LPL Enterprise LLC

Item 5: Fees and Compensation
Financial Planning & Consulting Services
Clients generally pay either a flat or hourly fee as stated in Schedule A to the client agreement and will be billed at
such frequency (e.g., upfront, monthly, quarterly or annually) as negotiated with the IAR. These fees typically range
from $0 to $15,000, or up to $500 per hour, but may exceed this amount depending on the frequency and scope of
complexity of the financial planning engagement. The IAR may elect to provide these services on a discounted or
complimentary basis for no fee. Clients should understand that the fee client negotiates with IAR for these services
will be higher than the fees charged by other investment advisors for similar services in certain circumstances and
particularly, if the fee is at or near the maximum fees set out above. The IAR is responsible for determining the fee to
charge each client based on factors such as total amount of assets involved in the relationship, the complexity of the
planning services, and the number and range of supplementary advisory and client-related services to be provided.
Clients should consider the level and complexity of the planning services to be provided when negotiating the fee with
IAR.

A58 – LPLE – 0726
LPL Financial, Member FINRA/SIPC                             4

LPL Enterprise, LLC Firm Brochure

Clients may pay the financial planning fee by check made payable to LPL Enterprise, LLC. In the alternative, clients
may instruct and authorize LPL to debit the fee on a one-time or reoccurring basis either (i) from a non-retirement
account of the client custodied at LPL or (ii) through an LPLE approved third party payment processing service.
The client may terminate their services agreement at any time and request a refund of unearned fees, if any, based
on the time and effort of services completed prior to termination of the agreement.

TAMP – Co-Investment Advisory Model
For co-investment advisory TAMP arrangements, LPLE and the TAMP sponsor each charge an advisory fee to the
client for their respective services as indicated in the TAMP sponsor’s account paperwork. The LPLE IAR negotiates
the fee payable to LPLE typically up to a maximum of 2% (but may be higher in certain circumstances) and the TAMP
sponsor often discloses a standardized fee schedule with a set minimum or maximum fee, though its fees may also
be negotiable. The advisory fee is ordinarily based on the value of assets under management as calculated by the
designated custodian, which generally deducts and pays fees to LPLE and the TAMP sponsor either quarterly in arrears
or in advance, although some arrangements may support monthly fees. The total advisory fee is often paid to the
TAMP sponsor which in turn pays the agreed upon portion to LPLE. LPLE typically shares between 90% to 100% of the
advisory fee with the financial institution with which the IAR is affiliated or an affiliate of such financial institution The
program agreements and/or disclosure brochures provided by LPLE and the TAMP sponsor will outline how a client
may terminate a TAMP arrangement and request a refund of any pre-paid unearned fees.
There are other fees and charges imposed by the TAMP sponsor or third parties that apply to investments in TAMP
accounts. Some of these fees and charges are described below and should also be outlined in the TAMP sponsors’
respective disclosure brochures as applicable. The client will be charged commissions, markups, markdowns, or
transaction charges by the broker-dealer who executes transactions in the TAMP account. There also are custodial
related fees imposed by the custodian of assets for the program account. These additional fees and charges will be
set out in the TAMP disclosure brochure and the agreements executed by the client at the time the account is opened.
LPLE does not share in any of the transaction fees or custodial fees associated with TAMP accounts.
If assets are invested in mutual funds, ETFs or other pooled funds, there are two layers of advisory fees and expenses
for those assets. Client will pay an advisory fee to the fund manager and other expenses as a shareholder of the fund.
Client will also pay the TAMP advisory fee with respect to those assets. The mutual funds and ETFs available in the
programs often may be purchased directly. Therefore, clients could avoid the second layer of fees by not using the
advisory services of the TAMP and IAR and by making their own decisions regarding the investment.
A mutual fund in a TAMP account may pay an asset based sales charge or service fee (e.g., 12b-1 fee) that is paid to
the broker-dealer on the account. LPLE and LPLE IARs generally are not paid these fees for TAMP accounts.
If client transfers into a TAMP account a previously purchased mutual fund, and there is an applicable contingent
deferred sales charge on the fund, client will pay that charge when the mutual fund is sold. If the account is invested
in a mutual fund that charges a fee if a redemption is made within a specific time period after the investment, client
will be charged a redemption fee. If a mutual fund has a frequent trading policy, the policy can limit a client’s
transactions in shares of the fund (e.g., for rebalancing, liquidations, deposits, or tax harvesting).
If client holds variable annuity or variable universal life insurance subaccount assets that are managed as part of a
TAMP account, there are mortality, expense and administrative charges, fees for additional riders on the contract and
charges for excessive transfers within a calendar year imposed by the sponsor. If client holds a UIT in a TAMP account,
UIT sponsors charge creation and development fees or similar fees. Further information regarding fees assessed by a
mutual fund, variable annuity, variable universal life insurance product, or UIT is available in the appropriate
prospectus, which clients may request from IAR.
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Item 7: Types of Clients
LPLE’s advisory services are available for individuals, individual retirement accounts (IRAs), banks, thrift institutions,
credit unions, pension and profit-sharing plans, including plans subject to ERISA, participants in such plans, trusts,
estates, charitable organizations, state and municipal government entities, corporations and other business entities.
LPL requires a minimum asset value for an MWP account to be managed, as disclosed in the MWP Program Brochure.
LPLE does not require a minimum asset amount for financial planning and consulting services.
For TAMPs, the TAMP sponsor typically establishes a minimum account value, which will be set out in the account
opening documents and Form ADV Part 2A of the TAMP sponsor.