Quantinno Capital Management LP (“Quantinno”, “we”, “our” or “us”) is registered with the U.S. Securities and Exchange Commission (“SEC”) as an investment adviser. The services offered and fees charged by an investment adviser differ from those of broker-dealers and it is important that you understand the differences. Free and simple tools are available to research investment adviser firms, broker-dealers, and their financial professionals at 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 with?
Description of Services.
Quantinno provides investment advisory services to certain retail investors and as an adviser providing investment advisory services to certain high net worth individuals that generally involve buying and selling securities on behalf of clients in strategies selected by the client or recommended by the client’s financial intermediary.
The D-E-A-L-S™ (Direct Equity Active Long Short) investment strategies use quantitative models and tools to incorporate personalized specifications for these investment strategies including the magnitude of tax loss harvesting, choice of benchmark and choice of funding method. We provide continuous supervision and management to monitor assets in your account as part of our standard services. Quantinno limits our services to managing equity portfolios through separately managed accounts and other products described in our ADV.
Subject to any strategy and account parameters, we generally have discretion to buy and sell securities in your custodial account. This means we make these investment decisions on your behalf without needing to provide prior notice and without soliciting your consent. We have account minimums that differ across strategies and programs; these minimums typically start at $1,000,000 but may be waived at our discretion. Certain of our strategies include investing in products offered by our affiliates. For additional information about our services, please see Quantinno’s Form ADV Part 2A.
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Additional Information: For additional information regarding our services, please see https://adviserinfo.sec.gov/firm/summary/298733 for our Form ADV Part 2A, particularly Items 4 and 7 (“Brochure Link”).
What fees will I pay?
We typically assess our fees quarterly in advance, based on the average capital balance of the account for the month. Consent for the automatic deduction of fees from the account is generally contained in the investment management agreement with Quantinno. Your fee rate is based on the investment strategy or strategies you choose, and the amount of assets in your account. Fee rates and minimums are disclosed in the investment management agreement. Generally, our standard management fee rate for a separately managed account begins at 0.45% annually of assets under management, although we may negotiate fees with you directly or with your advisers.
In addition to fees, accounts incur brokerage commissions, transaction fees, financing and other related costs and expenses imposed by custodians and brokers or fees you pay to a third-party intermediary such as a financial advisor or broker-dealer.
The larger your account, the more you will pay in fees, so we may have an incentive to encourage you to increase the size of your account. Fees can be withdrawn from your account by your custodian.
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 the fees and expenses you will pay should
you open a separately managed account with us. For additional information regarding our fees and costs, please see our Form ADV Part 2A (specifically Items 5.A., B., C., and D.).
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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?
When we act as your investment adviser, we must act in your best interest and put your interests ahead of our own. At the same time, the way we make money creates conflicts between our interests and yours. You should understand and ask us about these conflicts because they can affect the investment advice we provide you.
Here are some examples to help you understand what this means:
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How do your financial professionals make money?
While Quantinno provides a competitive base salary plus bonus for all employees, a portion of any individual’s bonus may be based upon the financial performance of the firm in any given year, and the asset-based model of the firm’s revenue may create
a conflict of interest. Our investment professionals do not receive differential compensation based on specific products sold or product sale commissions.
Do you or your financial professionals have legal or disciplinary history?
No, none of our financial professionals has a legal or disciplinary history. Please visit www.Investor.gov/CRS for a free and simple search tool to research us and our financial professionals.
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Additional Information
You can find additional information about our investment advisory services on the SEC’s website and on our website. Our website is http://quantinnocapital.com/. You can request up to date information and a copy of our relationship summary by contacting us at +1-212-812-8471 or e-mail info@quantinno.com.
66 Hudson Blvd E. 23rd Floor
New York, NY 10001
ir@quantinno.com