Fees and Compensation — Form ADV Part 2A (1/15/2016)
[Brochure]
Item 5 Fees and Compensation
Our fees are negotiable on a case by case basis, but the following shows our current structure, and
ranges therein:
Investors who have us manage their equities, build bond portfolios, or both get charged based on
total assets under management. The rate varies based on the size, and complexity, but generally
falls within the range of 0.25% - 0.75%. DM Hess Investments bills clients directly on a quarterly
basis.
Investors who invest in our partnerships get charged only if the partnership is up. We receive 20%
of net profits up to 30% of the opening capital balance for the period, plus 35% of such net profits
exceeding 30% of the opening capital balance for the period, but not greater than 50% of such
opening capital, and plus 50% of such net profits exceeding 50% of the opening capital balance of
the partnership for the period. These fees are deducted from clients' accounts annually.
Investors directly or indirectly pay all brokerage fees.
Account Minimums and Types of Clients — Form ADV Part 2A (1/15/2016)
[Brochure]
Item 7 Types of Clients
All clients are accredited investors defined as follows:
1- Investors either have a net worth of over one million dollars ($1,000,000).
or
2- Investors have an annual income in excess of two hundred thousand dollars ($200,000) for each
of the past two years.
DM Hess Investments advises individuals, trusts, and limited partnerships.