Overview
A. Description of the Advisory Firm
McHugh Group, LLC (hereinafter “MG”) is a Limited Liability Company organized in the
State of Ohio. The firm was formed in February 2000, and the principal owner is Terrence
Patrick McHugh.
B. Types of Advisory Services
Portfolio Management Services
MG offers ongoing portfolio management services based on the individual goals,
objectives, time horizon, and risk tolerance of each client. MG creates an Investment Policy
Statement for each client, which outlines the client’s current situation (income, tax levels,
and risk tolerance levels) and then constructs a plan to aid in the selection of a portfolio
that matches each client’s specific situation. Portfolio management services include, but
are not limited to, the ’ollowing:
• Investment strategy • Personal investment policy
• Asset allocation • Asset selection
• Risk tolerance • Regular portfolio monitoring
MG evaluates the current investments of each client with respect to their risk tolerance
levels and time horizon. MG will request discretionary authority from clients in order to
select securities and execute transactions without permission from the client prior to each
transaction. Risk tolerance levels are documented in the Investment Policy Statement,
which is given to each client.
MG seeks to provide that investment decisions are made in accordance with the fiduciary
duties owed to its accounts and without consideration of MG’s economic, investment or
other financial interests. To meet its fiduciary obligations, MG attempts to avoid, among
other things, investment or trading practices that systematically advantage or
disadvantage certain client portfolios, and accordingly, MG’s policy is to seek fair and
equitable allocation of investment opportunities/transactions among its clients to avoid
favoring one client over another over time. It is MG’s policy to allocate investment
opportunities and transactions it identifies as being appropriate and prudent among its
clients on a fair and equitable basis over time.
Services Limited to Specific Types of Investments
MG generally limits its investment advice to mutual funds, fixed income securities,
equities and ETFs, although MG primarily recommends a strategy focused on long term
capital appreciation and tax minimization. MG may use other securities as well to help
diversify
a portfolio when applicable.
Written Acknowledgement of Fiduciary Status
When we provide investment advice to you regarding your retirement plan account or
individual retirement account, we are fiduciaries within the meaning of Title I of the
Employee Retirement Income Security Act and/or the Internal Revenue Code, as
applicable, which are laws governing retirement accounts. The way we make money
creates some conflicts with your interests, so we operate under a special rule that requires
us to act in your best interest and not put our interest ahead of yours. Under this special
rule’s provisions, we must:
• Meet a professional standard of care when making investment recommendations
(give prudent advice);
• Never put our financial interests ahead of yours when making recommendations
(give loyal advice);
• Avoid misleading statements about conflicts of interest, fees, and investments;
• Follow policies and procedures designed to ensure that we give advice that is in
your best interest;
• Charge no more than is reasonable for our services; and
• Give you basic information about conflicts of interest.
C. Client Tailored Services and Client Imposed Restrictions
MG will tailor a program for each individual client. This will include an interview session
to get to know the client’s specific needs and requirements as well as a plan that will be
executed by MG on behalf of the client. MG may use model allocations together with a
specific set of recommendations for each client based on their personal restrictions, needs,
and targets. Clients may impose restrictions in investing in certain securities or types of
securities in accordance with their values or beliefs. However, if the restrictions prevent
MG from properly servicing the client account, or if the restrictions would require MG to
deviate from its standard suite of services, MG reserves the right to end the relationship.
D. Wrap Fee Programs
A wrap fee program is an investment program where the investor pays one stated fee that
includes management fees, transaction costs, fund expenses, and other administrative
fees. MG does not participate in any wrap fee programs.
E. Assets Under Management
MG has the following assets under management:
Discretionary Amounts: Non-discretionary Amounts: Date Calculated:
$ 279,545,850.00 $ 0.00 December 2023