A. MJC Advisors, LLC, (“MJC”) is a limited liability company formed in Maryland on July 21,
2005. MJC has been registered with the United States Securities and Exchange
Commission since January 10, 2020 and was previously registered with the Maryland
Securities Division (and with various other states). MJC’s Managing Member, Michael
Cooperman, is MJC’s principal owner.
B. As discussed below, MJC offers to its clients (currently comprised of individuals, high net
worth individuals, trusts, estates, pensions and profit-sharing plans) investment advisory
services and financial planning and consulting services.
INVESTMENT ADVISORY SERVICES
Clients can engage MJC to provide discretionary investment advisory services on a fee-
only basis. MJC’s annual investment advisory fee is based upon a percentage of the
market value of the assets placed under its management. When engaging MJC to provide
investment advisory services, clients are required to enter into an Investment Advisory
Agreement with MJC setting forth the terms and conditions of the engagement (including
termination), describing the scope of the services to be provided, and the fee that is due
from the client. Upon request or as part of the advisory process, MJC may at its discretion
also provide financial planning and consulting services as part of its engagement that
typically relate to account performance as compared to established financial goals and
risks.
MJC’s investment advisory services are specifically tailored to the needs of each client.
Before providing investment advisory services, an investment adviser representative will
collaborate with the client to develop investment objectives, which are based upon an
assessment of factors that typically include: capital preservation; risk tolerance; income
production; liquidity requirements; client preferences; asset and liability levels; and
investment restrictions. The client’s investment objectives are established, and a
compatible investment strategy and plan are then implemented. Clients may, at any time
impose restrictions in writing on investing in certain securities or types of securities. MJC
primarily allocates investment assets among mutual funds and exchange traded funds
(“ETFs”) and may also allocate to individual equities when consistent with investment
objectives. Once client investment assets are allocated, MJC provides ongoing monitoring
and review of account performance and asset allocation as compared to client-designated
investment objectives and may execute account transactions or implement a
corresponding shift in investment strategy because of those reviews or other triggering
events.
MISCELLANEOUS
Limitations of Non-Investment Consulting/Implementation Services. MJC does not serve
as a law firm, accounting firm, or insurance agency, and no portion of MJC’s services
should be construed as legal, accounting, or insurance implementation services.
Accordingly, MJC does not prepare estate planning documents, tax returns, or sell
insurance products. Unless specifically agreed in writing, neither MJC nor its
representatives are responsible to implement any financial plans or financial planning
advice; provide ongoing financial planning services; or provide ongoing monitoring of
financial plans or financial planning advice. MJC’s financial planning and consulting
services are completed upon communicating its recommendations to the client. If
requested by a client, MJC may also recommend the services of other professionals for
certain non-investment implementation purposes (i.e., attorneys, accountants, insurance
agents, etc.). Clients are under no obligation to engage the services of any recommended
professional, who are responsible
for the quality and competency of the services they
provide.
Client Obligations. In performing its services, MJC will not be required to verify any
information received from the client or from the client’s designated professionals and is
expressly authorized to rely thereon. Clients are responsible to promptly notify MJC if
there is ever any change in their financial situation or investment objectives for the
purpose of reviewing or amending MJC’s services or previous recommendations.
Retirement Plan Rollovers-No Obligation / Conflict of Interest. A client or prospective
client leaving an employer has four options regarding an existing retirement plan (and
may engage in a combination of these options): (i) leave the money in the former
employer’s plan, if permitted, (ii) roll over the assets to the new employer’s plan, if one is
available and rollovers are permitted, (iii) roll over to an Individual Retirement Account
(“IRA”), or (iv) cash out the account value (which could, depending upon the client’s age,
result in adverse tax consequences). If MJC recommends that a client roll over their
retirement plan assets into an account to be managed by MJC, such a recommendation
creates a conflict of interest if MJC will earn a new (or increase its current) advisory fee
as a result of the rollover
ERISA / IRC Fiduciary Acknowledgment. When MJC provides investment advice to a client
about the client’s retirement plan account or individual retirement account, it does so as
a fiduciary within the meaning of Title I of the Employee Retirement Income Security Act
(“ERISA”) and/or the Internal Revenue Code (“IRC”), as applicable, which are laws
governing retirement accounts. Because the way MJC makes money creates some
conflicts with client interests, MJC operates under a special rule that requires it to act in
the client’s best interest and not put its interests ahead of the client’s. Under this special
rule’s provisions, MJC must: meet a professional standard of care when making
investment recommendations (give prudent advice); never put its financial interests
ahead of the client’s when making recommendations (give loyal advice); avoid misleading
statements about conflicts of interest, fees, and investments; follow policies and
procedures designed to ensure that MJC gives advice that is in the client’s best interest;
charge no more than is reasonable for MJC’s services; and give the client basic
information about conflicts of interest.
Portfolio Trading Activity / Inactivity. As part of its investment advisory services, MJC will
review client portfolios on an ongoing basis to determine if any trades are necessary
based upon various factors, including but not limited to investment performance, market
conditions, fund manager tenure, style drift, account additions/withdrawals, the client’s
financial circumstances, and changes in the client’s investment objectives. Based upon
these and other factors, there may be extended periods when MJC determines that upon
review, trades within a client’s portfolio are not prudent. Clients nonetheless remain
subject to the fees described in Item 5 during periods of portfolio trading inactivity.
C. MJC provides investment advisory services tailored specifically to the needs of each client.
Before providing investment advisory services, an investment adviser representative will
ascertain each client’s investment objectives. Thereafter, MJC will allocate investment
assets consistent with the designated investment objectives. The client may, at any time,
impose reasonable restrictions in writing, on MJC’s services.
D. MJC does not participate in a wrap fee program.
E. As of December 31, 2023, MJC had $144,562,779 in assets under management on a
discretionary basis.