As of January 1, 2003 all new HYD clients will fall under our new fee structure outlined below.
Our management fee is among the lowest in the industry. Like many advisors, we have a tiered, cumulative fee structure based on assets under management (AUM) where AUM is the combined value of all accounts you have with us. Our only source of management revenue is the fee we charge to you directly, we do not earn any commissions or other compensation on trades nor are we reimbursed by any third party.
|
Minimum Annual Fee is $1,350 Minimum Assets Under Management (AUM) is $100,000 | ||
| Tier | Applies to AUM | Annual Fee |
|---|---|---|
| 1 | $100,000 - 250,000 | 0.70% of account or $1,350, whichever is greater |
| 2 | $250,001 - 500,000 | Tier 1 maximum fee plus 0.40% of amount in Tier 2 |
| 3 | $500,001 - 1,000,000 | Tier 2 maximum fee plus 0.25% of amount in Tier 3 |
| 4 | $1,000,001 - 1,500,000 | Tier 3 maximum fee plus 0.10% of amount in Tier 4 |
| 5 | Over $1,500,000 | Flat 0.30% of total AUM |
The actual fee is calculated and billed quarterly in arrears. For example, if you have a $600,000 account, at the end of each calendar quarter you will be billed one quarter of the sum of: 0.70% of the first $250,000 plus 0.40% of the next $250,000 plus 0.25% of the last $100,000. This is equivalent to 0.50% annually. The fee for various accounts (to the nearest dollar) is calculated below:
|
| ||
| AUM | Quarterly Fee | Annual Equivalent |
|---|---|---|
| 100,000 | $338 | 1.35% |
| 150,000 | $338 | 0.90% |
| 200,000 | $350 | 0.70% |
| 250,000 | $438 | 0.70% |
| 300,000 | $488 | 0.65% |
| 350,000 | $538 | 0.61% |
| 400,000 | $588 | 0.59% |
| 450,000 | $638 | 0.57% |
| 500,000 | $688 | 0.55% |
| 550,000 | $719 | 0.52% |
| 600,000 | $750 | 0.50% |
| 650,000 | $781 | 0.48% |
| 700,000 | $813 | 0.46% |
| 750,000 | $844 | 0.45% |
| 800,000 | $875 | 0.44% |
| 850,000 | $906 | 0.43% |
| 900,000 | $938 | 0.42% |
| 950,000 | $969 | 0.41% |
| 1,000,000 | $1,000 | 0.40% |
| 1,250,000 | $1,063 | 0.34% |
| 1,500,000 | $1,125 | 0.30% |
| 1,750,000 | $1,313 | 0.30% |
| 2,000,000 | $1,500 | 0.30% |
| 2,500,000 | $1,875 | 0.30% |
| 5,000,000 | $3,750 | 0.30% |