Customer Relationship Summary
(Form CRS, Relationship Summary, September 12, 2024)
Reid & Rudiger, LLC, is registered with the U.S. Securities and Exchange Commission as a broker-dealer and is a member of FINRA and SIPC. Brokerage and investment advisory services and fees differ and it is important for you to understand the differences. Free and simple tools are available to research firms and financial professionals at https://www.investor.gov/CRS, which also provides educational materials about broker-dealers, investment advisers and investing.
What investment services and advice can you provide me?
We offer brokerage services to retail investors, including buying and selling securities, and making recommendations for securities transactions. You may select investments or we may recommend investments for your account, but the ultimate investment decision as to your investment strategy and the purchase or sale of investments will be yours. We do not accept discretionary authority.
We focus on buying and selling individual stocks and some Exchange-Traded Funds. We specialize in identifying companies that we believe have great potential for price appreciation. Our recommendations are generally limited to these types of investments. Other firms could offer a wider range of choices, some of which might have lower costs.
We serve investors who are seeking aggressive growth of the assets invested through our firm. Sometimes we recommend short-term trading; other times, we recommend longer term holds. All trading involves cost and risk. We seek to help you acquire stocks or Exchange-Traded Funds that present the possibility of higher returns. Although we might make recommendations to sell, and we try to do so at the right time to capture profits or minimize losses, we do not monitor your investments. We do not impose any minimum account size or require a minimum investment amount.
Conversation starters:
Given my financial situation, should I choose a brokerage 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?
Fees, Costs, Conflicts and Standard of Conduct
What fees will I pay?
We charge a commission (or mark-up/mark-down) and a ticket charge for each transaction. Higher volume trading will generally cost you more, although our fees vary and are negotiable. The amount you pay will depend, for example, on how much you buy or sell, what type of investment you buy or sell, and what kind of account you have with us. There is an inherent conflict of interest whenever a broker-dealer charges transaction-based fees, as the firm has a financial incentive to encourage investors to trade often. You will also pay other fees and costs, including, for example, custodian fees, account maintenance fees, fees charged by Exchange-Traded Funds, and service fees (such as for wires, etc.). If you use margin, you will pay margin interest. Further information about fees and costs is available from the clearing firm or from us. 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.
Conversation starter:
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 providing recommendations? How else does your firm make money and what conflicts of interest do you have?
When we provide you with a recommendation, 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 recommendations, we provide you. Here is an example to help you understand what this means.
Principal trading. In some transactions, we buy from customers, or sell to customers, for or from our firm’s own accounts. This is called “principal” trading, because we are acting as a party to the transaction. This creates a conflict of interest because we profit from these transactions. We sell to the customer at a price that is greater than the market price for the security, or buy from the customer at a price that is lower than the market price. This mark-up or mark-down is instead of a commission. We do not charge commissions on trades where we act as principal.
Conversation starter:
How might your conflicts of interest affect me, and how will you address them?
How do your financial professionals make money?
Our representatives are compensated by a share of the commissions, mark-up or mark-down on your transactions. This is a conflict of interest because the representatives have a financial incentive to encourage investors to trade often.
Do you or your financial professionals have legal or disciplinary history?
Yes. Visit Investor.gov for a free and simple search tool to research our firm and our financial professionals.
Conversation starter:
Do you or your firm have a disciplinary history? For what type of conduct?
Additional Information
For additional information about our representatives and services, visit Investor.gov, BrokerCheck (https://BrokerCheck.Finra.org), or our web site (www.reidandrudiger.com), and read your account agreement.
To request up- to-date information and to request a copy of the firm’s relationship summary, contact Reid & Rudiger compliance at 1- 800-785-0500.
Conversation starters:
Who is the primary contact person for my account?
What can you tell me about his or her legal obligations to me?
If I have concerns about how this person is treating me, who can I talk to?