QBOX Fiduciary Solutions, LLC (“QBOXFS”)
QBOX Fiduciary Solutions, LLC is a registered investment advisory firm that was formed in April 2013.
The principal owners are:
Legal Name Status
Gregory A Moerchen Managing Member
Mark C Kaufman Member
QBOXFS has fully disclosed all material conflicts of interest regarding QBOXFS, its representatives or
any of its employees that could reasonably be expected to impair the rendering of unbiased and objective
advice.
Qualified Plan Services
QBOXFS offers selected qualified plan services. The following is a general overview of services.
Services are selected in a separate agreement by each client and are outlined below.
Preparation and maintenance of the Investment Policy Statement (IPS)
Security performance management, monitoring and reporting
Appointment as investment manager as defined in 3(21) of ERISA
Appointment as investment manager as defined in 3(38) of ERISA, pursuant to the authority
granted under the Plan’s IPS and 402(c)(3) of ERISA.
Grant limited power of attorney to act in the name of the plan to select specific instruments to be
held by the Plan or offered as investment options under the Plan.
Selection of Qualified Default Investment alternative (QDIA)
Education services to plan committee
Participant enrollment and education. QBOXFS will NOT provide investment advice to
participants
Request for proposals and/or plan vendor search
Will assist in meeting the 404(c) Services
QBOXFS shall not, and cannot, provide legal or tax advice to client or the Plan. Client agrees to seek the
advice of its legal and tax advisers as to matters that might arise relating to the operations and
administration of the Plan.
Finally, client will acknowledge that QBOXFS has no responsibility to provide any services with respect to
the following types of assets: employer securities, real estate, participant loans, non-publicly traded
securities or assets (other than collective investment funds or non-publicly traded securities or assets
recommended by QBOXFS), illiquid investments, or brokerage window programs.
Client will further acknowledge that QBOXFS shall have no authority or responsibility to provide services
with respect to voting proxies for securities held by the Plan or take other action related to the exercise of
shareholder rights regarding any portfolio securities.
Portfolio Management Services
QBOXFS provides continuous advice to a client regarding investment of client funds 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, QBOXFS develops a client's portfolio. QBOXFS will
manage advisory accounts on a discretionary or non-discretionary basis (See Item 16 – Investment
Discretion for more details). Account supervision is guided by the stated objectives of the client (i.e.,
maximum capital appreciation, growth, income, or growth and income).
QBOXFS will need to obtain certain information from client to determine their financial situation and
investment objectives. Client will be responsible for notifying us of any updates regarding their financial
situation, risk tolerance or investment objective and whether they wish to impose or modify existing
investment restrictions; however, we will contact client at least annually to discuss any changes or
updates regarding their financial situation, risk tolerance or investment objectives. QBOXFS is always
reasonably available to consult with client relative to the status of their accounts under our management.
Client has the ability to impose reasonable restrictions on the management of their accounts, including
the ability to instruct us not to purchase certain securities.
It is important that client understand that we manage investments for other clients and may give them
advice or take actions for them or for our personal accounts that is different from the advice we provide to
client or actions taken for the client. QBOXFS is not obligated to buy, sell or recommend to client any
security or other investment that we may buy, sell or recommend for any other clients or for our own
accounts.
Conflicts may arise in the allocation of investment opportunities among accounts that we manage.
QBOXFS strives to allocate investment opportunities believed to be appropriate for client account(s) and
other accounts advised by our firm among such accounts equitably and consistent with the best interests
of all accounts involved. However, there can be no assurance that a particular investment opportunity
that comes to our attention will be allocated in any particular manner. If QBOXFS obtains material, non-
public information about a security or its issuer that we may not lawfully use or disclose, we have
absolutely no obligation to disclose the information to any client or use it for any client’s benefit.
