Firm Description
Center for Financial Planning, Inc. is a C corporation with its principal place of business in Southfield, Michigan.
We began conducting financial planning services including managing securities accounts for clients in 1985.
We have been registered with the SEC as an investment adviser since January 2006. Our firm’s owners include:
Timothy Wyman (owning 25% or greater), Sandra Adams, Matthew Chope, Nick Defenthaler, Angela Palacios,
Matthew Trujillo, Lauren Adams and Michael Brocavich (each owning less than 25%).
To describe the individual adviser you choose to work with, we may use the following terms interchangeably:
“IAR” (Investment Adviser Representative), “Registered Representative,” “Planner”, “Associated Person”,
“Adviser”. In turn, we use the terms: “you,” “your,” and “client” to refer to you as either a client or prospective
client of our firm.
As of March 12, 2024 The Center had the following assets under management of approximately:
Discretionary $ 1,501,021,500.22
Non-Discretionary $ 57,304,319.65
Total $ 1,558,325,819.87
Types of Advisory Services
Center for Financial Planning, Inc. engages in Financial Planning & Investment Management Services. Clients who
elect to retain our firm for these services are charged a fee, which is further explained under the Fees and
Compensation section of this Brochure.
Assets under our direct management are held independently by Raymond James & Associates (“RJA”), member
NYSE/SIPC. We do not act as a custodian of client assets. We place trades for clients under a limited power of
attorney when discretionary authority is provided.
We offer services through both wrap fee programs and non-wrap fee (brokerage or retail) programs. A wrap fee
program is defined as any advisory program under which a specified fee is charged that is not based directly
upon transactions in a client’s account. These fees cover investment advisory services
(which may include portfolio management or advice concerning financial planning) and the execution of client
transactions. The Center keeps a portion of the fees charged to clients participating in the wrap fee program.
Those participating in a non-wrap fee program pay commissions, mark-ups, or sales charges (investment
company products) of which the Center retains a portion for compensation for services rendered.
Financial Planning Services
Our financial planning services may include matters such as: goal planning, taxation analysis, retirement and
college planning, investment analysis, charitable planning, estate planning, elder care planning, cash flow analysis
and insurance analysis. An evaluation of each client's initial situation is provided including written observations
and recommendations. Clients that chose to retain The Adviser in subsequent years may be offered an annual
review meeting and unlimited telephone calls. More frequent reviews occur but are not necessarily communicated
to the client unless immediate changes are recommended.
The financial plan may include, but is not limited to: a net worth statement; a cash flow statement; a review of
investment accounts, including reviewing asset allocation and providing repositioning recommendations; strategic
tax planning; a review of retirement accounts and plans including recommendations; a review of insurance
policies and recommendations for changes, if necessary; one or more retirement scenarios; estate planning review
and recommendations; elder care planning; and education planning with funding recommendations.
Implementation of financial planning recommendations is at the discretion of the client.
Investment Management Services
Adviser provides on-going advice to the Client regarding investment of Client funds based on the individual needs
of the Client. After reviewing their financial plan, investment experience, risk tolerance and other relevant issues,
we assign an asset allocation. Adviser will manage advisory accounts on a discretionary (limited power of
attorney to execute transactions) and/or non- discretionary basis. Account management is guided by the stated
objectives of the Client (i.e., capital appreciation, income, growth, or speculation).
Advisory Clients may transfer outside investments they prefer to keep and custody with Raymond James. They
may impose restrictions on investing in certain types of securities or from selling certain holdings. We may
incorporate these holdings into the asset allocation (or hold outside of the allocation) to facilitate overall planning
and investment management services.
In certain situations, we may offer to our clients a number of Raymond James & Associates’ managed wrap
programs, including Freedom and RJCS Managed Programs under a sub advisory agreement with RJA. Our
advisers work with our clients to choose an appropriate program and help the client to select the managers,
strategies, or disciplines within the programs, as applicable. We will regularly monitor the management of such
accounts. Client would sign additional agreements related to any such account that would include a description
of any fees to be paid related to these accounts. Both RJA (and its affiliates and agents, and other sub advisers,
as applicable) and Center for Financial Planning, Inc. receives a portion of the advisory fee paid by the client (as
described above).
