Common use of Advisor fee Clause in Contracts

Advisor fee. The Advisor Fee is an annual fee for the investment advisory services of IAR that is set out in the Account Application. The Advisor Fee is a straight percentage based on the value of all assets in the account, including cash holdings. The Advisor Fee will not exceed 2.00%. The Advisor Fee is negotiable between the client and the IAR and is shared between LPL and the IAR. LPL shares up to 100% (typically between 90% and 100%) of the Advisor Fee with the IAR based on the agreement between LPL and the IAR. A portion of the Advisor Fee to the IAR may be paid by the IAR to his or her LPL branch manager or another LPL representative for supervision or administrative support. Strategist Fee. Depending upon the model selected for the account, clients will pay a fee for the model portfolio design services of a Portfolio Strategist. This fee presently ranges from 0% to 0.20%. A list of the current models and their associated fee rates are set out below. For Portfolios designed by Portfolio Strategists other than LPL and IAR, LPL pays all or a portion of the Account Fee to the Portfolio Strategist. LPL Program Fee. Clients will pay a fee for the investment advisory, administrative, trading and custodial services of LPL according to the schedule set out below, and depending on the investment model selected for the account. The schedule below indicates the Program Fee for models under Program Fee A and B. LPL determines whether a model is under Program A or B based on the strategic or tactical investment mandate of the model.