A. Description of Firm
CCM is an SEC-registered investment adviser with its principal place of business located in
Costa Mesa, California. CCM began conducting business in 1987. The firm was founded by
Steven Check and is owned by the Check Family Trust.
B. Type of Advisory Services Offered
Separately Managed Accounts: CCM’s primary business is asset management of accounts for
individuals, high-net-worth clients, retirement plans and corporate clients, among others
(“Clients”). Investments are predominantly in stocks, corporate/municipal bonds, and stock
options.
CCM asks the Client for specific information, such as investment objectives, investment time-
horizon, tax considerations, and any reasonable restrictions on the management of the Client's
assets. Client account assets are invested based on those guidelines and in accordance with the
CCM investment program selected by the Client.
General Asset Allocation Advice & Retirement Cash Flow Plans: CCM provides asset-
allocation advice (stocks, bonds, cash weighting) and complimentary retirement income-
planning services where retirement cash flow plans may be generated.
Mutual Fund: CCM is the investment advisor to the Blue Chip Investor Fund, an investment
company registered under the Investment Company Act of 1940. The fund Prospectus and
Statement of Additional Information are available online at bluechipinvestorfund.com.
Prospective investors should review these documents carefully before making an investment in
the Blue Chip Investor Fund. For CCM clients, CCM can and will use its discretionary authority
to place client assets in the Fund. Assets invested in the Fund are excluded from CCM’s
management fee disclosed in Item 5 below. CCM’s only compensation relating to an investment
in the fund is the management fee it receives directly from the fund. CCM’s management fee for
its services provided to the fund is usually less than the asset-based management fee that CCM
discloses below for separately managed account clients. However, the expense ratio of the fund
(not including any interest expenses) is usually the same as the asset-based management fee.
Non-Asset-Management Services: CCM generally does not provide estate, tax, and insurance
planning. We do not serve as an attorney, accountant, or insurance agency, and no portion of our
services should be construed as legal or accounting services. Accordingly, we do not prepare
estate planning documents, tax returns or sell insurance products. To the extent requested by a
client, we may recommend the services of other professionals (e.g. attorneys, accountants,
insurance agents). Clients are under no obligation to engage the services of any recommended
professional. The client retains absolute discretion over all implementation decisions and is free
to accept or reject any recommendation that we make. If the client engages any unaffiliated
recommended professional, and a dispute arises thereafter, the client agrees to seek recourse
exclusively from the engaged professional. At all times, the engaged professional and not CCM
shall be responsible for the quality and competency of the services provided.
Retirement Rollovers/Potential for Conflict of Interest: A Client or prospective Client leaving
an employer typically has four options regarding an existing
retirement plan (and may engage in
a combination of these options): (i) leave the money in the former employer’s plan, if permitted,
(ii) roll over the assets to the new employer’s plan, if one is available and rollovers are permitted,
(iii) roll over to an Individual Retirement Account (“IRA”), or (iv) cash out the account value
(which could, depending upon the Client’s age, result in adverse tax consequences). If CCM
recommends that a Client roll over their retirement plan assets into an account to be managed by
CCM, such a recommendation creates a conflict of interest if CCM will earn new (or increase its
current) compensation as a result of the rollover. When acting in such capacity, CCM serves as a
fiduciary under the Employee Retirement Income Security Act (ERISA), or the Internal Revenue
Code, or both. No Client is under any obligation to roll over retirement plan assets to an account
managed by CCM.
Retirement Accounts/Potential for Conflict of Interest: When we provide investment advice
to you regarding your retirement plan account or individual retirement account, we are
fiduciaries within the meaning of Title 1 of ERISA and/or the Internal Revenue Code, as
applicable, which are laws governing retirement accounts. The way we make money may create
some conflicts with your interests, so we operate under a special rule that requires us to act in
your best interest and not put our interest ahead of yours.
Client Obligations: In performing our services, CCM shall not be required to verify any
information received from the Client or from the Client’s other professionals, and is expressly
authorized to rely thereon. Moreover, it remains each Client’s responsibility to promptly notify
CCM if there is ever any change in his/her/its financial situation or investment objectives for the
purpose of reviewing/evaluating/revising our previous recommendations and/or services.
Investment Risk: Different types of investments involve varying degrees of risk, and it should
not be assumed that future performance of any specific investment or investment strategy
(including the investments and/or investment strategies recommended or undertaken by CCM)
will be profitable or equal any specific performance level(s). See Item 8 for additional
information regarding risks.
Performance-Based Fees: As disclosed more fully below in Items 5 and 6, clients may be able
to engage CCM on a performance-based fee arrangement.
C. Assets Under Management
As of December 31, 2023, assets under management were $1,735,092,627. This was comprised
of $1,612,260,822 of discretionary assets and $122,831,805 of non-discretionary assets.
D. Participation in Wrap Programs
CCM provides advisory services indirectly to a client through the UBS Managed Account
Consultants Wrap Fee Program (UBS MAC Program), sponsored by UBS Financial Services,
Inc. (UBS). The account was introduced to CCM through the sponsor (UBS) and is managed
according to the Quality Growth Program composite strategy. The account is managed side-by-
side with all other separate accounts that participate in the Quality Growth Program composite
strategy. CCM receives a portion of the Wrap Fee charged by the sponsor as disclosed in Item 5
below. CCM no longer accepts clients under this program and does not participate in any other
wrap program.