Tailored Relationships
Our
advisory services are tailored to the individual needs of clients. Client goals and objectives are clarified in
meetings, telephone calls, and correspondence, and are used to determine the course of action for each
individual client. The goals and objectives are documented in a variety of manners such as our client relationship
management system, financial planning software, and client files, either hard copy or electronic. Clients may
impose restrictions on investing in certain securities or types of securities. Agreements may not be assigned
without written client consent.
Determining Suitability
In establishing a new client relationship, The Center will obtain the following investment parameters about the
prospective client(s) and record such information on a suitability questionnaire:
1. Birth year and employment status, including occupation;
2. Investment objectives;
3. Level of the client's risk tolerance;
4. Time horizon;
5. Income and net worth, excluding the value of primary residence;
Each Associated Person, prior to rendering investment advice to a client, must ensure that their advice is
suitable, considering that client’s investment parameters. The Associated Person should, at a minimum, base
that recommendation on the most current information available to the Company regarding the client’s investment
parameters. Contact will be made on a periodic basis (at intervals not greater than 36 months) to update the
suitability information provided by each client.
Regulation Best Interest (Reg. BI)
The best interest standard explicitly applies to recommendations of types of accounts. An Associated Person
must have a reasonable basis to believe that a recommendation of a securities account type (e.g., brokerage or
advisory, or among the types of accounts offered including IRAs) is in your best interest at the time of the
recommendation and does not place the financial or other interests of The Center or the Associated Person
ahead of your interest. In general, when considering recommendations of types of accounts, The Center takes
into consideration:
(a) services and products provided in the account;
(b) projected cost of the account;
(c) alternative account types available;
(d) financial planning services you request; and
(e) your investment profile.
With regard to IRAs, in addition to the factors above, The Center takes into consideration:
(a) fees and expenses;
(b) level of services available;
(c) ability to take penalty-free withdrawals;
(d) application of required minimum distributions;
(e) protections from creditors, scams and legal judgments;
(f) holdings of employer stock; and
(g) any special features of the existing account.
When we provide investment advice to you regarding your retirement plan account or IRA, we are acting as
fiduciaries within the meaning of Title I of the Employee Retirement Income Security Act (ERISA) 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 (Reg. BI). The Center and your IAR have a financial incentive for
you to rollover to an IRA because of the compensation we receive when you transfer funds from an employer-
sponsored retirement plan or from another IRA. If you decide to open a brokerage or advisory account, we will be
paid on those assets, through commissions or advisory fees. You should be aware that any commissions or
advisory fees charged will be higher than those fees you paid through your employer-sponsored retirement plan,
and there could be additional expenses associated with the account. Please refer to Item 5 (Fees and
Compensation) below.
Conflicts of Interest
We must be sensitive to various conflicts of interest that may arise when selecting programs, account types (i.e.,
brokerage vs. fee-based advisory accounts), and broker-dealers to execute client trades. Moreover, The Center
and its Associated Persons must have a reasonable basis for determining or recommending an investment
transaction or an investment strategy. Prior to implementing transactions, selecting a program, or making a
recommendation, each Associated Person must:
•Review and understand the client’s financial situation, objectives, and risk tolerance;
•Follow an investment strategy with respect to that client, which is approved by The Center and that is
appropriate for the client in light of the information obtained;
•Communicate to the client the basis for the recommendations; and
•For “non-discretionary” accounts, obtain the client’s specific consent.
Recommendations made by Associated Persons will be periodically reviewed by the CCO or CCO delegate to
ensure that such recommendations are consistent with the best interests and/or instructions of the client. If any
inconsistencies are noted, the CCO/CCO delegate will work directly with the Associated Person to determine
whether there was an oversight, mistake, or reason for the particular recommendation or action in the client’s
account. If remedial action is necessary, the CCO will ensure that appropriate documentation of any remedial
action taken is noted in the client file and the Associated Person’s personnel file as applicable.