SilverOak Investments Disclosure
SilverOak Investments, LLC, (“SOI”) is a registered investment adviser with the SEC; however, such registration does not imply a certain level of skill or training. SOI may only transact business or render personalized investment advice in those states and international jurisdictions where we are registered/filed notice or otherwise excluded or exempted from registration requirements. Any communications with prospective clients residing in states or international jurisdictions where SOI is not registered or licensed shall be limited so as not to trigger registration or licensing requirements.
The information herein has been provided for information purposes only, and is not intended to serve as investment advice or as a recommendation for the purchase or sale of any security. The information herein is not specific to any individual's personal circumstances. The strategies and/or investments referenced may not be suitable for all investors as the appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives, and is not intended as the primary basis for investment decisions. It should also not be construed as advice meeting the particular investment needs of any investor. While the information herein has been obtained from publicly available sources, which SOI believes to be reliable, SOI cannot and does not guarantee the accuracy, adequacy or completeness of any such information. The information herein may change from time to time without notice, and SOI has no obligation to update this material. Marketing materials contain confidential information which may also be legally privileged and which is intended only for the use of the recipients. If you are not the intended recipient, you are hereby notified that forwarding or copying the marketing materials, or taking any action in reliance on its contents, may be strictly prohibited. If you received marketing materials from SOI in error, please notify us immediately via email at contact@silveroakinvestments.com and destroy the marketing materials.
Certain portions of SOI’s website (i.e. newsletter, articles, commentaries, etc.) may contain a discussion of, and/or provide access to SOI (and those of other investment and non-investment professionals) position and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or current recommendations. SOI does not provide tax or legal advice. To the extent that any material herein concerns tax or legal matters, such information is not intended to be solely relied upon nor used for the purpose of making tax and/or legal decisions without first seeking independent advice from a tax and/or legal professional. The identification of specific securities and model portfolios is made on the assumption that the investor would participate in the investment or portfolio on a long-term basis (in excess of five years) and only after consulting with their investment advisor to determine their needs and financial position. With respect to any such identification, there can be no assurance that fund or model portfolio will in fact perform in the manner suggested. All investments involve risk, including loss of principal invested. Past performance does not guarantee future performance. Individual client accounts may vary. The strategies and/or investments referenced may not be suitable for all investors as the appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives.
SOI is always required to act in a fiduciary capacity, meaning that all of SilverOak Investments’ actions must be in Client’s best interest when offering investment advice. SOI will make an additional disclosure when recommending that Client rollover a qualified retirement plan (all references to “qualified retirement plans” in this disclose shall expressly include reference to “no-fee IRAs”). The United States Department of Labor (DOL) maintains, even for a fiduciary firm such as SOI, that SOI must declare to Client that a material conflict of interest exists SOI recommends a rollover from a qualified retirement plan to an IRA managed by SOI.
The material conflict of interest stems from SOI’s ability to assess a management fee, generally utilizing SOI’s standard fee schedule for rollover IRA accounts. This fee will often be higher than the fee Client is currently paying in their qualified retirement plan. Unless SOI manages Client’s qualified plan SOI receives no revenue from Client’s qualified retirement plan assets unless SOI recommends a rollover of said assets to an IRA that SOI manages and thereby receives direct compensation from Client. Hence, the DOL has determined the previously described rollover and the resulting fee is a material conflict of interest.
SOI as a fiduciary, maintains that there are material client benefits to rolling over a qualified plan to SOI’s management. When SOI has direct management over Client’s rollover IRA, SOI can:
• directly make changes to investments, whereas, when indirectly advising on a qualified plan, SOI can only make recommendations which Client may or may not implement;
• consistently monitor more of the Client’s investable assets;
• maximize coordination of total investable assets;
• implement SOI’s investment management process, which SOI, as a fiduciary, believes is highly effective for long-term Clients;
Furthermore, although SOI explicitly acknowledges that, in many cases, Client will experience a higher fee in a rollover IRA that SOI manages than in a qualified retirement plan, SOI’s compensation-based incentive, in SOI’s opinion, is explicitly aligned with that of Client’s best interest. SOI is a fee-only advisor and sells no investment products and receives no commission or incentives for the sale of any proprietary or outside products.
Please do not hesitate to contact us anytime with questions. We can be reach via phone at (800) 520-0605 or email at contact@silveroakinvestments.com
