JB Capital is an investment adviser registered with the United States Securities and Exchange Commission
(“SEC”) and is a limited liability company (LLC) formed under the laws of the State of Connecticut. JB
Capital is wholly owned by Financial Retirement Solutions, LLC and together conduct business as “Johnson
Brunetti”. Effective August 1, 2022, Alera Group, Inc. purchased 100% of the equity ownership interests of
Johnson Brunetti. JB Capital filed its initial application to become registered as an investment adviser in
April 2014.
Introduction
The investment advisory services of JB Capital are provided to you through an appropriately licensed and
qualified individual who is an investment adviser representative of JB Capital (referred to as your investment
adviser representative throughout this brochure).
Description of Advisory Services
The following are descriptions of the primary advisory services of JB Capital. Please understand that a
written agreement, which details the exact terms of the service, must be signed by you and JB Capital
before we can provide you the services described below.
Asset Management Services – JB Capital offers asset management services, which involves JB Capital
providing the client with continuous and ongoing supervision over their specified accounts.
The client must appoint the firm as their investment adviser of record on specified accounts (collectively,
the “Account”). The Account consists only of separate account(s) held by qualified custodian(s) under the
client’s name. The qualified custodians maintain physical custody of all funds and securities of the Account,
and the client retains all rights of ownership (e.g., right to withdraw securities or cash, exercise or delegate
proxy voting and receive transaction confirmations) of the Account.
The Account is managed by JB Capital based on the client’s financial situation, investment objectives and
risk tolerance. JB Capital actively monitors the Account and provides advice regarding buying, selling,
reinvesting or holding securities, cash or other investments of the Account.
JB Capital obtains certain information from the client to determine their financial situation and investment
objectives. The client is responsible for notifying JB Capital of any updates regarding their financial situation,
risk tolerance or investment objective and whether they wish to impose or modify existing investment
restrictions accordingly. JB Capital is always reasonably available to consult with the client relative to the
status of their Account.
Clients are informed that JB Capital manages investments for other clients and may give them advice or
take actions for them or for its own accounts that are different from the advice or actions taken on behalf of
other clients. JB Capital is not obligated to buy, sell or recommend to a client any security or other
investment that JB Capital may buy, sell or recommend for any other clients or for itself.
Conflicts may arise in the allocation of investment opportunities among accounts that we manage. We
strive to allocate investment opportunities believed to be appropriate for all client account(s) advised by our
firm equitably and consistent with the best interests of all accounts involved. However, there can be no
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assurance that a particular investment opportunity that comes to our attention will be allocated in any
particular manner.
If we obtain material, non-public information about a security or its issuer that we may not lawfully use or
disclose, we have absolutely no obligation to disclose the information to any client or use it for any client’s
benefit.
JB Capital has contracted with Focus Point Solutions, Inc., an investment advisor registered with the U.S.
Securities and Exchange Commission, (referred to as the “service provider”) to provide services involving
administrative and back-office functions. Functions the service provider may offer to JB Capital include,
but are not necessarily limited to, the following: access to model portfolios developed and maintained by
the service provider, due diligence assistance, performance and/or position reports for client accounts,
training, arrangements with third-party qualified custodians (e.g., Fidelity), calculation and deduction of
management fees, and other back-office support.
The service provider will not have direct contact with JB Capital’s clients, nor will clients enter into an
advisory agreement with the service provider. However, the service provider’s fee for providing services
to JB Capital is based upon the total assets held within JB Capital’s client accounts. JB Capital’s use of a
service provider does not result in an increase to the client’s overall management fee.
Financial Planning & Consulting Services - JB Capital offers financial planning services, which involve
preparation of a written financial plan covering specific or multiple topics agreed to with the client. When
providing financial planning and consulting services, the
role of the investment adviser representative is to
find ways to help the client understand their
overall financial situation and help them set financia
l objectives.
