Avion Wealth, LLC is registered investment adviser based in The Woodlands, Texas. We
are organized as a limited liability company under the laws of the State of Texas. We have
been providing investment advisory services since 2005. The firm is owned by Paul
James Carroll, Managing Member, Chief Executive Officer and Chief Compliance Officer.
Our mission is to provide our clients with sensible and unbiased financial planning
solutions where the interests of our clients always come first. Our goal is to assist our
clients in prioritizing and qualifying their financial goals, setting realistic expectations
and implementing a disciplined and prudent investment and savings strategy to achieve
these goals.
The following paragraphs describe our services and fees. Please refer to the description
of each investment advisory service listed below for information on how we tailor our
advisory services to your individual needs. As used in this brochure, the words "we",
"our" and "us" refer to Avion Wealth and the words "you", "your" and "client" refer to you
as either a client or prospective client of our firm. Also, you may see the term Associated
Person throughout this brochure. As used in this brochure, our Associated Persons are
our firm's officers, employees, and all individuals providing investment advice on behalf
of our firm.
Investment Consulting
We provide discretionary portfolio management services to our clients. Our investment
advice is tailored to meet our clients' needs and investment objectives. If you retain our
firm for portfolio management services, we will meet with you to determine your
investment objectives, risk tolerance, and other relevant information (the "suitability
information") at the beginning of our advisory relationship. We will use the suitability
information we gather to develop a strategy that enables our firm to give you continuous
and focused investment advice and/or to make investments on your behalf. As part of
our portfolio management services, we will customize an investment portfolio for you in
accordance with your risk tolerance and investing objectives. Once we construct an
investment portfolio for you, we will monitor your portfolio's performance on an ongoing
basis, and will rebalance the portfolio as required by changes in market conditions and
in your financial circumstances.
If you participate in our discretionary portfolio management services, we require you to
grant our firm discretionary authority to manage your account. Discretionary
authorization will allow our firm to determine the specific securities, and the amount of
securities, to be purchased or sold for your account without your approval prior to each
transaction. Discretionary authority is typically granted by the investment advisory
agreement you sign with our firm, a limited power of attorney, or trading authorization
forms. You may limit our discretionary authority (for example, limiting the types of
securities that can be purchased for your account) by providing our firm with your
restrictions and guidelines in writing.
As part of this service, we will assist you in determining your investment
goals and objectives, risk tolerance, and retirement plan time horizon in order to create
an initial portfolio allocation designed to complement your educational, home
ownership, and retirement funds goals and objectives. The advisory representative will
then prepare an investment policy describing asset-class allocation recommendations
without detailing specific holdings.
Our investment strategy will focus primarily on a buy and hold approach
as opposed to short-term trading. Each portfolio will be initially designed to meet a
particular investment goal, which your advisory representative has determined to be
suitable for your circumstances. Once the appropriate portfolio has been determined,
your advisory representative will review the portfolio at least monthly and, if necessary,
rebalance your portfolio, based upon your individual needs and stated goals and
objectives. As our client, you will have the opportunity to place reasonable restrictions
on the types of investments to be held in your portfolio. Our strategy, generally,
will be to seek long term portfolio growth while providing you with access to the
personal advisory services of an advisory representative on at least an annual basis, or
more often, depending upon your specific agreement with your advisory representative.
Our advisory representatives will not attempt to manage short-term market fluctuations
with active trading (market-timing/allocation, etc.).
In our work with clients, we discuss the payout options for defined benefit, 401(k) and
other retirement plan types. When doing so, we may recommend that the client choose
a lump sum payout. This may be a conflict of interest if the client decides to place those
funds with us to be managed.
Our fee for portfolio management services is based on a percentage of your assets we
manage and is charged according to the following fee schedule:
Portfolio Value Advisory Fee
$0 to $2,000,000 1%
$2,000,001 to $4,000,000 0.9%
$4,000,001 to $7,000,000 0.8%
$7,000,001 to $10,000,000 0.7%
$10,000,001 to $25,000,000
$25,000,001 and up
0.6%
0.5%
* Our minimum quarterly investment advisory fee is $5,000. However, the minimum may
be less, based on the assets to be managed, the advisor, and the complexity of the client
work. This is dicussed in advance with the client and included in the agreement.
* Older client relationships may be subject to different fee schedules or minimum quarterly
fees.
* If for any reason the client named in the Investment Advisory Agreement no longer wants
to continue services with Avion Wealth within the first 60 days after the Investment
Advisory Agreement signing date, the client will receive a full refund of any fees paid.
For all accounts the fee schedule is tiered, whereby fees are assessed a flat percentage
according to the corresponding portfolio value bracket.
