Description of the Advisory Firm
St. Clair Advisors (“SCA,” “we,” “our,” or “us”) was founded in 2010 as an independent,
practitioner owned, multi-family office serving the broad financial needs of a select group
of wealthy families, business owners and corporate executives. Our clients demand an
objective, integrated approach to wealth management—one that links comprehensive tax
and financial planning with sophisticated investment counseling. We meet these demands
by providing comprehensive, integrated wealth management services.
St. Clair Advisors is managed by its three Principals:
David W. Sommer – Chief Executive Officer, Chief Investment Officer and CCO
Craig A. Steinbrink – Chief Operating Officer
Fred G. Botek – Director of Tax and Family Office Services
Types of Advisory Services
Our wealth management services include investment advisory, tax planning and
compliance, wealth transfer, retirement planning and charitable planning. Specifically,
these services may include some or all the following:
• Development of an appropriate integrated asset allocation plan
• Selection and placement of appropriate investment strategies and/or individual
securities
• Objective investment performance evaluation
• Estate planning and net worth analysis
• Tax planning and compliance
• Cash flow analysis and budgeting
• Bill pay services
• Property/casualty and life insurance reviews
We integrate our investment advisory and financial planning services to create efficient,
highly customized financial plans that result in the simplification of our clients’ financial
affairs. Once we develop these plans, we add further value by serving as the single point
of contact for other professionals that currently provide services to our clients which
results in the efficient implementation of the plan.
Retirement Rollovers - No Obligation/Conflict of Interest: A client or prospective client
leaving an employer typically 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 we recommend that a client roll over their
retirement plan assets to an account to be managed by us, such a recommendation creates
a conflict of interest if we will earn new (or increase existing) compensation because of the
rollover. No client is under any obligation to rollover retirement plan assets to an account
managed by St. Clair Advisors.
Assets under Advisory: We may provide periodic comprehensive reporting services
which can incorporate all of a client’s investment assets, including those investment assets
that are not managed by St. Clair Advisors (“Assets under Advisory”). Unless otherwise
specifically agreed to in writing, our services relative to Assets under Advisory is limited
to reporting only. The client and/or their designated other investment professional(s) will
maintain supervision, monitoring and trading authority and shall be exclusively
responsible for the investment performance for any Assets under Advisement. If St. Clair
Advisors is asked to make a recommendation as to any Assets under Advisement, the
client is under no obligation to accept the recommendation, and St. Clair Advisors shall
not be responsible for implementation of any recommendation. In the event a client
desires St. Clair Advisors provide investment management services for the Assets under
Advisement, the client may engage us to do so.
Selection of Other Advisors
We may direct client assets to third-party money managers for management on
a
discretionary basis. Before selecting these managers, we will ensure that such third-party
money managers’ investment strategies meet client objectives. We do not participate in
any wrap fee programs.
Services Limited to Specific Types of Investments
Within the scope of our responsibilities as investment counsel to clients, we use third-
party money managers, mutual funds, ETFs, individual equities, fixed income
instruments, debt securities, hedge funds, REITs, private placements, cash equivalents
and government securities. We may also use other securities to help diversify a portfolio
when appropriate.
Client Tailored Services and Client Imposed Restrictions
We offer the same suite of services to all clients. However, client financial plans and
investment portfolios are dependent upon each client’s specific financial situation. The
implementation and execution of these plans can differ among clients and is dictated by
each client’s specific goals, objectives, time horizon, tax bracket and tolerance for risk.
Clients may impose restrictions on investing in certain securities or types of securities in
accordance with their values or beliefs. However, if the restrictions prevent us from
properly implementing recommended investment strategies, or if the restrictions would
require us to deviate from our standard suite of services, we reserve the right to terminate
our relationship as investment adviser with such client.
Assets under Management
SCA has the following assets under management:
Discretionary Amounts: Non-discretionary Amounts: Date Calculated:
$871,993,851 None 12/31/2023
SCA Item 5: Fees and Compensation
Fee Schedule
The fees for our comprehensive Wealth Management Services can be charged in one of
three (3) ways:
• based on assets under management (AUM) and /or Assets under Advisement
(AUA),
• a fixed fee, or
• a per project fee.
If your Wealth Management Service fee is based upon AUM, the fee ranges from 0.25% to
1% per year on net assets under management. If your Wealth Management Service
includes AUA, the fee ranges from 0.10% to .25% per year on net assets under advisement.
Our Wealth Management fees may vary from client to client and is based on the size,
scope, and complexity of the relationship.
Payment of Fees
Fees are paid quarterly, in advance, but never more than one quarter in advance. Assets
under management and assets under advisement-based fees are calculated at the
beginning of each calendar quarter, using the most recent quarter end market value for
the liquid assets held in your account. For private placement investments, we will use the
value from the most recent capital statement we have received plus/minus any
contributions or distributions received since the date of the most recent capital statement
we have received. Clients may terminate their Investment Advisory Agreement with
thirty days’ written notice. Refunds are given on a prorated basis based on the number of
days remaining in a quarter at the point of termination. Fees may be paid directly to us
by invoice or by a clients’ custodian directly from the client’s accounts with the client’s
prior written authorization.
Clients Are Responsible for Third-party Fees
Clients are responsible for the payment of all third-party fees which could include external
money manager fees, custodian fees, investment platform fees, transaction fees,
performance reporting fees, wire fees, etc. Those fees are separate and distinct from the
fees and expenses charged by us. Please see Item 12 of this brochure regarding
broker/custodian fees and practices.
Outside Compensation for the Sale of Securities to Clients
Neither SCA nor its supervised persons accept any compensation for the sale of securities
or other investment products, including asset-based sales charges or service fees from the
sale of mutual funds.