Form ADV Part 3 – Client Relationship Summary
Date: 03/04/2021
Item 1: Introduction
MICHAEL BRADY & CO., LLC is an investment adviser registered with the Securities and Exchange Commission offering advisory accounts and services. This document gives you a summary of the types of services and fees we offer. Please visit www.investor.gov/CRS for free, simple tools to research firms and for educational materials about broker-dealers, investment advisers, and investing.
Item 2: Relationships and Services
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 these qualifications mean?
What investment services and advice can you provide me? Our firm primarily offers the following investment advisory services to retail clients: portfolio management (we review your portfolio, investment strategy, and investments); selection of third-party sub-advisers (for management of individual stock and/or bond portfolios); and financial planning. As part of our standard services, we typically monitor client accounts on a monthly basis. Our firm has discretionary authority limited only by the written instructions of the client. We limit the types of investments that are recommended since not every type of investment vehicle is needed to create an appropriate portfolio. Our minimum account size is $250,000. Please also see our Form ADV Part 2A (“Brochure”).
Item 3: Fees, Costs, Conflicts, and Standard of Conduct
Questions to ask us: Help me understand how these fees and costs might 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? 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? How might your conflicts of interest affect me, and how will you address them?
What fees will I pay? One combined fee is charged for both investment management services and financial planning services. The fee is computed as a percentage of account value, and is charged quarterly in advance. You pay our fee even if you do not have any transactions and the advisory fee paid to us does not vary based on the type of investments selected. The amount of assets in your account affects our advisory fee: the more assets you have in your advisory account, the more you will pay us and thus we have an incentive to increase those assets in order to increase our fee. Please also see our Brochure.
Third Party Costs: Some investments (e.g., mutual funds, variable annuities, etc.) impose additional fees (e.g., transactional fees and product-level fees) that reduce the value of your investment over time. You will also pay fees to a sub-advisor or to a custodian that will hold your assets. Additionally, you could pay transaction fees when we buy and sell an investment for your account. Please also see our Brochure for additional details.
Conflicts of Interest: 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 may create a conflict with your interests. You should understand and ask us about these conflicts because they can affect the investment advice we provide you.
How do your financial professionals make money? Because we are fee-only, we and our financial professionals benefit solely from the advisory services we provide to you because the advisory fees we receive from you are our only compensation. This compensation may vary based on different factors, such as those listed above in this Item. Please also see our Brochure for additional details.
Item 4: Disciplinary History
Questions to ask us: As a financial professional, do you have any disciplinary history? For what type of conduct?
Do you or your financial professionals have legal or disciplinary history? Yes. Visit https://www.investor.gov/ for a free, simple search tool to research us and our financial professionals.
Item 5: Additional Information
Questions to ask us: 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?
For additional information on our advisory services, see our Brochure available at https://adviserinfo.sec.gov/firm/summary/130093 and any individual brochure supplement your representative provides. If you have any questions, need additional up-to-date information, or want another copy of this Client Relationship Summary, then please contact us at 440-235-2100.
Exhibit A – Material Changes to Client Relationship Summary
There are no material changes since the prior Client Relationship Summary.