A Our Firm. Rutherford Investment Management is an Oregon limited liability company
registered as an investment advisor with the SEC. Our principal place of business is located in
Portland, Oregon. William D. Rutherford is the sole owner and President of the firm. Mr.
Rutherford, Adam Brzeczek, James M. Cook (formerly Ulatowski), and Joan Lamb are the
sole investment advisor representatives of the firm.
The information contained in this Brochure describes our investment advisory services,
practices, and fees. Please refer to the description of our investment advisory services listed
below for information on how we tailor our services to the needs of our clients. As used
throughout this firm brochure, the words “we,” “our,” “firm,” “RIM” and “us” refer to
Rutherford Investment Management, and the words “you,” “your,” and “Client” refer to you
as either a client or prospective client of our firm.
Prior to forming an investment advisor-client relationship, we typically offer prospective
clients a complimentary general consultation to discuss the nature of our services and the
Client’s financial status and objectives to determine the possibility of a potential advisory
relationship. Investment advisory services and an advisor-client relationship begin only after
the prospective client and RIM formalize their relationship in a written advisory agreement.
B Our Services.
Discretionary Portfolio Management
We offer ongoing portfolio management and investment advisory services that are tailored to
the unique investment objectives, financial goal and circumstances, risk tolerance, and
investment time horizon of each Client. Pursuant to a written investment advisory agreement
entered into with each Client, we will continuously manage your investment portfolio on a
discretionary basis. Stated plainly, this means you have granted us the authority to do all of
the following within your account, without obtaining your consent prior to each transaction:
• To buy and sell securities in your account, including the determination of the timing
of such transactions and amount and type of securities to be bought or sold;
• To arrange for delivery and payment in connection with all such transactions;
• To select, retain and terminate sub-advisors available through the qualified custodian’s
brokerage platform to manage all or a portion of your account; and
• To act on your behalf in all other matters necessary or incidental to the handling of
your account.
You shall have the ability to impose reasonable restrictions on our management of your
account, including the ability to instruct us not to purchase certain mutual funds, stocks or
other securities. These restrictions may be with respect to a specific company’s securities,
industry sector, asset class, or any other restriction you request. All such requests must be
provided to us in writing.
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Please see Item 8 of this Brochure for a description of the types of investments we generally
recommend for Client accounts.
Your account can be managed in a tax aware manner; however, we do not provide tax advice
or tax management services. We can refer you to a tax professional at your request. We do not
receive compensation of any kind in connection with such referrals. The decision to retain any
referred third party professionals, including attorneys, accountants, tax professionals and
others is a matter solely within the Client’s discretion and our firm shall not be responsible for
the acts or omissions of any third party professionals.
Investment Manager to a Collective Investment Trust Fund
RIM provides discretionary portfolio management services to certain collective investment
funds established under the Rutherford Collective Investment Trust (“Rutherford CIT”), a
collective investment trust maintained by Alta Trust that is designed to serve the investment
needs of tax qualified employer sponsored retirement plans (“Plans”). Alta Trust is a South
Dakota chartered trust company that acts as the “Trustee” of the Rutherford CIT. Collective
investment trusts, including the Rutherford CIT, are excluded from the definition of a
registered security and an investment company under various securities laws, but are subject
to the Office of the Comptroller of the Currency (OCC) Regulation 12 CFR 9.18, state banking
rules and/or the Employment Retirement Income Security Act of 1974, as amended
(“ERISA”).
This Rutherford CIT only accept assets of defined contribution plans that are part of a
pension, profit sharing, stock bonus or other employee benefit plan of an employer for the
exclusive benefit of employees or their beneficiaries and is (i) exempt from federal income
taxes under Section 501 (a) of the code, by reason of qualifying under Section 401(a) or 414(d)
of the code or (ii) is part of an eligible deferred compensation plan maintained by a state or
local governmental
unit under Section 457(b) of the Code (“Section 457 Plan”), which is either
exempt from or not subject to income taxation.
