FEES AND COMPENSATION
LEONARD & CO. INVESTMENT MANAGEMENT FEE SCHEDULE
Our investment management fees for the Leonard Elite Asset Management Program
account are based on a percentage of the account value as reported by your broker or other
qualified custodian. We bill fees quarterly in advance during the first month of each calendar
quarter (January, April, July, October). The first billing cycle begins on the account inception
date and is based on the account value on the inception date as determined by your broker-dealer
or other qualified custodian. We prorate the fee for new accounts based on the number of days
remaining in the calendar quarter. The quarterly billing value is equal to the closing market value
of the account on the last business day of the quarter. Fees are based on actual number of days in
the quarter.
In certain circumstances, we may negotiate fees based on the aggregate value of related
accounts, the complexity of the account, or similar factors. We will specify the amount and the
Part 2A of Form ADV 5 Leonard & Company
manner in which we charge fees in our written agreement with you. Generally, our standard fees
are as follows:
Total Account Value Annual Fee
$10,000 - $249,999 3.0%
$250,000 - $499,999 2.5%
$500,000 - $749,999 2.0%
$750,000 - $999,999 1.5%
$1,000,000 - $1,499,999 1.25%
$1,500,000 - $1,999,999 1.0%
Amount over $2,000,000 Negotiable
You may choose to be billed directly for fees, or to authorize us to directly deduct fees,
from your account. Generally, our clients authorize us under the Investment Management
Agreement to directly deduct our fees from the account. If you provide us such authorization,
the custodian’s periodic statements will show each fee deduction from your account. You may
withdraw this authorization for direct billing of these fees at any time by notifying us or your
custodian in writing.
You may terminate our Investment Management Agreement without penalty, at any time,
by written notice. Since we bill investment management fees quarterly in advance, if you
terminate our agreement, we will return a prorated amount of the unearned fee to you.
In addition to our advisory fees, you may incur brokerage commissions, ticket charges,
transaction fees, and other related costs and expenses. You may also incur certain charges
imposed by custodians, brokers, third-party investment managers, and other third-parties, such as
fees charged by managers, custodial fees, deferred sales charges, odd-lot differentials, transfer
taxes, wire transfer and electronic fund fees, other fees and taxes on brokerage accounts and
securities transactions.
FINANCIAL PLANNING AND CONSULTING FEES
We will prepare a quoted rate for a comprehensive financial plan, ranging from $500 to
$5,000, or on an hourly rate ranging from $150 to $300, based on the complexity of the project
and the representative’s seniority performing the services.
In our discretion, we may waive or offset a portion or all of the financial planning fees, if
you choose to implement your financial plan using our investment management services. We
reserve the right to determine whether the financial planning and/or consulting fees will be
waived or offset by a portion of advisory fees earned in the implementation process. The scope
and complexity of the financial planning services that were provided will determine the amount
of the waiver or the offset of the fee.
Part 2A of Form ADV 6 Leonard & Company
RBC CORRESPONDENT SERVICES ADVISORY FEES
All RBC Correspondent Services Advisory program fees described in this section are
based on a percentage of the account value as reported by RBC as custodian. RBC bills fees
quarterly in advance during the first month of each calendar quarter (January, April, July,
October). The first billing cycle begins on the account inception date and is based on the account
value on the inception date. RBC prorates the fee for new accounts based on the number of days
remaining in the calendar quarter. The quarterly billing value is equal to the closing market value
of the account on the last business day of the quarter. Fees are based on actual number of days in
the quarter. RBC also will adjust fees proportionately based on the value of cash or securities,
added to or withdrawn, from the account between billing periods. If such value is greater than
$25,000, or 15% of the account value, you will receive a fee adjustment.
You have three options for paying advisory fees: 1) by invoice in the mail; 2) by
authorizing RBC to deduct the amount of the fees from the account; or 3) by directing RBC to
deduct fees from another RBC account. Generally, our clients authorize RBC under the
investment management agreement to directly deduct fees from the account. If you provide such
authorization, the custodian’s periodic statements will show each fee deduction from your
account. You may withdraw this authorization for direct billing of these fees at any time by
notifying us or RBC in writing.
You may terminate any of the RBC advisory program investment management
agreements, without penalty at any time, by written notice. Since RBC bills investment
management fees quarterly in advance, if you terminate an agreement, RBC will return a
prorated amount of the unearned fee to you.
Unless otherwise indicated in the specific RBC program disclosure brochure, you may
incur brokerage commissions, ticket charges, transaction fees, other related costs and expenses,
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