What is your fee structure?
Alpha Analytics charges an institutional level annual fee of 0.5% (50 basis points or .005)
of the assets that we manage. Any assets in excess of $10 million are assessed an
annual fee of 0.4% (40 basis points or .004). There is a minimum annual fee of $6,000.
Do you have a minimum fee or minimum level of investment funds?
We find that we can be of the most value to clients with investable assets of $1,200,000
and above. There is a minimum annual fee of $6,000. Based upon our annual asset
percentage fee of 0.5%, this equates to a portfolio of $1,200,000, below which the
minimum fee would apply.
Are there other fees associated with your investment services?
There are no other fees paid to Alpha Analytics. As with all mutual funds or exchange
traded funds (ETFs) , there is an expense ratio¹ that is paid to the fund manager. That is
the cost of managing, operating and maintaining a fund. The expense ratio is reflected
in the daily net asset value (NAV) or daily price of the fund. In addition, there may be a
cost of buying the fund (commission or transaction fee²). As a general rule, Alpha
Analytics recommends the use of low cost ETFs and no-load mutual funds.
¹ Typically, 20 to 80 basis points per year (0.2% to 0.8%)
² Typically, $20 to $50 per transaction
Do you require a long term contract or long term agreement?
We do require a written agreement but either party may discontinue and cancel the
agreement at any time with 30 days written notice.
Do you make additional fees through commissions or sales of investment
products?
No. We are in the category of investment advisors known as fee only advisors. That is,
we earn our income from fees generally based on an annual percentage of assets under
management. In certain instances, our fees are based upon an hourly rate or on a "per
project" basis.
We do not earn commissions by selling financial products such as insurance, annuities or
mutual funds with up-front sales charges (so-called load). We do not earn greater fees
by engaging our clients in frequent trades (so called "active trading").
Can you show me the performance of your portfolios?
Before proceeding, we would be pleased to share the performance history of the
individual mutual funds and exchange traded funds that we would recommend for
inclusion in your investment portfolio. Alpha Analytics does not advertise the composite
investment performance of its clients' accounts since clients have a variety of financial
goals, different risk preferences and investment horizons unique to their personal
situations.
Can you provide me with client references?
Certainly. At the appropriate point in the process, we invite you to contact one or more
of our clients.
FAQ
"Alpha" (α) is a financial
term describing that part
of an investor's return
that is due to the skills of
the investment manager,
as distinct from the return
of the market as a
whole. "Analytics" is the
process of systematically
collecting and analyzing
data in the service of
effective decision
making. At Alpha
Analytics, we strive to
add Alpha value through
skilled fundamental
analysis and a scientific,
disciplined approach to
investing.
