Schwab Support Products and Services
We receive an economic benefit from Schwab in the form of the support products and services they make available to us and other independent investment advisors whose clients maintain their accounts at Schwab. These products and services, how they benefit us, and the related conflicts of interest are described above (see Item 12 – Brokerage Practices). We do not base particular investment advice, such as buying particular securities for our clients, on the availability of Schwab’s products and services to us.
Recommendation of Unaffiliated Professionals
We may refer clients to unaffiliated professionals for a variety of services such as insurance, mortgage brokerage, real estate sales, legal, and/or tax/accounting services. In turn, these professionals may refer clients to RS Crum Inc. for investment management/financial planning needs. We will not refer clients to financial planners and other investment advisers unless that they are licensed, registered, or exempt from registration as an investment adviser. We do not have any arrangements with individuals or companies that we refer clients to, and we do not receive any compensation for these referrals. However, it could be concluded that RS Crum Inc. is receiving an indirect economic benefit from this practice, as the relationships are mutually beneficial. For example, there could be an incentive for us to recommend services of firms who refer clients to RS Crum Inc.
We refer clients to professionals we believe are competent and qualified in their field. It is ultimately the client’s responsibility to evaluate the provider. We will generally provide the client with a list of
professionals that the client can contact, and it is solely the client’s decision whether to engage a recommended firm. Clients are under no obligation to purchase any products or services through these professionals, and RS Crum Inc. has no control over the services provided by another firm. Clients who choose to engage these professionals will sign a separate agreement with the other firm. Fees charged by the other firm are separate from and in addition to fees charged by RS Crum Inc.
If the client desires, RS Crum Inc. will work with these professionals or the client’s other advisers (such as an accountant, attorney, or other investment adviser) to help ensure that the provider understands the client’s financial plan/investments and to coordinate services for the client. RS Crum Inc. does not share information with an unaffiliated professional unless first authorized by the client.