Advisor Aggregate Billing Value Policy Guidance

Advisor Aggregate Billing Value Policy Guidance

Definitions

  1. Aggregate Billing Value (“ABV”): Every household in Orion has an ABV that is calculated based on the value of accounts within the household, as long as they are set to be included in the ABV calculation. This calculation is used to determine breakpoints for all accounts within the household that are assigned to a tiered or linear fee schedule. The more assets that are included in the ABV calculation, the more breakpoints can be reached within an account that has a tiered or linear fee schedule assigned, leading to a potentially lower overall fee for a client.

  1. Non-advisory Accounts: These accounts are brought into Orion for reporting purposes but are not managed by Mutual Advisors, LLC (“Mutual”). They include external accounts brought in through ByAllAccounts or broker-dealer accounts from DST or other sources. These accounts are included in Orion upon an advisor’s request for client reporting, but Mutual does not mandate their inclusion.

  1. Advisory Accounts: These accounts have an advisor listed as the advisor on the account, which can include Charles Schwab or Fidelity accounts, as well as direct product company advisory accounts such as American Funds or advisory annuities. Mutual is listed as the registered investment adviser (“RIA”) and the advisor as the Investment Advisor Representative (“IAR”).

Policy

Effective as of April 1, 2025, Mutual will be excluding non-advisory accounts from being factored into the household ABV calculation. Advisors can choose to have all of their clients’ non-advisory accounts factored into the ABV calculation, but they cannot choose to only include for some clients and not others.
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Mutual will include all advisory accounts (even those that are under a flat fee schedule or no fee schedule) into the ABV Calculation. An advisor may choose to exclude specific advisory accounts within a household from being included in the ABV calculation by having the client sign an aggregation addendum to their advisory agreement that clearly discloses the advisory accounts that will not be factored into the ABV calculation.

Feedback

Mutual has defined this policy based on feedback from some of our advisors. As always, we value the feedback of all of our advisors. If there are any questions or feedback, please reach out to the Compliance Team by submitting a case to Compliance through the Power Portal.

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