ServicesOffered
Butler Financial Services, Inc. (BFS) primarily provides investment management
services, and some financial planning, to individuals, families, and institutional
investors.Ourclientsincludeindividuals,families,trusts,corporations,profit-sharing
plans,charitableorganizations,endowmentsandfoundations.Thefirmhasbeenin
businesssince1996.
Investment Management: Approximately 90% of our work is related to
investmentresearchandmanagementforourclients.Clientinvestmentsaretypically
managedonadiscretionarybasis.Seebelowformoreinformationondiscretionary
andnon-discretionarymanagementofBFSclientinvestments.
Wealth Management: The following services fall under the header of wealth
management,andareexclusivelyavailabletoourinvestmentmanagementclients:
• Financialplanning,whichaddressesissuessuchasinsuranceandretirement
modeling,aswellaswealthtransferandliquidity&cashflowsmanagement
issues.
• Budget counseling, wherein the firm assists the Client in the crafting of a
budget, identifying modes of tracking expenditure (i.e. via Quicken,
Quickbooks,Mintetc.),andfromtimetotimemeetswiththeClienttoreview
howit’sgoing.
• Familyofficeservices,whichmayincludebudget/expensetrackingservices,
financialplanning&administration,aswellasthemonitoringofassetssuch
asrealestateinvestmentsandothersmallbusinessorprivateinvestments.
Theseactivitiestakeupapproximately10%ofourtime.
Financial Consulting: From time to time we provide consulting services to
individualsandfamilies,typicallyonanadhocbasisbecausetheclientwishestodive
intoaparticularfinancialissue,andthisisalmostalwaysdoneforexistinginvestment
managementclients.Theresponsibilityforimplementation,ifapplicable,fallstothe
consultingclient.
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Thefirmiscompensatedforallservicesonlybythefeeschargedtotheclient.The
firmreceivesnocommissionsofanysort.
Investments are typically managed on a discretionary basis by Butler Financial
Services,Inc..Thismeanswetypicallyhavetheright,withoutobtainingspecificclient
consent,todeterminethesecuritiesthatareboughtorsoldinclientaccounts,andthe
amountsofthosetransactions.
However,
this discretion is generally limited to general securities, mutual funds,
variableannuities,options,bonds,certificatesofdeposit,governmentsecurities,and
other publicly-traded marketable securities of a similar nature. Our discretion is
furtherlimitedinthatwecannotwithdrawfundsfromclientaccounts,otherthanfor
managementfees.
Itisthefirm’sprocesstoestablishaninvestmentpolicystatement(ideallywritten)
with the client, reflective of the client’s risk profile and the returns sought by the
client.Oncethepolicyiscrafted,thereisthematterofimplementation.Thisisthe
context by which the firm manages client assets on a discretionary basis: to
implementtheinvestmentplan.
Discretionary Authority: When the Advisory Client authorizes Butler Financial to
trade (i.e. buy, sell, transfer) the investment holdings in the Advisory Client’s
account(s),anddoessobydintoflimitedpowerofattorneyformsandapplications
and other approved letters that are submitted to and approved by the
custodian/broker(i.e.CharlesSchwab&Co.ora401kplanadministrator);andwhen
the Advisory Client also authorizes this activity by dint of an Advisory Services
contractwiththeFirm–thentheAdvisoryClientisthusauthorizingButlerFinancial
tomanagetheseaccountsinadiscretionarymanner.
In cases where the Client does not want Butler Financial to implement in a
discretionarymanner,orwhenButlerFinancialcannotmanageonadiscretionary
basisduetolackoflimitedpowerofattorneyaccesstospecificaccounts,thenthe
responsibilityformakingtradesorinvestmenttransferonsuchaccount(s)fallssolely
totheClient.TheFirmwillmakerecommendations,butitwillbetheresponsibility
oftheClienttoimplementthem.
TheprincipalownersofthefirmareMarkButlerandMikyoButler.
AsofDecember31,2023,thefirmmanagedapproximately$123M;thatis,approx.
$121.5Mmanagedonadiscretionarybasisandapprox.$1.5Monanon-
discretionarybasis.