Item 5 – Fees and Compensation
The following paragraphs detail the fee structure and compensation methodology for services
provided by the Advisor. Each Client shall sign an Investment Advisory Agreement that details the
responsibilities of CCP and the Client.
A) Fees for Advisory Services
Investment Management and Held Away Account Services
Investment Advisory Fees are paid quarterly in advance pursuant to the terms of the Investment
Advisory Agreement. Investment Advisory Fees are based on the market value of assets under
management at the end of each calendar quarter. Our standard Investment Advisory Fees range
based on the following schedule:
Assets Under Management Annual Rate
First $2,000,000 1.75%
< $2,000,001-$5,000,000 1.35%
<$5,000,001-$10,000,000 1.00%
<$10,000,001+ Negotiable
Investment Advisory Fees in the first quarter of service are prorated to the inception date of the
account to the end of the first quarter. Fees may be negotiable at the discretion of the Advisor. All
securities held in accounts managed by CCP will be independently valued by the designated
Custodian. CCP will not have the authority or responsibility to value portfolio securities.
Consulting Services
CCP offers financial planning or consulting services on an hourly basis at a rate of up to $500 per
hour, which may be negotiable depending on the nature and complexity of each Client’s
circumstances. An estimate for total hours will be determined prior to establishing the advisory
relationship.
The Advisor’s fee is exclusive of, and in addition to, brokerage fees, transaction fees, and other
related costs and expenses, which may be incurred by the Client. The hourly fees are determined
after considering many factors, such as the level and scope of the services.
Fee Billing - Investment Management
Investment Advisory Fees may be automatically deducted from the Client Account by the
Custodian. The Advisor shall send an invoice to the Custodian indicating the amount of the fees to
be deducted from the Client Account at the respective quarter end date. It is the responsibility of
the Client to verify the accuracy of these fees as listed on the custodian’s brokerage statement as
the Custodian does not assume this responsibility. Clients provide written authorization permitting
CCP to be paid directly from their accounts held by the Custodian as part of the Investment
Advisory Agreement and separate account forms provided by the Custodian.
Financial Planning and Consulting Services Fees
Financial planning and consulting fees are generally invoiced 50% upon execution of the Financial
Planning and Consulting Agreement and 50% upon receipt of the agreed-upon deliverable.
Other Fees and Expenses
Clients may incur certain fees or charges imposed by third parties, other than CCP, in connection
with investment made on behalf of the Client’s account[s]. The Client is responsible for all
custodial and securities execution fees charged by the custodian and executing broker-dealer. The
Investment Advisory Fee charged by CCP is separate and distinct from these custodian and
execution fees.
In addition, all fees paid to CCP for investment advisory services are separate and distinct from the
expenses charged by mutual funds and exchange-traded funds to their shareholders, if applicable.
These fees and expenses are described in each fund’s prospectus. These fees and expenses will
generally be used to pay management fees for the funds, other fund expenses, account
administration (e.g., custody, brokerage and account reporting), and a possible distribution fee.
Accordingly, the Client should review both the fees charged by the fund[s] and the fees charged by
CCP to fully understand the total fees to be paid.
Advance Payment of Fees and Termination
Investment Management
CCP is compensated for its services in advance of the quarter in which investment advisory
services are rendered. Clients may request to terminate their Investment Advisory Agreement with
CCP, in whole or in part, by providing advance written notice. The Client shall be responsible for
Investment Advisory Fees up to and including the effective date of termination. Upon termination,
the Advisor will refund any unearned, prepaid Investment Advisory Fees from the effective date of
termination to the end of the quarter.
Financial Planning and Consulting Services
In the event that a Client should wish to cancel the financial planning agreement under which any
plan is being created, the Client shall be billed for actual hours logged on the planning project
times the agreed-upon hourly rate. Any surplus in the Advisor's possession as the result of
collecting a deposit at the time of signing the financial planning agreement will be returned to the
Client within 5 business days of cancellation.
Either party may terminate a planning or consulting agreement at any time by providing written
notice to the other party. In addition, the Client may terminate the agreement within five (5) days
of signing the Advisor’s financial planning or consulting agreement at no cost to the Client. After
the five-day period, the Client will incur charges for bona fide advisory services rendered to the
point of termination and such fees will be due and payable by the Client. Refunds will be given on
a pro-rata basis.
Compensation for Sales of Securities
CCP’s investment advisor representatives may be also associated as a registered representative
with American Trust Investment Services, Inc., a registered FINRA-member broker dealer.
American Trust receives compensation for securities transactions, including the sale of securities
and other investment products, such a mutual funds and limited partnerships. In their capacity as
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