Diligence · terms and fees
Separately managed accounts at Charles Schwab: you hold the account, we trade it. Fee-only, with no commissions and no performance fees, on agreements you can end with 30 days’ notice.
| Term | Alpha Convergence® | AC Market NeutralLeyland Cypress | Independent ReturnLeyland Cypress |
|---|---|---|---|
| Strategy | Concentrated, equal-weight US-traded large-cap equities | The Alpha Convergence long book hedged with a short position in RSP | Market-neutral ETF arbitrage |
| Accounts | IRA, Roth, other tax-exempt, and taxable. Long only, no margin required | Taxable, and IRAs that qualify for margin at Schwab. Margin required: the RSP hedge is a short position held on margin | Taxable, and IRAs that qualify for margin at Schwab. Margin required: the ETF pairs are held long and short |
| Minimum | Direct relationship: $150,000, as stated in Form ADV Part 2A. Sub-advised through Schwab: $50,000 per sleeve, $250,000 per relationship | $50,000 | |
| Structure | Separately managed accounts, custodied at Charles Schwab. You hold the account, we trade it | Separately managed accounts, custodied at Charles Schwab. Leyland Cypress is the adviser of record and bills its own accounts | |
| Liquidity | Daily | Not stated | |
| Live since | 27 Jun 2025 | 8 Jan 2026 | Dec 2024 |
| Capacity | At least $300MM per strategy, on a deliberately conservative estimate. Modeled capacity runs to roughly $1B | Limited, allocated by inquiry | |
| Fees | Fee-only, up to 2% top tier. Full schedule in Form ADV Part 2A | 2% | |
| GIPS | Self-prepared, GIPS-consistent composite available on request, methodology defined | Not stated | |
Tax-exempt money is the natural home. All three strategies generate short-term gains by design. In an IRA, Roth, defined-benefit plan, foundation, endowment or donor-advised fund those gains carry no tax cost. In a taxable account the gains are short-term.
Fees in detail
1% to 2% of billable assets a year, billed monthly.
2% is the most we charge, at the top tier. No commissions, no transaction fees from us and no performance fees. The full schedule is in Form ADV Part 2A, a public document. Agreements run on 30-day terms, with no exit fees.
75 bps a year, 6.25 bps deducted monthly, in advance.
Alpha Convergence on the Schwab Managed Account Marketplace, sub-advised on the RIA’s paper. 30-day terminable, no long-term contract. The client relationship stays with the adviser.
2%, billed by Leyland Cypress.
Leyland Cypress is the adviser of record for Independent Return and bills its own accounts; Life UnLocked Partners bills its own. Life UnLocked Partners holds a 50% interest in Leyland Cypress and receives a share of its fees.
Fees reduce returns. Figures shown “net” on this site deduct a 2% model fee* for Alpha Convergence and AC Market Neutral, not the fees actually billed, and the manager’s reported fee for Independent Return. Disclosures.
* Net figures deduct a 2% model fee, the highest fee we charge. Our fees range from 1% to 2% a year, depending on the size of the account. The full schedule is in Form ADV Part 2A.
Backstage tour
A live screen-share of FlightDeck with Mark Tennenbaum, CIO: the command center driven in real time, how today’s market is classified and what the book does about it, and the record with the tests behind it.