The annual fee for investment management services provided
are based upon a
percentage (%) of the market value of the Assets under management in accordance with
the fee schedule in the Agreement signed by the client. Avion Wealth considers cash to
be an asset class and part of Assets under management and subject to the same fee
calculation as the client’s non-cash investments.
At our discretion, we may assess lower than stated fees for existing accounts. We may
also combine the account values of family members living in the same household to
determine the applicable advisory fee. For example, we may combine account values for
you and your minor children, joint accounts with your spouse, and other types of related
accounts. Combining account values may increase the asset total, which may result in
your paying a reduced advisory fee based on the available breakpoints in our fee
schedule stated above.
Unless otherwise agreed upon in writing, the advisory fee is allocated among all
aggregated accounts and deducted in accordance with such allocation.
We may enter into arrangements with clients where we will manage retirement plan
assets on a discretionary basis. If you engage our firm for such services, we must adhere
to ERISA bonding requirements pursuant to ERISA Section 412 as well as any other
applicable ERISA requirements.
Our annual portfolio management fee is billed and payable quarterly in advance based
on the value of your account on the last day of the previous quarter. The initial fee is
payable when your account is established. If the portfolio management agreement is
executed at any time other than the first day of a calendar quarter, our fees will apply on
a pro rata basis, which means that the advisory fee is payable in proportion to the number
of days in the quarter for which you are a client. Additional deposits to your account
during a quarter are subject to the same fee procedures.
We will deduct our fee directly from your account through the qualified custodian
holding your funds and securities. We will deduct our advisory fee only when you have
given our firm written authorization permitting the fees to be paid directly from your
account. Further, the qualified custodian will deliver an account statement to you at least
quarterly. These account statements will show all disbursements from your account. You
should review all statements for accuracy. We will also receive a duplicate copy of your
account statements.
You may terminate the portfolio management agreement by providing written notice to
our firm. You will incur a pro rata charge for services rendered prior to the termination
of the agreement for services, which means you will incur advisory fees only in
proportion to the number of days in the quarter for which you are a client. If you have
pre-paid advisory fees that we have not yet earned, you will receive a prorated refund of
those fees.
When we provide investment advice to you regarding your retirement plan account or
individual retirement account, we are fiduciaries within the meaning of Title I of the
Employee Retirement Income Security Act and/or the Internal Revenue Code, as
applicable, which are laws governing retirement accounts. The way we make money
creates some conflicts with your interests, so we operate under a special rule that requires
us to act in your best interest and not put our interests ahead of yours.
Under this special rule’s provisions, we must:
• Meet a professional standard of care when making investment recommendations
(give prudent advice);
• Never put our financial interests ahead of yours when making recommendations
(give loyal advice);
• Avoid misleading statements about conflicts of interest, fees, and investments;
• Follow policies and procedures designed to ensure that we give advice that is in
your best interest;
• Charge no more than is reasonable for our services; and
• Give you basic information about conflicts of interest.
Advanced Planning Services
We typically provide advanced financial planning services to you as part of our
investment advisory services. Services are provided in several areas depending on your
goals, objectives and financial situation.
Avion has developed a structured process to help organize and manage the details of
your complex affairs, so that you can be confident that nothing falls throught the cracks.
The Avion Wealth Formula is Wealth Management = Investment Consulting + Advanced
Planning + Relationship Management.
Wealth Management is described in the section on Investment Consulting section above.
Advanced Planning can include strategies and recommendations on minimizing taxes
and maximizing cash flow, wealth transfer (taking care of your heirs), protecting your
assets from legal and financial threats, and maximizing the impact of your charitable
giving.
Relationship Management refers to the Avion team that will work with you to achieve
your financial goals and objectives.
Avion may also refer clients to an accountant, attorney or other specialist, as appropriate
for their unique situation. When appropriate, we will provide a written summary of your
financial situation, observations, and recommendations.
Types of Investments
We primarily offer advice on equity securities, warrants, corporate debt securities,
commercial paper, certificates of deposit, municipal securities, investment company
securities, U.S. Government securities, options contracts on securities, futures contracts
on securities and commodities, and interest in partnerships investing in real estate, oil
and gas interests, and others.
Additionally, we may advise you on any type of investment that we deem appropriate
based on your stated goals and objectives. We may also provide advice on any type of
investment held in your portfolio at the inception of our advisory relationship.
You may request that we refrain from investing in particular securities or certain types of
securities. You must provide these restrictions to our firm in writing.
Assets Under Management
As of February 26, 2024, we manage $780,349,511 in client assets on a discretionary basis.