Item 5 – Fees and Compensation
MANAGED ACCOUNT PROGRAM
For providing services to the Client, the Client will be assessed the following annual fees. The following fees are
negotiable between the Advisor and Client; however, no fee may exceed the stated level below listed.
Asset Under Management Standard Fee
$ 0 - $ 249,999 2.00%
$ 250,000 - $ 749,999 1.75%
$ 750,000 - $1,999,999 1.25%
$2,000,000 + 0.75%
*Lower fees for comparable services may be found from other sources.
The annual fees provided above are payable in advance or in arrears of services rendered subject to agreement by
the Advisor and Client. The frequency of billing can be monthly or quarterly subject to agreement by the Advisor and
Client.
Client assets are billed on the value of the assets in the Client’s account as of the last calendar day of the billing
cycle, which is based on the above selection about the frequency of billing. Client assets are billed based on the
value of each account(s) managed by the Advisor, not the aggregate household amount.
For initial billing of a new Client, the Client will be billed on a pro-rata basis for the time period from when the first
purchase or sale transaction takes place in their account(s) until the end of the billing cycle, whether monthly or
quarterly. In the case of a Client selecting in advance billing, this means a Client will not receive an invoice or their
account(s) will not otherwise be debited until after the first transaction has taken place.
For initial billing on new accounts established by an existing Client, the Client will be billed on a pro-rata basis for the
time period from when the first purchase or sale transaction takes place in their new account(s) until the end of the
billing cycle. However, if the new account(s) are funded by assets already being managed by the Advisor, no initial
billing will take place. The Advisor has already collected fees on the assets in the existing/ predecessor account, if
billed in advance, or will be collecting fees on the account, if billed in arrears.
The Client typically authorizes the Advisor and custodians to debit fees for the Client's account(s) under management
by the Advisor. Refer to Item 15 for a more complete discussion of the process of debiting fees.
The Client may also incur additional charges from the broker/dealer and custodian. Such fees include account
maintenance fees, safekeeping fees, administrative fees, transfer fees, and transaction expenses, such as ticket
charges and mailing and posting charges. For mutual funds, the Advisor will seek to purchase mutual funds not
possessing a sales charge; however, in some instances the Advisor will need to purchase a mutual fund with a sales
charge since a comparable mutual fund without a sales charge is not available in meeting the Client's objectives. For
mutual funds and exchange traded funds, the Client will incur product related administrative and operational charges.
If the Client or Advisor desires to terminate their relationship with the Advisor or Client, respectively, written notice
shall be provided by the Client to the Advisor, or vice versa. Said termination shall be effective immediately upon
receipt of the termination notice by the other party unless mutually agreed otherwise by the Client and Advisor.
Client's death shall not terminate the authority granted to the Advisor until the Advisor has received actual
notification of said death. Any fees for the Managed Account Program paid in advance for which services have not
been rendered will be refunded on a pro rata basis. The Client has the right to terminate the relationship without
penalty within five business days of executing the Agreement. For terminations within five business days of executing
the Investment Advisory Agreement, the Client will be entitled to a full refund of any monies paid to the Advisor.
Item 12 further describes the factors the Advisor considers in selecting or recommending broker/dealers for client
transactions and determining the reasonableness of their compensation (e.g., commissions).
FINANCIAL PLANNING PROGRAMS
Comprehensive Financial Planning
The Client will be assessed a maximum fee of $15,000. The fee can be negotiated between the Client and the
Advisor. For the Client to negotiate the fee, the Client must communicate to the agent of the Advisor in writing or
orally their desire to pay an alternative amount. Prior to providing any such services, the agent of the Advisor and
Client must agree to the amount of compensation negotiated, which will be stated in the Financial Planning
Agreement.
A portion of the fee will be payable upon execution of an agreement for services with the remaining amount due
within one month of completion of the service. Clients will receive invoices from the Advisor for Services. Services will
be rendered to the Client within six months of entering into an agreement. Lower fees for comparable services
may be found from other sources.
If the Client or Advisor wishes to terminate their relationship with the Advisor or Client, respectively, written
notice shall be provided by the Client to the Advisor, or vice versa. Said termination shall be effective
immediately upon receipt of the termination notice by the other party. Client’ death shall not terminate the
authority granted to the Advisor hereunder until the Advisor has received actual notification of said death.
The Client will not be eligible for a refund if the Advisor has provided a customized written report of all analyses
and recommendations. If a customized written report has not been provided to the Client, the Client will receive
a refund of their entire amount paid in advance if notice is received within five business days of execution of an
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