JB Capital may also provide modular written financial plans which only cover those specific areas of
concern mutually agreed upon by JB Capital and the client. The client is advised that there may be
important issues that may not be taken into consideration when the investment adviser representative
develops his or her analysis and recommendations under a modular written financial plan. Written financial
plans prepared by JB Capital do not include specific recommendations of individual securities.
JB Capital also offers “as-needed” consultations in order to discuss financial planning issues when clients
do not need a written financial plan. JB Capital’s “as-needed” consultations are limited to consultations in
response to a particular investment or financial planning issue raised or requested by the client. Clients
are advised that it is incumbent upon them to identify those particular issues for which they are seeking our
advice or consultation on.
JB Capital’s financial planning and consulting services do not involve implementing any transaction on the
client’s behalf or the active and ongoing monitoring or management of client investments or accounts. The
client has the sole responsibility for determining whether to implement our financial planning and consulting
recommendations. To the extent that a client would like to implement any of JB Capital’s investment
recommendations through JB Capital or retain JB Capital to actively monitor and manage the client’s
investments, the client must execute a separate written agreement with JB Capital for the client’s asset
management services.
Referral of Third-Party Money Managers - JB Capital may exercise discretion to utilize specific third-party
money managers to manage client accounts (“Account”) or a portion of the assets of an Account. JB Capital
will conduct due diligence of any recommended Third-Party Money Manager and monitor the performance
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of the Third-Party Money Manager with respect to the Third-Party Money Manager’s management of the
designated assets of an Account. JB Capital will be available to answer questions the client may have
regarding any portion of the client’s Account managed by a Third-Party Money Manager and will act as the
communication conduit between the client and the Third-Party Money Manager.
The client may be required to complete a profile questionnaire of the Third-Party Money Manager, and the
client acknowledges that the Third-Party
Money Manager will be the manager of the client’s assets. If the
Third-Party Money Manager is registered as an investment adviser, a complete description of the Third-
Party Money Manager’s services and fees will be disclosed in the Third-Party Money Manager’s Form ADV
Brochure document that will be provided to client.
A client may grant JB Capital discretionary authority to establish and/or terminate a relationship with a Third-
Party Money Manager for purposes of managing the Account or a portion of the Account determined by JB
Capital. The client may also grant the Third-Party Money Manager selected by JB Capital with the
discretionary authority to make all decisions to buy, sell or hold securities, cash or other investments for
such portion of the Account managed by the Third-Party Money Manager. The client may also grant the
Third-Party Money Manager selected by JB Capital with the power and authority to carry out these decisions
by giving instructions, on behalf of a client, to brokers and dealers and the qualified custodian(s) of the
Account.
The Third-Party Money Manager will provide continuous investment management to and for the Account or
portion of the Account designated for management by the Third-Party Money Manager based on the
investment strategy that is most appropriately suited to the client’s investment needs. JB Capital’s
responsibilities will not include formulating the investment strategy of the Third-Party Money Manager,
managing the Account or portion of the Account designated for management by the Third-Party Money
Manager nor making any investment decision to buy or sell a security or executing any trade for the Account
or portion of the Account managed by the Third-Party Money Manager.
The client will be informed that JB Capital is not an affiliated entity of the Third-Party Money Manager,
except as described below with respect to EQIS, and JB Capital and its associates are not employees of
the Third-Party Money Manager.
The fees charged and other terms for the asset management services provided by the Third-Party Money
Manager will be outlined in the separate agreement between the client and Third-Party Money Manager.
As a result of JB Capital’s recommendation to a client to utilize or exercise discretionary authority to retain
the Third-Party Money Manager, JB Capital is paid a portion of the fee charged to the client and collected
by the Third-Party Money Manager in the form of a solicitor fee. The percentage of the fee that is paid by
the Third-Party Money Manager as a solicitor fee is disclosed in a separate solicitor disclosure statement
signed by the client. The fees are calculated and collected by the Third-Party Money Manager, which will
be responsible for delivering JB Capital’s portion of the fees paid by the client to JB Capital.