RIM serves as a fiduciary and “Investment Manager” (as that term is defined in Section 3(38)
of ERISA) with respect to the Rutherford CIT and any Plans investing in its underlying funds.
At present, RIM serves as the Investment Manager to the Rutherford Multi-Cap Growth Fund
(“Fund”), a collective investment fund established under the Rutherford CIT. The Fund is not
a mutual fund registered under the Investment Company Act of 1940, as amended, (“1940
Act”) or other applicable law, and unit holders are not entitled to the protections of the 1940
Act. The regulations applicable to a collective investment fund are different from those
applicable to a mutual fund registered under the 1940 Act. The Fund’s units are not securities
registered under the Securities Act of 1933, as amended, or applicable securities laws of any
state or other jurisdiction. In addition, the Fund’s units are not publicly traded on any exchange
or over-the-counter market and, as a result, the unit values are not available for publication in
newspapers.
All of the assets of the Fund are invested according to the Fund’s stated investment objectives,
guidelines, and restrictions. The Fund’s investment objective is to seek capital appreciation for
investors with long-term investment goals. The Fund invests primarily but not exclusively in
U.S. equities across multiple market capitalization weightings. RIM identifies what it believes
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to be the most attractive market sectors and subsequently invests the Fund’s assets in preferred
equities in each such market sector. Equities are selected based on their expected growth
prospects. Growing sectors are over weighted. RIM maintains the right to allocate to cash or
fixed income investments at its discretion in times of market turmoil.
The Rutherford CIT’s Declaration of Trust dated November 3, 2017, the Fund’s Employee
Benefit Summary, and other important disclosures regarding the Fund’s investment objective,
strategies, risks, fees and expenses (collectively, “Disclosure Information”) should be read in
conjunction with the above information when considering an investment in the Fund. A copy
of the Fund’s Disclosure Information may be obtained by contacting RIM at the telephone
number or e-mail address found on the cover page of this Brochure or Alta Trust at
[email protected]. Additional information regarding the Fund is also available at
http://www.trustalta.com/rutherford.
C Tailored Advisory Services; Ongoing Management. Prior to implementing an investment
program, and periodically thereafter, we will meet and confer with you in person,
electronically, or telephonically to discuss and document your investment goals and objectives.
All of our investment decisions are made in accordance with investment guidelines that fit
with the Client’s investment needs and objectives. You are obligated to notify us promptly
when your financial situation, goals, objectives, or needs change and we are entitled to rely on
all investor profile information you provide to us.
If you decide to implement an investment management strategy with us, we will help you open
a custodial account(s). The funds in your account will generally be held in a separate account,
in your name, at an independent custodian, not with us. We generally recommend using
Charles Schwab & Co., Inc. (“Charles Schwab”) as your custodian. However, you have the
right to use another custodian instead of Charles Schwab to handle your account. Our
brokerage practices are described in further detail in Item 12 of this Brochure.
In all cases, you will enter into a separate custodial agreement with the custodian of your
choice. The custodian will effect transactions, deliver securities and make payments. You will
receive, at least quarterly, a statement containing a description of all the activity in your account
from the custodian. This statement lists the total value at the start of the quarter, itemizes all
transaction activity during the quarter, and lists the types, amounts, and total value of securities
held as of the end of the quarter. We will be copied on these statements. Your statement may
be in either printed or electronic form based upon your preferences. You will at all times
maintain full and complete ownership rights to all assets held in your account, including the
right to withdraw securities or cash at times in such amounts as you desire, to vote proxies,
and to receive transaction confirmations.
D No Wrap Fee Program. We do not participate in or sponsor any wrap fee programs.
E Our Assets Under Management. As of December 31, 2023, we managed approximately
$173,438,267 of Client assets on a discretionary basis and approximately $0 of Client assets on
a non-discretionary basis.
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