Description of Services and Fees
We are a registered investment adviser based in Portage, Michigan. We are organized as a
corporation under the laws of the State of Michigan. We have been providing investment advisory
services since 1996. Andrew M. Price is the principal owner. Currently, we offer the following
investment advisory services, which are personalized to each individual client:
•Portfolio Management Services
•Financial Planning Services
•Selection of Other Advisers
Bright Financial Advisors, Inc. is a fee-only independent financial advisor that provides wealth
management services by incorporating financial planning, investment portfolio management and
aggregated financial services. The combination of industry experience and comprehensive research
allows our firm to provide quality advisory services to our clients.
The following paragraphs describe our services and fees. Please refer to the description of each
investment advisory service listed below for information on how we tailor our advisory services to your
individual needs. As used in this brochure, the words "we", "our" and "us" refer to Bright Financial
Advisors, Inc. and the words "you", "your" and "client" refer to you as either a client or prospective
client of our firm. Also, you may see the term Associated Person throughout this Brochure. As used in
this Brochure, our Associated Persons are our firm's officers, employees, and all individuals providing
investment advice on behalf of our firm.
Portfolio Management Services
We offer discretionary portfolio management services. Our investment advice is tailored to meet our
clients' needs and investment objectives. If you retain our firm for portfolio management services, we
will meet with you to determine your investment objectives, risk tolerance, and other relevant
information (the "suitability information") at the beginning of our advisory relationship. We will use the
suitability information we gather to develop a strategy that enables our firm to give you continuous and
focused investment advice and/or to make investments on your behalf. As part of our portfolio
management services, we may customize an investment portfolio for you in accordance with your risk
tolerance and investing objectives. We may also invest your assets using a predefined strategy, or we
may invest your assets according to one or more model portfolios developed by our firm. Once we
construct an investment portfolio for you, or select a model portfolio, we will monitor your portfolio's
performance on an ongoing basis, and will rebalance the portfolio as required by changes in market
conditions and in your financial circumstances.
If you participate in our discretionary portfolio management services, we require you to grant our firm
discretionary authority to manage your account. Discretionary authorization will allow our firm to
determine the specific securities, and the amount of securities, to be purchased or sold for your
account without your approval prior to each transaction. Discretionary authority is typically granted by
the investment advisory agreement you sign with our firm, a limited power of attorney, or trading
authorization forms.
Our fee for portfolio management services is based on a percentage of your assets we manage and is
set forth in the following fee schedule:
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Assets Under Management Annual Fee
$0 to $500,000 1.00%
$500,001 to $1,000,000 0.75%
Over $1,000,000 0.50%
Our annual portfolio management fee is billed and payable quarterly in advance based on the value of
your account on the last day of the previous quarter. All flows of capital into the accounts will be billed
on a pro-rata basis for the amount of time managed during the previous quarter.
If the portfolio management agreement is executed at any time other than the first day of a calendar
quarter, our fees will apply on a pro rata basis, which means that the advisory fee is payable in
proportion to the number of days in the quarter for which you are a client. Our advisory fee is
negotiable, depending on individual client circumstances.
At our discretion, we may combine the account values of family members living in the same household
to determine the applicable advisory fee. For example, we may combine account values for you and
your minor children, joint accounts with your spouse, and other types of related accounts. Combining
account values may increase the asset total, which may result in your paying a reduced advisory fee
based on the available breakpoints in our fee schedule stated above.
We will deduct our fee directly from your account through the qualified custodian holding your funds
and securities. We will deduct our advisory fee only when you have given our firm written authorization
permitting the fees to be paid directly from your account. Further, the qualified custodian will deliver an
account statement to you at least quarterly. These account statements will show all disbursements
from your account. You should review all statements for accuracy. We will also receive a duplicate
copy of your account statements. On occasion, we may invoice you directly for our portfolio
management fees
You may terminate the portfolio management agreement upon written notice to our firm without penalty
within five (5) business days after entering into the agreement. After 5 business days, if you terminate,
you will incur a pro rata charge for services rendered prior to the termination of the portfolio
management
agreement, which means you will incur advisory fees only in proportion to the number of
days in the quarter for which you are a client. If you have pre-paid advisory fees that we have not yet
earned, you will receive a prorated refund of those fees.
Financial Planning Services
We offer broad-based, modular, and consultative financial planning services. Financial planning will
typically involve providing a variety of advisory services to clients regarding the management of their
financial resources based upon an analysis of their individual needs. If you retain our firm for financial
planning services, we will meet with you to gather information about your financial circumstances and
objectives. We may also use financial planning software to determine your current financial position
and to define and quantify your long-term goals and objectives. Once we specify those long-term
objectives (both financial and non-financial), we will develop shorter-term, targeted objectives. After we
review and analyze the information you provide to our firm and the data derived from our financial
planning software, we will deliver a written plan to you, designed to help you achieve your stated
financial goals and objectives.
Financial plans are based on your financial situation at the time we present the plan to you, and on the
financial information you provide to our firm. You must promptly notify our firm if your financial
situation, goals, objectives, or needs change.
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You are under no obligation to act on our financial planning recommendations. Should you choose to
act on any of our recommendations, you are not obligated to implement the financial plan through any
of our other investment advisory services. Moreover, you may act on our recommendations by placing
securities transactions with any brokerage firm.
We charge a fixed fee for financial planning services, which generally ranges between $500 to $5,000.
The fee is negotiable depending upon the complexity and scope of the plan, your financial situation,
and your objectives. Fees are payable upon completion of the contracted services.
If you only require advice on a single aspect of your finances, we offer modular financial planning or
general consulting services on an hourly basis. Our rate for such services range from $100 to $200 per
hour. This fee is negotiable depending on the scope and complexity of the plan, your financial
situation, and your objectives. An estimate of the total time/cost will be determined at the start of the
advisory relationship. In limited circumstances, the cost/time could potentially exceed the initial
estimate. In such cases, we will notify you in advance and request that you approve the additional fee.
The fees for these services are payable upon completion of the contracted services. Depending upon
the scope and complexity of the hourly services to be rendered, we may ask for a deposit.
We will not require prepayment of a fee more than six months in advance and in excess of $1,200.
You may terminate the financial planning agreement by providing written notice to our firm. You will
incur a pro rata charge for services rendered prior to the termination of the agreement.
IRA Rollover Recommendations
Effective December 20, 2021 (or such later date as the US Department of Labor ("DOL") Field
Assistance Bulletin 2018-02 ceases to be in effect), for purposes of complying with the DOL's
Prohibited Transaction Exemption 2020-02 ("PTE 2020-02") where applicable, we are providing the
following acknowledgment to you. 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.
We benefit financially from the rollover of your assets from a retirement account to an account that we
manage or provide investment advice to, because the assets increase our Assets Under Management
and, in turn, our advisory fees. As a fiduciary, we only recommend a rollover when we believe it is in
your best interest.
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Types of Investments
We offer advice on equity securities, warrants, corporate debt securities, certificates of deposit,
municipal securities, investment company securities, US Government securities, options contracts on
securities and interest in partnerships investing in real estate.
Additionally, we may advise you on any type of investment that we deem appropriate based on your
stated goals and objectives. We may also provide advice on any type of investment held in your
portfolio at the inception of our advisory relationship.
Assets Under Management
As of December 31, 2022, we provide continuous management services for $398,593,407 in client
assets on a discretionary basis.