advisory fee

Management Fee

A fee that an investment advisory firm charges for making investment decisions on behalf of a client. Asset management often opens up more potential investment vehicles to the client, and, theoretically, asset managers have more knowledge and experience in making appropriate investment decisions than the client. Managers charge fees for these services. Usually, the fee is a small percentage of the assets under management, but because asset management is often open only to institutional investors and high net-worth individuals, the management fee is usually a large dollar amount. It is also called an advisory fee.

advisory fee

References in periodicals archive ?
Full-service brokerage accounts have two types of fee structures -- on a commission or advisory fee basis.
The client also had an advisory fee agreement with the firm and the third-party custodian that authorized the firm to withdraw fees of up to $3,000 a month from the client's account.
In such event, in addition to the ongoing advisory fee earned by the advisory firm, the rep can receive an ongoing portion of the 12b-1 compensation.
BANKING AND CREDIT NEWS-February 18, 2014--Federated Fund board OKs advisory fee cut, buyback extension
This Comment recommends ways to augment mutual fund advisory fee disclosure requirements by including structured illustrations of fund performance and fees, as well as detailed discussions justifying recent changes in such fees.
Thus, to the extent the taxpayer can demonstrate that a portion of the financial advisory fee relates to services (other than inherently facilitative services) provided by the financial advisers before the bright-line date, the taxpayer can deduct that portion.
Nonetheless, anonymous sources tell the JofA that fees for fairness opinions often amount to about 25% of the advisory fee on a deal, although that may vary according to the deal's size.
This further voluntary waiver is now being extended for another year and at a greater fee reduction level so that the annual rate of the advisory fee on the first $200 million of the Fund's average weekly net assets is reduced by an additional 0.
The Court noted that there might be investment advisory fees that would be fully deductible "if an investment advisor were to impose a special, additional charge applicable only to its fiduciary accounts" or that a trust might have an unusual investment objective or require special balancing of the beneficiaries' interests, in which case the incremental advisory fee, beyond what would have been charged to an individual, might be fully deductible.
In 2008, for example, Olympus paid a $687 million advisory fee on its $2.
together, the "Julius Baer Funds") announced to shareholders a clarification of the description included in the Proxy Statement dated March 10, 2008 ("Proxy Statement") with respect to the frequency of investment advisory fee payments.
The substantial increase in our advisory fee revenue reflects our continued success in improving existing and offering new fee-based services, gathering more assets from new and existing advisors, and increasing overall awareness of our fee-based programs, particularly our A-MAP advisor-directed program," said Theodore E.

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