Fees & Disclosures
Since FAI’s inception we have been Fee-Only advisors. That means our firm is compensated solely by our clients; we receive absolutely no third-party payments such as commission from financial products or referral fees. FAI's Principals are members of the National Association of Personal Financial Advisors (NAPFA) which maintains the profession's highest standard of continuing education requirements and fiduciary responsibility. All licensed and credentialed professional staff are members of a professional society.
_________________________________________________________________________________________________
Fee Arrangements
_________________________________________________________________________________________________
Financial Advisory Retainer Services (Retainer)
Our Financial Advisory Retainer Services is a retainer arrangement that provides clients with personal financial planning and portfolio management services. Our staff is committed to developing, overseeing, and helping to implement your personal financial plan. Retainer clients receive portfolio management services where the investment advice is custom tailored to meet your individual needs and investment objectives. FAI will manage your accounts on a discretionary basis actively making changes based on the current market environment.
Retainer Clients have accessibility to our staff for advice and support in all matters impacting your personal financial situation and the achievement of your goals. Here are some examples of our Retainer service:
- Cash Flow planning
- Budget analysis/planning
- Tax analysis/planning
- Risk management
- Retirement planning
- Estate/Legacy planning
In retaining Financial Advantage, Inc. to provide the kind of investment and personal financial advisory services above referenced, the undersigned agrees to pay Financial Advantage, Inc. an annual fee calculated according to the following schedule:
9/10 of one percent (.009) of the first $2,000,000 of supervised assets and
7/10 of one percent (.007) on the next $3,000,000 of assets and
1/2 of one percent (.005) on assets above $5,000,000
The fee schedule is subject to the minimum quarterly fee of $2,500. The annual fee is billed quarterly in advance.
Sterling Portfolio Management Services (Investment Management Only)
We provide the same discretionary portfolio management services listed above under Financial Advisory Retainer Services. However, we do not provide our personal financial planning services under this service offering.
In retaining Financial Advantage, Inc. to provide the kind of investment and personal financial advisory services above referenced, the undersigned agrees to pay Financial Advantage, Inc. an annual fee calculated according to the following schedule:
9/10 of one percent (.009) of the supervised assets
The fee schedule is subject to the minimum quarterly fee of $1,250.
Personal Financial Planning Services
We offer Personal Financial Planning as a stand-alone service. In one or two meetings with you, we gather and discuss the essential information, which may include spending needs and savings pattern, insurance coverage, taxes, investment, hopes for retirement and for providing for the next generation of your family, or any other personal financial goals or concerns. We assemble the information in a written plan and prepare analyses and recommendations for each topic covered under the scope of the agreement. The planning process is usually completed within 8 to 12 weeks. Besides the initial one or two meetings, it involves an exchange of drafts of the various sections so that you have ample opportunity to add to or challenge the analysis, and a final meeting to review all of the concepts and recommendations of the plan.
_________________________________________________________________________________________________
Disclosures
_________________________________________________________________________________________________
To see a PDF copy of our form ADV or our Web site disclosures click on the links below, the form ADV is on file with the Securities & Exchange Commission. Every SEC Registered Investment Advisor is required to make the form ADV available to new clients.
