ITEM 5 – FEES AND COMPENSATION
A. Describe how you are compensated for your advisory services. Provide your fee schedule. Disclose whether
the fees are negotiable.
Our stated annual fee schedule is shown below:
1.00% for accounts between $100,000 and $2,000,000 in value
0.75% for accounts between $2,000,001 and $5,000,000 in value
Accounts over $5,000,000 are negotiated
Please Note: Fees On Margin Balances: We do not use margin as part of our normal investment strategies unless
you specifically direct us to do so. Certain clients use margin loans on their accounts for different reasons and
Garrison Asset Management, LLC – Firm Brochure – Part 2A of Form ADV – November 20, 2024
605 W. Dickson St. • Suite 201 • Fayetteville, AR 72701 • 479-587-1045 • www.GarrisonFinancial.com
strategies related to their ongoing investment goals, risk tolerances, and time horizons. For example, some clients
use margin as funding for additional investment opportunities. Based on the reasons and goals for use of margin
balances, and upon discussion with you, we may or may not charge a fee on the higher margin balances within your
accounts. Fees are charged on a case by case basis. However, there may be incidental, short term margin balances
in your account for example when trades settle prior to availability of funds or when you overdraw your account due
to insufficient funds on a check or debit card transaction in your account. Margin balances my also occur when you
request a withdrawal from your account prior to settled funds being available to cover such a withdrawal. Please
Also Note: However, when you elect to margin your account for any reason, and when we bill on the higher margin
balance, this creates a conflict of interest between us and you. Because we may earn a fee on this higher margin
balance, we have a disincentive to encourage you to reduce or eliminate the margin balance on your account.
Fee Dispersion. In our discretion, we may charge a lesser or higher investment advisory fee, charge a flat fee, waive
appliable minimum asset or minimum fee levels, waive its fee entirely, or charge fee on a different interval, based
upon certain criteria (i.e. anticipated future earning capacity, anticipated future additional assets, dollar amount of
assets to be managed, related accounts, account composition, complexity of the engagement, anticipated services to
be rendered, grandfathered fee schedules, employees and family members, courtesy accounts, referrals from existing
clients, competition, negotiations with client, etc.). Please Note: As result of the above, similarly situated clients
could pay different fees. In addition, similar advisory services may be available from other investment advisers for
similar or lower fees.
Please Note: Fees On Cash Balances and Money Market Mutual Funds: In times of very low market interest rates
our fee on your cash balances and money market mutual funds may exceed the amount of interest earned on these
funds. Although we will not generally hold significant cash balances in your accounts for extended periods of time,
we do consider cash to be an asset class subject to our investment discretion. During times of market volatility and
at other times, in our sole discretion, we may increase the cash balance and/or money market mutual fund balance in
your account. As such, our fee will be charged on cash balances and money market mutual fund balances held in
your account and will be considered as part of your assets under management with us when we calculate our fee.
Certain account fees are negotiated based on the nature, size and extent of the investment advisory services
provided. Our fees for charitable, non-profit and eleemosynary organizations are negotiated based on the nature,
size and extent of the investment advisory services provided.
When acting as Manager in a sub-advisory capacity for other Advisors, our fees are negotiated based on the nature,
size and extent of investment advisory services provided.
Subject to negotiation, our compensation is payable after the rendering of services is complete (in arrears), generally
on a quarterly basis, and our investment advisory contracts are terminable by either party upon notice. You may
Garrison Asset Management, LLC – Firm Brochure – Part 2A of Form ADV – November 20, 2024
605 W. Dickson St. • Suite 201 • Fayetteville, AR 72701 • 479-587-1045 • www.GarrisonFinancial.com
terminate our contract immediately upon notice to us and we may terminate our contract upon thirty (30) days’
notice to you. Please see your contract with us for additional information.
Our contract is terminable, without penalty, on the day we receive written notice of your desire to terminate. We
must provide you with 30 days written notice if we desire to terminate our contract with you. Following
termination, we will generally take no further action with respect to your account without your prior written
instructions.
Investment advisory fees that are earned and payable are prorated through the day of contract termination.
In order to hire us to be your investment advisor you will be required to sign an Investment Management Agreement
designating us as your advisor and you may also be required to sign an Investment Policy Statement as mentioned
above. You will also be required to sign the necessary documents to open and establish an investment account at the
safe-keeping, custodial institution of your choice.
You may terminate your Investment Management Agreement with us at any time upon written notice to us and there
is no financial penalty to do so. We will simply prorate the fee you owe us for our services up to and including the
date of termination.
As mentioned earlier, we are a “fee-based” investment manager. This means that under our fee-based arrangement
we charge you a fee to manage your investment portfolio.
...