Disclosure / Privacy Policy
WheelerFrost Associates, Inc.
Disclosure Statement

WheelerFrost Associates, Inc. (WFA) is an SEC registered investment adviser located in San Diego, California. WFA and its representatives are in compliance with the current filing requirements imposed upon SEC registered investment advisers by those states in which WFA maintains clients. WFA may only transact business in those states in which it is registered, or qualifies for an exemption or exclusion from registration requirements. WFA’s web site is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of WFA’s web site on the Internet should not be construed by any consumer and/or prospective client as WFA’s solicitation to effect, or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet.
Any subsequent, direct communication by WFA with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides. For information pertaining to the registration status of WFA, please contact the SEC or the state securities regulators for those states in which WFA maintains a notice filing. A copy of WFA’s current written disclosure statement discussing WFA’s business operations, services, and fees is available from WFA upon written request.

WFA does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to WFA’s web site or incorporated herein, and takes no responsibility therefore. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

Please remember that different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment or investment strategy (including those undertaken or recommended by WFA, will be profitable or equal any historical performance level(s).

Certain portions of WFA’s web site (i.e. newsletters, articles, commentaries, etc.) may contain a discussion of, and/or provide access to, WFA’s (and those of other investment and non-investment professionals) positions 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 recommendation(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from WFA or from any other investment professional. WFA is neither an attorney nor an accountant, and no portion of the web site content should be interpreted as legal, accounting or tax advice.

Rankings and/or recognition by unaffiliated rating services and/or publications should not be construed by a client or prospective client as a guarantee that he/she will experience a certain level of results if WFA is engaged, or continues to be engaged, to provide investment advisory services, nor should it be construed as a current or past endorsement of WFA by any of its clients. Rankings published by magazines, and others, generally base their selections exclusively on information prepared and/or submitted by the recognized adviser.

Privacy Policy:

WFA respects the confidentiality of our clients’ non-public, personal information. It is our intention to ensure that this information is safeguarded to protect against its misuse.

All information given to WFA and recommendations and advice furnished by WFA to clients will be kept confidential and will not be disclosed to anyone, except as WFA may so agree in writing or as we may be required to do so by law or regulation.

WFA will collect non-public information (NPI) about clients as part of our engagement with them. This information will be obtained directly from clients and includes details such as date of birth, social security number, financial account numbers and balances, tax returns, sources and amount of income, home addresses and telephone numbers, etc.

As part of WFA’s policy, WFA restricts access to confidential personal information to those WFA employees who need to know that information in order to provide products or services. WFA maintains physical, electronic, and procedural safeguards to comply with federal standards to guard confidential information.

WFA will not disclose any Confidential Information (NPI) to any third party other than: a) a consultant to WFA; b) a bank, broker, custodian, portfolio accounting service, proxy administration service, or other third party required to manage our client’s account or administer WFA’s operations; c) an authorized representative of our client other than our client’s broker, consultant or custodian, such as our client’s attorney or accountant; d) a person approved by an officer of WFA; f) as otherwise required by law or regulation. Disclosures to any other third party will only be made with the specific written authorization of our client.

WFA will provide nonpublic information about former clients only if required to do so by law or regulation or to those parties who need such information in order for the firm to carry out any continued obligation with respect to the services covered by the former adviser/client relationship.

Code of Ethics

At Wheeler/Frost Associates, Inc. ("WFA" or "Firm"), we take pride in our commitment to serving our clients' needs and the integrity with which we conduct our business. The financial services industry is under continual scrutiny, especially in the area of the inherent responsibility of the financial professional to behave in the best interests of his/her clients. We have developed this Code of Ethics ("Code") as a means of memorializing our vision of appropriate and professional conduct in carrying out the business of providing investment advisory services.

At WFA, we deem all employees to be "access persons." An "access person" is defined by the US. Securities and Exchange Commission ("SEC") as any supervised person of the Firm who has access to nonpublic information regarding any clients' purchase or sale of securities, or nonpublic information regarding the portfolio holdings of any reportable fund, or who is involved in making securities recommendations to clients, or who has access to such recommendations that are nonpublic. Each employee has been furnished with a copy of our Code and has signed his/her name to a written acknowledgement attesting to their understanding of the Code and acceptance of its terms. 

