, electronic media,
and other matter in his or her possession or under his or her
control, which may have, in any way, to do with the above-described