Bruce G. Allen Investments, LLC
Form CRS – Client Relationship Summary
June 25, 2020
Our firm, Bruce G. Allen Investments, LLC, is an investment adviser registered with the Securities and Exchange Commission. We feel that it is important for you to understand how advisory and brokerage services and fees differ in order to determine which type of account is right for you. There are free and simple tools available to research firms and financial professionals at www.investor.gov/CRS, which also provides educational materials about investment advisers, broker-dealers, and investing.
What investment services and advice can you provide me?
We are a registered investment adviser that offers investment advisory services to retail investors. Our advisory services include Investment and Wealth Management and Supervision, Consulting, Third Party Managers, and Financial Planning. If you open an advisory account with our firm, we’ll meet with you to understand your current financial situation, existing resources, goals, and risk tolerance. Based on what we learn, we’ll recommend a portfolio of investments that is monitored at least monthly, and if necessary, rebalanced to meet your changing needs, stated goals and objectives. We’ll offer you advice on a regular basis and contact you at least annually to discuss your portfolio.
We manage accounts on a discretionary basis. After you sign an agreement with our firm, we’re allowed to buy and sell investments in your account without asking you in advance. Any limitations will be described in the signed advisory agreement. We will have discretion until the advisory agreement is terminated by you or our firm.
We do not restrict our advice to limited types of products or investments.
Our firm requires a minimum account balance of $1,000,000 to open an account for our Investment and Wealth Management and Supervision services; however, we may accept accounts for less than the minimum at our sole discretion.
Financial Planning or Consulting services are also offered as a separate service for an additional flat fee for Financial Planning or hourly for Consulting. We do not monitor your investments for the Financial Planning or Consulting service.
Additional information about our advisory services is located in Item 4 of our Firm Brochure, which is available online at https://adviserinfo.sec.gov/firm/summary/287859.
What fees will I pay?
You will be charged an ongoing quarterly fee based on the value of the investments in your account. Our Investment and Wealth Management and Supervision’s maximum annual fee is 1.25%. The more assets you have in your advisory account, the more you will pay us. We therefore have an incentive to increase the assets in your advisory account in order to increase our fees. The amount you pay will depend, for example, on the services you receive, complexity of your portfolio, or the amount of assets in your account. Our firm’s fees will be automatically deducted from your advisory account, which will reduce the value of your advisory account. Additional deposits and withdrawals will be added or subtracted from portfolio assets which may lead to an adjustment of the account fee. Our employees and their family related accounts are charged a reduced fee for our services. At our discretion, you may pay the advisory fees by check.
Our Financial Planning or Consulting service maximum flat fee is $15,000 and hourly rate is $550. We charge an upfront retainer when you sign an agreement.
The broker-dealer that holds your assets charges you a transaction fee when we buy or sell an investment for you. The broker-dealer’s transaction fees are in addition to our firm’s fees for our Investment and Wealth Management and Supervision service.
You may also pay incur charges imposed by the broker-dealer, custodian, trust company, bank and other financial institutions holding your accounts for certain investments and maintaining your account. Some investments, such as mutual funds, index funds, exchange traded funds, and variable annuities, charge additional fees that will reduce the value of your investments over time. In addition, you may have to pay fees such as “surrender charges” to sell variable annuities.
In certain cases, we may select third party money managers who will assist us with managing your account. If selected, they will charge you a fee, which will be described to you in their Form ADV and/or agreement.
You will pay fees and costs whether you make or lose money on your investments. Fees and costs will reduce any amount of money you make on your investments over time. Please make sure you understand what fees and costs you are paying.
Additional information about our fees is located in Item 5 of our Firm Brochure, which is available online at https://adviserinfo.sec.gov/firm/summary/287859.
What are your legal obligations to me when acting as my investment adviser? How else does your firm make money and what conflicts of interest do you have?
When we act as your investment adviser, we have to act in your best interest and not put our interest ahead of yours. At the same time, the way we make money creates some conflicts with your interests. You should understand and ask us about these conflicts because they can affect the investment advice, we provide you. Here are some examples to help you understand what this means:
Bruce Allen is a registered representative of M.S. Howells & Co. (“M.S. Howells”) an unaffiliated broker-dealer. Your financial professional may offer you brokerage services through M.S. Howells or investment advisory services through our firm. Brokerage services and investment advisory services are different, and the fees our firm and M.S. Howells charge for those services are different. They charge a transaction-based fee, commonly referred to as a commission, each time they buy or sell a security in a brokerage account. As a result, they have an incentive to trade as much as possible in order to increase their compensation. Additional information about M.S. Howells’s services and fees is available online at https://mshowells.com/.
Bruce G. Allen Investments, LLC, is a licensed insurance agency with the State of Colorado and licensed in various other states. Our firm’s financial professionals include licensed insurance agents who sell insurance products for a commission. They have an incentive to recommend insurance products to you in order to increase their compensation.
Additional information about our conflicts of interest is located in Item 10 of our Firm Brochure which is available online at https://adviserinfo.sec.gov/firm/summary/287859.
How do your financial professionals make money?
Our financial professionals are compensated based on the amount of client assets they service.
Do you or your financial professionals have legal or disciplinary history?
No, our firm and financial professionals do not have any legal and disciplinary history to disclose. Visit www.investor.gov/CRS for a free and simple search tool to research our firm and our financial professionals.
You can find additional information about our firm’s investment advisory services on the SEC’s website at www.adviserinfo.sec.gov by searching CRD #287859. You may also contact our firm at (303) 592-5535 to request a copy of this relationship summary and other up-to-date information.
Questions to Ask Us:
- Given my financial situation, should I choose an investment advisory service? Why or why not?
- How will you choose investments to recommend to me?
- What is your relevant experience, including your licenses, education and other qualifications? What do those qualifications mean?
- Help me understand how these fees and costs may affect my investments. If I give you $10,000 to invest, how much will go to fees and costs and how much will be invested for me?
- How might your conflicts of interest affect me, and how will you address them?
- As a financial professional, do you have any disciplinary history?
- For what type of conduct?
- Who is my primary contact person?
- Is he or she a representative of an investment adviser or a broker-dealer?
- Who can I talk to if I have concerns about how this person is treating me?
June 25, 2020