Obligations of the Firm to Its Clients

When a client signs our Client Advisory Agreement (CAA), we view that action as an expression of trust in WFA's ability to manage assets effectively and within the highest standards of professional conduct. It is our policy and duty to respect the trust that our clients place in us and to always keep their best interests ahead of our own. WFA believes that upholding this fiduciary duty is the cornerstone upon which fruitful relationships are forged and, hence, successful businesses are built.

WFA will seek to manage a client's assets in accordance with the client's stated investment objectives, financial profile, risk tolerance, investment experience, and any other specific preferences. Open and frequent communication between our employees and our clients is a key factor in delivering financial services. To the fullest extent possible, WFA should make sure that clients are made aware of the state of their account(s) during all market conditions. Our responsibility does not end with portfolio management. It is our duty to monitor our clients' needs and objectives and to make every effort to ensure that their investments are appropriate given their particular situations.

Protection of Material Nonpublic Information

The initial phase of our relationship with a client starts with building a foundation of trust. Our clients choose to do business with us because they trust that we will deliver the services we offer in a manner that puts their interests above all others. In choosing to do business with us, our clients entrust us with the protection of information about them that should never be used in a manner other than for their own benefit. Thus, it is WFA's policy that all personal nonpublic information given to us by, or in relation to, our clients be kept strictly confidential and that it never be used in any manner other than for the purposes of carrying out our duties to our clients. Personal nonpublic information could include, but would not be limited to a client's current income situation, current securities holdings, trading strategies, medical or health information, tax-related matters, etc.

The mishandling of a client's personal nonpublic information could create several undesirable results for WFA and its employees. These negative consequences might include civil actions, criminal actions, arbitrations, and the issuance of restrictive orders against the Firm or its representatives by regulatory bodies, fines, etc. Any of these actions could have a devastating impact on WFA and its employees. Given these consequences, WFA will not tolerate the use of a client's personal nonpublic information in a manner that is inconsistent with the best interests of that client. Behavior by WFA's employees that involves the misuse of a client's personal nonpublic information could result in severe disciplinary action (including termination for cause) against the culpable party(s).

Conflicts of Interest

A major component of carrying out our fiduciary duties to our clients is the awareness and disclosure of conflicts of interest. A conflict of interest occurs when the best interests of the Firm and/or its employee(s) are contrary to the interests of our clients. Such a conflict can arise when an employee of the Firm pursues interests that prevent that individual from performing his duties to his/her client(s) objectively and effectively.

Conflicts of interest also arise when an employee or member of the employee's family receives certain benefits as a result of the individual's position with WFA. An employee must not use his/her personal relationships to influence WFA's the trading activities of client accounts in a manner that will be beneficial to the employee person, his/her family members, and/or acquaintances; nor shall an employee engage in activity that is detrimental to WFA or its clients.

Any conflict of interest that arises in a specific situation must be disclosed by the individual and resolved before taking any action on behalf of the client(s) involved.

Compliance with Federal Securities Laws

As a registered investment adviser, WFA operates under the regulatory jurisdiction of the SEC, which subjects the Firm to a variety of industry rules and regulations. WFA recognizes that these laws, rules, and regulations exist to protect the interests of the investing public and, therefore, insists that its employees maintain strict compliance thereto. WFA's Compliance officials have an "open door" policy and all employees should seek guidance whenever the applicability of a law, rule, regulation, or Firm policy comes into question in any situation.

Personal Securities Transactions and Holdings

All employees of the Firm must periodically report their personal securities holdings and transactions. The purpose of these reports is to allow the Firm the ability to monitor for any trading improprieties by the Firm's employees such as trading activity that may suggest an employee of the Firm may have engaged in trading activity which subordinated a client's best interests to that of the employee.

An example of such activity might involve an employee placing a trade for him or herself and then facilitating transactions for a number of other clients that is intended to create additional benefit (or prevent anticipated losses) for the employee. A common term for this practice is "Trading Ahead."

Holdings Reports:

Each of WFA's employees must submit a holdings report no later than 10 days after the person becomes an access person. At that time, the information submitted must be current as of a date no earlier than 45 days prior to the date the person became an employee. Additionally, the report must be updated at least once each 12 month period, thereafter.

