Item 5. Fees and Compensation
Consulting Services Fees
Hinduja-Lynx’s standard consulting fees are based on assets under management using the schedule below:
1% per year on the first $1 million
.75% per year on the next $4,000,000
.60% per year on the next $15,000,000
.50% per year on the next $20,000,000
Negotiable on assets above $40,000,000
The amount of the fee for each client is negotiated on a case by case basis. The fees are for Hinduja- Lynx’s
advisory services only and do not include transactions fees, brokerage commissions or other management
fees charged by non-affiliated third parties (such as custodians, separate account managers, mutual funds,
etc.) that Hinduja-Lynx may recommend and with whom the client may invest. Unless there is a client - or
manager - specific reason not to, Hinduja-Lynx recommends custodians such as Schwab and Fidelity,
whose transaction and brokerage fees are typically $0 for equities/ETFs and $25 for mutual funds (with
certain mutual fund companies at $45 a trade). Actual trading costs will vary depending on the number of
shares traded and the value of client assets held at the particular custodian. When recommending mutual
funds, Hinduja-Lynx recommends institutional class shares when available, in order to provide the lowest
expense ratios available to the client for a specific fund. Regardless of the share class designation, funds are
always no-load.
For new client accounts, the fee will begin on the first day of the month following the month in which
Hinduja-Lynx accepts the account. Fees are generally paid quarterly, in advance, based on the value of the
client’s account as of the close of the previous business quarter, unless otherwise negotiated with the client
and provided for in their contract. Any contributions made during a calendar quarter will cause an
adjustment to the advisory fee. No adjustment or refund will be made with respect to partial withdrawals
during any calendar quarter. Hinduja-Lynx’s service may be terminated by either party upon written
notification in accordance with the applicable contractual notice of termination. Upon termination, the fees
charged for advisory services will be pro-rated and a refund for any unearned fees will be issued.
In some cases fees may be paid quarterly in arrears. In the event of such a fee schedule, Hinduja-Lynx is
entitled to the portion of the advisory fee earned during the quarter until the termination of the advisory
agreement. Hinduja-Lynx may offer clients who request it a fixed fee for its services.
Clients may choose to be billed directly or have their fees directly deducted from a custodial account. In
both cases, the client will receive a separate copy of each invoice, describing in detail the basis for their fee
calculation.