Privacy Policy

 

1. STATEMENT OF POLICY

Star Mountain Fund Management, LLC (“The Adviser”) is committed to protecting the confidentiality and security of Investor and Client information that it collects and will disclose such information only in accordance with Regulation S-P, any other applicable law, rules and regulations and this Privacy Policy.

1. BACKGROUND

Regulation S-P limits the circumstances under which an adviser may disclose nonpublic, personal information about a Client to other persons and requires an adviser to disclose to all of its Clients the Adviser’s privacy policies.  The Adviser has implemented the following Privacy Policy (“Privacy Policy”) to comply with Regulation S-P.

2. Summary of Regulation S-P

Regulation S-P has four (4) key features:

1. An adviser must provide notice to its Clients about its privacy policies;
2. An adviser may only disclose nonpublic personal information about Clients to a nonaffiliated third party if it provides an initial privacy notice and a notice giving the Client the opportunity to “opt-out” from the adviser’s disclosure of the information;
3. A Client may request that his or her nonpublic personal information not be disclosed to nonaffiliated third parties (although certain information required for processing transactions is still permitted to be disclosed); and
4. An adviser must adopt a program reasonably designed to (i) ensure the security and confidentiality of Client records and information; (ii) protect against any anticipated threats or hazards to the security or integrity of Client records and information; and (iii) protect against unauthorized access to or use of Client records or information that could result in substantial harm or inconvenience to any Client.

2. PRIVACY POLICY

1. Scope

The Adviser has adopted this Privacy Policy, which applies to the Adviser and the Adviser’s affiliates if any.9F^[1]  The Adviser conducts its business affairs primarily through its Supervised Persons, to whom this Privacy Policy applies.  To the extent that service providers are utilized in servicing accounts, confidentiality agreements that comply with Regulation S-P have been put into place.

2. Service Providers

The Adviser will endeavor to ensure that all service providers (e.g., a third party administrator) will confirm their adherence to this Privacy Policy with respect to all Client and former Client information of the Adviser and to take all actions reasonably necessary so that the Adviser is in compliance with this Privacy Policy.  The Adviser will endeavor to ensure that the Privacy Policy will be acknowledged by the third party service provider in any contract for services prior to execution, seek to obtain an acknowledgement of this Privacy Policy from such service providers or have the third-party service providers provide representations and/or policies sufficient to satisfy such Privacy Policy considerations in the sole discretion of the CCO (e.g., confidentiality agreements, cybersecurity reports, disaster recovery and business continuity plans, and other similar reports and policies).

3. Privacy Notices

Under Regulation S-P, the Adviser must provide an initial privacy notice disclosing the Adviser’s policy and practices regarding disclosure of nonpublic personal information to consumers at the time a customer relationship is established (such as when an Investor enters into an advisory contract) and at least annually for the duration of that relationship. However, under Section 503 of the Graham-Leech-Bliley Act, as amended, the Adviser is not required to send an annual privacy notice to customers if the Adviser discloses nonpublic personal information only in accordance with the permitted disclosure provisions and has not changed its policy and practices regarding the disclosure of nonpublic personal information since the most recent privacy notice provided to customers.

Consumers.  A “consumer” is an individual who obtains from an adviser financial products that are to be used primarily for personal, family or household purposes, such as one-time investment advice.  The Adviser must provide an initial privacy notice to its consumers before the Adviser discloses the consumer’s nonpublic personal information to a nonaffiliated third party (other than as necessary to process consumer transactions).  The Adviser is not required to send a privacy notice to consumers if the Adviser discloses nonpublic information about its consumers to third parties only pursuant to certain exceptions.  The Adviser may satisfy the initial notice requirement by sending a “short form” notice that explains how the consumer may obtain the adviser’s privacy notice.

Customers.  A “customer” is a consumer who uses the product or service of the Adviser on an ongoing basis (such as Clients and Investors receiving continuous investment advice).10F^[2]  The Adviser must provide an initial privacy notice when the Adviser establishes the customer relationship (such as when an investor enters into an advisory contract) and annually thereafter.

4. Content of Customer Privacy Notices

The initial and annual privacy notices must contain the following information:

1. Categories of nonpublic personal information collected by the Adviser;
2. Categories of nonpublic personal information disclosed by the Adviser;
3. Categories of affiliates and nonaffiliates to whom the Adviser discloses the nonpublic personal information;
4. Categories of nonpublic personal information about former customers disclosed by the Adviser and the categories of affiliates and nonaffiliates to whom it is disclosed;
5. If nonpublic personal information is disclosed to third parties, an explanation of the right to “opt-out” of such disclosure; and
6. A general description of the Adviser’s policies and practices with respect to protecting the confidentiality and security of nonpublic personal information.

The initial privacy notice will be delivered with Part 2 of the Adviser’s Form ADV, the investment advisory agreement for separate accounts or subscription agreement for private investment vehicle investors that is given to customers at the start of the advisory relationship.  The annual notice will be mailed to each customer, generally accompanying the annual audited financial statements sent to investors in the private investment vehicles managed by the Adviser and/or in the annual offer to Clients of the Adviser’s Form ADV, or otherwise provided online and made available.  The CCO will review and may update the privacy notice at least annually.

The form of the Adviser’s privacy notice is maintained by the CCO and is available upon request.

3. OPT OUT NOTICE

If the Adviser plans to, in the future, disclose nonpublic personal information (other than pursuant to certain exceptions), the Adviser will provide consumers and customers a reasonable means to “opt-out” of the disclosure of that information, in compliance with Regulation S-P.  Once a consumer elects to opt-out, the Adviser will honor the election as soon as reasonably practicable.  The opt-out election remains in effect until the consumer/customer revokes it.