Item 5 Fees and Compensation
PORTFOLIO MANAGEMENT SERVICES FEES
Our annual fees for Portfolio Management Services are based upon a percentage of assets under
management and generally range from 0.25% to 1.5%.
The annualized fee for Portfolio Management Services is charged as a percentage of assets under
management, according to the following schedule:
A minimum of $400,000 of assets under management is required for this service. This account size may
be negotiable under certain circumstances. Taylor Securities, Inc. may group certain related client
accounts for the purposes of achieving the minimum account size and determining the annualized fee.
Management personnel and other related persons of our firm are licensed as registered representatives
of a broker-dealer and/or licensed as insurance agents or brokers. In their separate capacity(ies), these
individuals are able to implement investment recommendations for separate and typical compensation
(i.e., commissions or other sales-related forms of compensation). Taylor Securities, Inc. does not receive
12b-1 fees in advisory accounts. The implementation of any or all recommendations is solely at the
discretion of the client, unless discretion has been expressly given to the Adviser by the client in writing.
Limited Negotiability of Advisory Fees: Although Taylor Securities, Inc. has established the
aforementioned fee schedule(s), we retain the discretion to negotiate alternative fees on a client-by-
client basis. Client facts, circumstances and needs are considered in determining the fee schedule. These
include the complexity of the client, assets to be placed under management, anticipated future
additional assets; related accounts; portfolio style, account composition, reports, among other factors.
The specific annual fee schedule is identified in the contract between the adviser and each client.
Discounts, not generally available to our advisory clients, may be offered to family members and friends
of associated persons of our firm.
FINANCIAL PLANNING FEES
Taylor Securities, Inc.'s Financial Planning fee is determined based on the nature of the services being
provided and the complexity of each client's circumstances. All fees are agreed upon prior to entering
into a contract with any client.
Our Financial Planning fees are calculated and charged on a fixed fee basis, typically ranging from $40
per month to $125 per month, depending on the specific arrangement reached with the client.
The client is billed in arrears on a monthly basis as earned.
GENERAL INFORMATION
Termination of the Advisory Relationship: A client agreement may be canceled at any time, by either
party, for any reason upon receipt of 30 days written notice. Upon termination of any account, any
prepaid, unearned fees will be promptly refunded, and any unpaid fees will be prorated accordingly.
Mutual Fund Fees: All fees paid to Taylor Securities, Inc. for investment advisory services are separate
and distinct from the fees and expenses charged by mutual funds and/or ETFs to their shareholders.
These fees and expenses are described in each fund's prospectus. These fees will generally include a
management fee, other fund expenses, and a possible distribution fee. If the fund also imposes sales
charges, a client may pay an initial or deferred sales charge. A client could invest in a mutual fund
directly, without our services. In that case, the client would not receive the services provided by our firm
which are designed, among other things, to assist the client in determining which mutual fund or funds
are most appropriate to each client's financial condition and objectives. Accordingly, the client should
review both the fees charged by the funds and our fees to fully understand the total amount of fees to be
paid by the client and to thereby evaluate the advisory services being provided.
Wrap Fee Programs and Separately Managed Account Fees: Clients participating in separately
managed account programs may be charged various program fees in addition to the advisory fee
charged by our firm. Such fees may include the investment advisory fees of the independent advisers,
which may be charged as part of a wrap fee arrangement. In a wrap fee arrangement, clients pay a
single fee for advisory, brokerage and custodial services. Client's portfolio transactions may be executed
without commission charge in a wrap fee arrangement. In evaluating such an arrangement, the client
should also consider that, depending upon the level of the wrap fee charged by the broker-dealer, the
amount of portfolio activity in the client's account, and other factors, the wrap fee may or may not
exceed the aggregate cost of such services if they were to be provided separately. We will review with
clients any separate program fees that may be charged to clients.
Additional Fees and Expenses: In addition to our advisory fees, clients are also responsible for the fees
and expenses charged by custodians and imposed by broker dealers, including, but not limited to, any
transaction charges imposed by a broker dealer with which an independent investment manager effects
transactions for the client's account(s). Please refer to the "Brokerage Practices" section (Item 12) of this
Form ADV for additional information.
Grandfathering of Minimum Account Requirements: Pre-existing advisory clients are subject to Taylor
Securities, Inc.'s minimum account requirements and advisory fees in effect at the time the client
entered into the advisory relationship. Therefore, our firm's minimum account requirements will differ
among clients.
ERISA Accounts: Taylor Securities, Inc. is deemed to be a fiduciary to advisory clients that are employee
benefit plans or individual retirement accounts (IRAs) pursuant to the Employee Retirement Income
...