Fees and Compensation
Financial Planning
Broker-dealers and other financial
We can prepare and provide you with a institutions that hold client accounts are
written financial plan designed to help referred to as custodians (“custodian/
you achieve your financial goals and broker-dealer”). Your custodian/broker-
investment objectives. The preparation dealer determines the values of the assets
of such a plan necessitates that you in your portfolio. Our fee is calculated
provide us with personal data such as: based upon the market value of the
assets in your account on the last day of
➢ family records, the previous quarter. Fees for the initial
➢ budgeting, quarter are based on the value of your
➢ personal liability, cash and securities on the date the
➢ estate information and custodian/broker-dealer receives them
➢ additional financial goals. and are prorated based upon the number
of calendar days in the calendar quarter
The financial plan will include any or all that our agreement is in effect.
of the following as requested or directed
by you and agreed by contract: You may choose from several different
wrap programs. Wrap pricing structures
➢ asset protection, allow you to pay an all-inclusive fee for
➢ tax planning, management, brokerage, clearance,
➢ business succession, custody and administrative services.
➢ strategies for exercising stock options, Kalos Management does not offer a non-
➢ cash flow, wrap fee account. These accounts charge
➢ education planning, separately for transaction charges, the
➢ estate planning and wealth transfer, advisory and administrative fees. We
➢ charitable gifting, may charge accounts that do not meet
➢ long-term care and disability minimum asset thresholds a nominal fee
planning, on a quarterly basis.
➢ retirement planning,
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The fee that you pay for a wrap fee Our fee schedule is as follows:
account includes payment of all
brokerage commissions and other Advisory Services
trading costs. However, the fee would Fee Schedule
not include mark-ups, markdowns, or
payment of brokerage commissions from Maximum
transactions made by a custodian other Account Size Account Fee
that the custodian chosen by the $0 – $999,999 2.75%
manager of the wrap fee program.. Such $1,000,000 - $1,999,999 2.10%
brokerage commissions, mark-ups or $2,000,000 - $4,999,999 1.80%
Above $5,000,000 1.55%
markdowns, and other costs would be
charged to you in addition to the
advisory fee.
The wrap fees may be higher or lower
than if such services were obtained Account Fees are negotiable. Some
separately. Generally, wrap programs are deciding factors can include the size of
relatively less expensive for actively the account, the complexity of your
traded accounts. However, they often financial situation or investment strategy,
result in higher overall costs to the client and your choice of Investment
in accounts that experience little trading Professional.
activity.
You must authorize us in writing to have
Most brokers and custodians charge the custodian/broker-dealer pay us
transaction fees to place trades for your directly by charging your account. One-
account. These fees are charged by the fourth of the annual fee is charged each
broker or custodian to cover their costs. calendar quarter. Your custodian/
Transaction fees vary by broker and broker-dealer will provide you with
custodian. In a wrap account those statements that show the amount paid
charges are covered by the wrap fee. directly to us. You should review and
Please ask us for details on transaction verify the calculation of our fees. Your
fees and commissions specific to your custodian/broker-dealer does not verify
account. the accuracy of fee calculations.
Depending upon the wrap fee program
chosen you could be required to pay
other charges such as:
➢ custodial fees;
➢ SEC fees;
➢ internal fees and expenses charged by
mutual funds; variable annuities;
interval funds, DPPs, and exchange
traded funds (“ETFs”);
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➢ brokerage account maintenance fees; In certain situations, we recommend on a
and nondiscretionary or discretionary basis
➢ other fees and taxes on brokerage that you invest some or all of your assets
accounts and securities transactions. under our management in the
Wildermuth Fund (the “Fund”), for
Review the wrap brochure for fees you which an affiliate serves as investment
will be responsible for. adviser. A description of the investment
...