January 4, 2010
San Diego, CA, January 4,2010 – Twenty-five years ago, Jeffrey Dunham began
a financial services company that dared to enter an area where not many firms had gone before - fees paid
based upon the actual performance the investor receives. As Dunham & Associates Investment Counsel, .
Inc. (DAIC) begins to celebrate its 25th anniversary, it still stands as one of the only firms of its kind.
"When Dunham & Associates began in 1985, it was my vision to create what I believe is a fairer way for
wealthy individual investors to pay fees," said Jeffrey Dunham, CEO and Founder of Dunham & Associates.
"My model, which consists of paying institutional portfolio managers (Sub-Advisers) based on their ability
to outperform their benchmark and the financial advisor having the option to charge fees only when their
investors make money is still, to this day, what I consider unique. I am not aware of any other firm
that incorporates these two principles into one offering for their investors."
Dunham & Associates' mutual fund family, the Dunham Funds, is the only mutual fund company
the firm is aware of where all of the institutional Sub-Advisers are paid based upon their ability to
outperform their established benchmarks. These funds, which are distributed through financial advisors
and brokers, are also part of a Dunham turn-key mutual fund wrap program where the financial advisor has
the option to choose to charge fees only when their client makes money.1
"From the beginning, Jeffrey Dunham was confident that the inherent fairness of the model would build trust
with individual investors, which is the cornerstone of an enduring advisor/client relationship," said
Denise Iverson, Chief Financial Officer and over 10 year veteran of Dunham & Associates.
"In my view," Ms. Iverson continued, "this model stands out as one of the more innovative investment
models in the industry. It fosters an accountability that I simply do not see in a majority of firms.
With most firms, the portfolio managers get paid regardless of their results. In essence I believe they
are mostly paid for attendance, not performance."
When Dunham & Associates began in 1985, much of its early success was local to the general
Southern California area. It was not until about 10 years ago that the firm began to look north and
east to extend its reach and build a distribution company which is now national in scope.
"Today our funds are offered by over 400 broker/dealers and Registered Investment Advisers including
some of the major wirehouses. We are also available on most major mutual fund platforms," said Salvatore
M. Capizzi, Chief Sales & Marketing Officer for Dunham & Associates. "As more financial advisors
offer the performance-based fee of Dunham Funds and wrap programs, and as the awareness of this type of
fee structure continues to grow, it is my belief that you will see an increased demand from investors
for the fairness and accountability that we believe this fee structure provides."
In addition to the mutual funds and the turn-key mutual fund wrap platform, Dunham & Associates
Holdings, Inc. also owns the Dunham Trust Company, a Nevada-based trust company located in Reno,
Nevada. In 2009, Dunham Trust Company marked its 10th anniversary and also purchased the Adagio
Trust Company. "Dunham & Associates will continue to balance its growth through acquisition and
internal growth," said Tamara Wendoll, Chief Operations Officer of Dunham & Associates. "In
addition to Dunham Trust Company's acquisition of the Adagio Trust Company in 2009, DAIC also
acquired the Kelmoore Strategy funds in 2008. We are pleased with how we integrated the Kelmoore
Strategy funds and the Adagio Trust Company into the Dunham organization's culture."
"Dunham & Associates looks forward to continue serving investors," said Mr. Dunham. "We look
forward to the next 25 years of preserving what I believe are two of America's highly regarded
values - trust and accountability."
Founded in 1985, Dunham & Associates Investment Counsel, Inc. (DAIC) is a Registered Investment Adviser and
Broker/Dealer. DAIC offers mutual funds in which Sub-Advisers' compensation is tied to performance as measured
against an established benchmark. DAIC has specialized in providing investment programs for institutions,
foundations, and high-net-worth individuals for over two decades. Dunham & Associates Holdings, Inc.,
parent company for Dunham & Associates Investment Counsel, Inc. and Dunham Trust Company,
has close to $1.1 billion in fee-generating assets. For more information about
Dunham & Associates Investment Counsel, Inc. and its investments and services,
visit www.dunham.com or call (800) 442-4358.
Carefully consider the funds' investment objectives, risk factors, charges, and expenses before
investing. This and other information can be found in the Fund prospectus, which may be obtained by calling
us at (800) 442-4358. Read the prospectus carefully before investing. Investing involves risk, including
possible loss of principal.
Some Sub-Advisers receive a minimum fee regardless of performance and whether that benchmark
is met or not.
Dunham & Associates Investment Counsel, Inc. serves as adviser and distributor of the Dunham Funds, and as
such, receives a separate fee. Member FINRA/SIPC.
Dunham Trust Company is a privately held trust company founded in August, 1999. It is licensed and regulated by the State of Nevada,
Department of Business and Industry, Financial Institutions Division. Dunham Trust Company and Dunham & Associates
Investment Counsel, Inc. are affiliated entities.
1. Available to a qualified investor defined as a natural person who or a company that has at least $750,000
under the management of the investment adviser or has a net worth (together, in the case of a natural person,
with assets held jointly with a spouse) of more than $1,500,000.
Each time a fee is paid, a new high water mark is established and the financial advisor does not receive
additional fees until the account value exceeds the high water mark.
Dunham & Associates Investment Counsel, Inc. is a Registered Investment
Adviser and Broker/Dealer.Member FINRA/SIPC.