Each report must contain the following information regarding the employee's personal securities holdings:

  • The title and type of security, and as applicable, the ticker symbol or CUSlP number of the security;
  • The number of shares, units, etc.;
  • The principal amount of each reportable security in which the employee has any direct or indirect beneficial ownership;
  • The name of any broker, dealer or bank with which the employee maintains an account in which any securities are held for the employee's direct or indirect benefit; and
  • The date the employee submits the report.

Transaction Reports:

Each of WFA's employees must submit a holding report no later than 30 days following the end of each calendar quarter. The report must cover all transactions during the quarter. Each report must contain the following information:

  • The date of the transaction;
  • The title and type of security, and as applicable, the ticker symbol or CUSIP number of the security;
  • The nature of the transaction (i.e., purchase, sale or any other type of acquisition or disposition);
  • The number of shares, units, etc.;
  • The interest rate and maturity date, as applicable;
  • The price at which the transaction was effected;
  • The name of the broker, dealer or bank with or through which the transaction was effected; and
  • The date the employee submits the report.

 Exceptions from Reporting Requirements:

  • Any report with respect to securities held in accounts over which the employee had no direct or indirect influence or control;
  • A transaction report with regard to transactions effected pursuant to an automatic investment plan;
  • A transaction report that would duplicate information contained in broker trade confirmations or account statements so long as such documents are received no later than 30 days following the end of the applicable calendar quarter;
  • Transactions and holdings in direct obligations of the US. Government;
  • Money market instruments - bankers' acceptances, bank CDs, commercial paper, repurchase agreements, and other "high quality, short-term debt instruments" (maturity at issuance of less than 366 days, and which is rated in one of the highest two categories by a Nationally Recognized Statistical Rating Organization, or which is unrated but is of comparable quality);
  • Shares of money market funds; Transactions and holdings in shares of other types of mutual funds, unless WFA or a control affiliate acts as the investment adviser or principal underwriter for the fund; and
  • Transactions in units of a unit investment trust if the unit investment trust is invested exclusively in unaffiliated mutual funds.

IPO and Private Placement Policy

All of WFA's employees must obtain approval from a member of senior management prior to directly or indirectly acquiring beneficial ownership in any security in an initial public offering or a private placement.

Reporting Violations

Violations of the Code will be taken seriously. Each employee of WFA has an obligation to report such violations to the Chief Compliance Officer in an expeditious manner after becoming aware that a violation has occurred. Reports of violations will be kept strictly confidential in order to avoid retaliation from those involved. WFA will also allow anonymous submissions of violation reports so as to keep concerned employees at ease. Any breach of the confidentiality of a report of a violation of the Code will constitute a further violation of the Code and will be dealt with as such.

With regard to its Code of Ethics, WFA will maintain the following books and records for a period of five years following the end of the fiscal year during which the last entry was made on such record, the first two years in an easily accessible location: 

  • A copy of the current Code as well as copies of Codes that were in effect at any time within the past five years;
  • Records of violations of the Code, including records of the actions taken subsequent to such violations;
  • Signed acknowledgements from each person who is currently, or was at some point during the past five years, an employee that confirms their receipt, understanding, and acceptance of the Code. This acknowledgement will represent an obligation to adhere to the standards and provisions set forth in the Code;
  • A record of the names of all persons who were employees at any time within the past five years;
  • A record of each transaction and holding report made by an employee, including applicable brokerage statements and confirmations collected in lieu of such a report;
  • A record of any decision and the reasons supporting the decision, to approve the acquisition of securities by employees through an initial public offering or limited offering.

Buisness Continuity Plan

WheelerFrost Associates, Inc. has developed a Business Continuity Plan so that we may be able to continue to provide service to our clients in the event of emergencies, natural disasters, communications interruptions, loss of Internet services, office fire, theft of computers, or other situations that interrupt our normal business operations.  Included in this plan are arrangements for contingency locations in the event our regular office site is unavailable.

We continue to review and update our Business Continuity Plan. A copy of our Business Continuity Plan may be viewed in our office during regular business hours.