Of the numerous third-party investment adviser firms, we have a conflict of interest by only offering those
third-party money managers that have agreed to pay a portion of their advisory fee to JB Capital and have
met the conditions of our due diligence review. There may be other third-party money managers that may
be suitable for a client that are less costly. No guarantees can be made that a client’s financial goals or
objectives will be achieved. Further, no guarantees of performance can be offered.
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To the extent that fees are automatically deducted from the Account, the client is informed to review the
account statements for the Account received from the qualified custodian(s) and to verify that appropriate
investment advisory fees are being deducted. The qualified custodian(s) will not verify the accuracy of the
investment advisory fees deducted.
For the Account or portion of the Account designated for management by the Third-Party Money Manager,
the brokerage commissions and/or transaction ticket fees charged by the qualified custodian may be billed
directly to the client by the qualified custodian. The Account may incur certain charges imposed by third
parties other than the Third-Party Money Manager in conjunction with investments placed in the Account,
including but not limited to mutual fund sales loads, 12b-1 distribution fees and surrender charges on
previously purchased mutual funds. Certain charges may also occur with variable annuities, including sales
commissions and surrender charges on previously purchased products. Clients are counseled to review all
applicable prospectuses or disclosures for further details on commission charges, sales loads, 12b-1
distribution fees, internal expenses and surrender charges. In addition, portions of some mutual fund sales
loads and distribution fees, such as 12b-1 distribution fees and variable annuity commissions, may be
received by the Third-Party Money Manager.
JB Capital does not guarantee that the Third-Party Money Manager’s investment management services will
achieve any specified rate of return. JB Capital makes no representation as to the potential investment
profits or avoidance of losses or any other results or benefits that may be achieved by using the Third-
Party Money Manager’s investment management services. Investments managed by a Third-Party Money
Manager involve risk, including the possible loss of principal.
Joel Johnson has an ownership interest in EQIS, a Third-Party Money Manager recommended by JB
Capital. Joel Johnson estimates that his ownership interest totals less than approximately 1% ownership.
In addition to the solicitor fee received by JB Capital from EQIS, EQIS also pays JB Capital a marketing
and servicing reimbursement in the amount of five basis point (5/100 of one percent) of the Account. This
ownership and the additional marketing/servicing reimbursement present an incentive for Joel Johnson to
recommend the services of EQIS. Therefore, Clients are advised that this ownership and
marketing/servicing reimbursement creates a conflict of interest when Joel Johnson recommends the third-
party investment advisor services of EQIS. There may be other third-party managed programs that may
be suitable to the client that are more or less costly than EQIS.
Seminars
JB Capital may occasionally provide educational seminars in areas such as financial planning, retirement
planning and estate planning. We may offer workbooks for purchase prior to the seminars for a nominal
fee. Attendees may be required to purchase a workbook to attend the seminar.
Seminars are always offered on an impersonal basis and do not focus on the individual needs of
participants.
Limits Advice to Certain Types of Investments
JB Capital primarily provides investment advice on the following types of investments:
• Exchange-listed Securities;
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• Securities Traded Over-the-Counter;
• Foreign Issues;
• US Government Securities; and
• Interests in Partnerships Investing in Real Estate.
Although we generally provide advice only on the products previously listed, we reserve the right to offer
advice on any investment product that may be suitable for each client’s specific circumstances, needs,
goals and objectives.
It is not our typical investment strategy to attempt to time the market, but we may increase cash holdings
modestly as deemed appropriate based on your risk tolerance and our expectations of market behavior.
We may modify our investment strategy to accommodate special situations such as low basis stock, stock
options, legacy holdings, inheritances, closely held businesses, collectibles, or special tax situations.
(Please refer to Item 8 – Methods of Analysis, Investment Strategies and Risk of Loss for more information.)
Client Assets Managed by JB Capital
The amount of client’s assets managed by us totaled $1,583,258,881 as of December 31, 2023. All assets
are managed on a discretionary basis.