QBOXFS will create a portfolio consisting of one or all of the following: individual equities, bonds,
exchange traded funds (ETFs), other investment products, and mutual funds. QBOXFS will allocate the
client's assets among various investments taking into consideration the overall management style
selected by the client. The securities will be selected on the basis of any or all of the following criteria:
performance history; the industry sector in which the security invests; the track record of the security’s
manager; the security investment objectives; the security’s management style and philosophy; and the
security’s management fee structure. Portfolio weighting between securities and market sectors will be
determined by each client's individual needs and circumstances. Clients will have the opportunity to
place reasonable restrictions on the types of investments which will be made on the client's behalf.
Clients will retain individual ownership of all securities.
When appropriate to the needs of the client, QBOXFS may recommend the use of trading (securities sold
within 30 days). Because these investment strategies involve certain additional degrees of risk, they will
only be recommended when consistent with the client's stated tolerance for risk.
During its reviews, if QBOXFS believes that a particular investment is performing inadequately, or if
QBOXFS believes that a different investment is more suitable for the client's account, then QBOXFS will
recommend a different investment.
For Portfolio Management Services accounts managed on a non-discretionary basis, QBOXFS will assist
the client in selecting a new investment or adviser. If contracted for, QBOXFS will monitor the
performance of that investment or adviser. However, any such change is solely at the discretion of the
client.
Recommendation of Unaffiliated Sub-Advisers: As part of our Portfolio Management Services, we
may select unaffiliated, third-party investment advisers serving as “Sub-Advisers” to manage a portion
of client assets. The selection of Sub-Advisers may be granted on a discretionary basis to “hire and
fire” Sub-Advisers which means we can select and remove Sub-Advisers from client accounts without
first consulting with client. Alternatively, some clients may prefer to have us select Sub-Advisers on a
non-discretionary basis which means client will need to provide written authorization of a Sub-Adviser
in advance. Any Sub-Adviser selected by us shall be registered or properly exempt from registration
in your home state. The decision to use a Sub-Adviser is always based on each client’s individual
needs and is triggered when a strategy offered or available by a Sub-Adviser is in the best interests of
our clients. A complete description of the third-party investment advisor’s services acting as Sub-
Adviser, fee schedules and account minimums will be disclosed in the third-party investment advisor’s
Form ADV Disclosure Brochure which we will send to client at the time a Sub-Adviser is added to
your Account.
Selected Sub-Advisers will manage client assets by providing ongoing discretionary investment
management services over client designated assets. Discretionary authority allows the Sub-Advisers
to determine the securities to be purchased and sold in client accounts managed by the Sub-Adviser.
We will not utilize trading authority with respect to client Account(s) and/or assets managed by a Sub-
Adviser. We are always available to answer questions client may have regarding the portion of the
client’s Account(s) managed by the Sub-Adviser and act as the communication conduit between
client and the Sub-Adviser.
Tailor Advisory Services to Individual Needs of Clients
Our advisory services are always provided based on client individual needs. This means, for example,
that when we provide portfolio management services, clients are given the ability to impose restrictions on
the accounts we manage for clients, including specific investment selections and sectors. We work with
clients on a one-on-one basis through interviews and questionnaires to determine your investment
objectives and suitability information.
We will not enter into an investment adviser relationship with a prospective client whose investment
objectives may be considered incompatible with our investment philosophy or strategies or where the
prospective client seeks to impose unduly restrictive investment guidelines.
No Participation in Wrap Fee Programs
A wrap-fee program is defined as any advisory program under which a specified fee or fees not based
directly upon transactions in a client’s account is charged for investment advisory services (which may
include portfolio management and/or advice concerning the selection of other investment advisers) and
the execution of client transactions. We do not offer or participate in wrap-fee programs. All of our
services are provided on a non-wrap fee basis which means fees and expenses for execution of client
transactions charged by the client’s broker/dealer and/or custodian are billed directly to the client’s
account separately from our advisory fees.
Client Assets Managed
The amount of discretionary assets under our management as of 12/31/2022 totaled $332,861,956 and
the amount of non-discretionary assets as of 12/31/22 totaled $2,735,706.