Item 5 Fees and Compensation
A. The client can determine to engage Hopkins Investment Management to provide discretionary and/or
non-discretionary investment advisory services on a fee-only basis.
INVESTMENT ADVISORY SERVICES
The client can determine to engage Hopkins Investment Management to provide discretionary and/or
non-discretionary investment advisory services on a fee-only basis. Hopkins Investment
Management’s annual investment advisory fee is based upon a percentage (%) of the market value of
the assets placed under Hopkins Investment Management’s management (between 0.80% and 1.50%)
as follows:
Market Value of Portfolio % of Assets
$0 to $250,000 1.50%
$250,001 to $500,000 1.25%
$500,001 to $1,000,000 1.00%
$1,000,001 and above 0.80%
The value used to calculate Hopkins Investment Management’s fee will include any allocation to cash
or cash-like instruments, such as money market funds or accounts, of the client’s investable assets.
Investable cash means cash that is in client account as an asset allocation. Cash that is not in investable
cash is cash that has been identified by the client as designated for a specific purpose.
Some clients pay lower fees than those outlined in the fee schedule above, and some clients pay higher
fees. For example, a client may elect to have a portion of their assets allocated to Hopkins Investment
Management’s Globig Strategy, which is a proprietary momentum-based investment program that
tactically allocates assets among mutual funds and exchange traded funds on an ongoing discretionary
basis. Hopkins Investment Management’s annual flat fee for client assets placed into the Globig
Strategy can be as high as 3.00% for some clients, which is higher than normally charged in the
industry. All clients, but especially those with smaller accounts, should be advised they may receive
similar services from other professionals for higher or lower overall costs.
FINANCIAL PLANNING AND CONSULTING SERVICES (STAND-ALONE)
To the extent specifically requested by a client, Hopkins Investment Management may determine to
provide financial planning and/or consulting services (including investment and non-investment
related matters, including estate planning, insurance planning, etc.) on a stand-alone separate fee-only.
Hopkins Investment Management’s planning and consulting fees are negotiable, but generally range
from $500 to $10,000 on a fixed fee basis, and from $150 to $350 on an hourly rate basis, depending
upon the level and scope of the service(s) required and the professional(s) rendering the service(s).
B. Clients may elect to have Hopkins Investment Management’s advisory fees deducted from their
custodial account. Both Hopkins Investment Management's Investment Advisory Agreement and the
custodial/ clearing agreement may authorize the custodian to debit the account for the amount of
Hopkins Investment Management's investment advisory fee and to directly remit that management fee
to Hopkins Investment Management in compliance with regulatory procedures. In the limited event
that Hopkins Investment Management bills the client directly, payment is due upon receipt of Hopkins
Investment Management’s invoice. Hopkins Investment Management shall deduct fees and/or bill
clients quarterly in advance and/or arrears, depending upon the client’s portfolio, based upon the
market value of the assets on the last business day of the previous quarter.
C. As discussed below, unless the client directs otherwise or an individual client’s circumstances require,
Hopkins Investment Management shall generally recommend that Charles Schwab and Co., Inc.
(“Schwab”) serve as the broker-dealer/custodian for client investment management assets. Broker-
dealers such as Schwab charge brokerage commissions and/or transaction fees for effecting certain
securities transactions (i.e. transaction fees are charged for certain no-load mutual funds, commissions
are charged for individual equity and fixed income securities transactions). In addition to Hopkins
Investment Management’s investment management fee, brokerage commissions and/or transaction
fees, clients will also incur, relative to all mutual fund and exchange traded fund purchases, charges
imposed at the fund level (e.g. management fees and other fund expenses). Hopkins Investment
Management’s billing practices may involve aggregating related accounts. This may enable Hopkins
Investment Management clients to achieve breakpoint discounts.
D. Hopkins Investment Management's annual investment advisory fee shall be prorated and paid
quarterly, in advance and/or arrears, depending upon the client’s portfolio, based upon the market
value of the assets on the last business day of the previous quarter. This means that if the client’s
annual fee is 1.00%, then each quarter we will multiply the value of the account by 1.00% then divide
by 4 to calculate our fee. Once the calculation is made, we will instruct the client’s account custodian
to deduct the fee from the client’s account and remit it to Hopkins Investment Management. Hopkins
Investment Management does not generally require an annual minimum fee or asset level for
investment advisory services. Hopkins Investment Management, in its sole discretion, may reduce
and/or waive its investment management fee or charge an annual minimum fee based upon certain
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