Longhorn Investments Inc.
Longhorn Investments Inc. is a Florida corporation that provides investment advisory services to individuals, trusts, estates, charitable organizations and corporations and other business entities. Formed in September 2001 the corporation employs Bill Urquhart, CPA in the role of president and Chief Investment Officer. Mr. Urquhart was born in 1955 in Minneapolis, Minnesota but has lived most of his life in Florida. Mr. Urquhart has been a CPA licensed in Florida since 1980 and a part-time Instructor at Florida Atlantic University from 1998 – 2006 and a full-time Instructor since the fall term 2006. He holds a BS in Accounting from Florida State University and a Masters in Accounting from The University of Texas at Austin. Mr. Urquhart’s activity as a CPA and as a full-time Instructor are his two primary business activities.
The investment advisory services offered are primarily related to mutual fund shares but can include exchange listed securities, securities traded over the counter, foreign issuers, corporate debt securities, certificates of deposit, municipal securities and United States government securities. The methods of analysis include fundamental and technical techniques. The main source of information used by applicant include financial newspapers and magazines, research materials prepared by others, annual reports, prospectuses, filings with the Securities and Exchange Commission and company press releases. The investment strategies used to implement any investment advice given to clients include long-term purchases (securities held at least a year), short-term purchases (securities sold within a year) or trading (securities sold within 30 days).
Company policies and other:
It is the policy of Longhorn Investments to require employees in an advisory capacity to have at least a bachelor degree in accounting or finance.
Longhorn Investments has no arrangements that are material to its advisory business or its clients with a related person who is a broker-dealer, investment company, other investment adviser, financial planning firm, commodity pool operator, commodity trading adviser or futures commission merchant, banking or thrift institution, accounting firm, law firm, insurance company or agency, pension consultant, real estate broker or dealer or any entity that creates or packages limited partnerships.
It is anticipated that Longhorn Investments, or Bill Urquhart its president, will frequently have positions in securities and funds that it recommends to clients. It is the policy of the firm to notify clients of any positions that Longhorn Investments or Mr. Urquhart holds when such positions are recommended to the client or purchased for the client. Additionally, any sales of common holdings by Longhorn Investments or Mr. Urquhart will be communicated to clients with similar positions.
Longhorn Investments does not have a minimum account balance requirement for its clients.
Review Policy – Client accounts will normally be reviewed daily with changes made as determined by the Chief Investment Officer. Such changes are not expected to be frequent and will be discussed with the clients in a timely fashion. All clients will receive reports directly from the fund company(ies) and or brokerage firm where accounts exist. In addition, Longhorn Investments will provide charts showing the changes in the account over time, including all funds managed by Longhorn Investments for that client.
Client contracts will specify whether Longhorn Investments has authority to determine, without obtaining specific client consent, the securities to be bought or sold, the amount of the securities to be bought or sold, and the broker or dealer to be used. It is not expected that commissions will be negotiable and would be based on the fee schedule provided by the brokerage firm where the account is opened. It is expected that the primary means of executing securities trades will be online for transaction fees of $35 or less per trade.
Longhorn Investments will recommend brokers to clients when appropriate. It is the policy of Longhorn Investments to deal with low-cost brokerage firms such as Vanguard, Fidelity, T Rowe Price, USAA or Charles Schwab.
Longhorn Investments has no other arrangements, oral or in writing, where it is paid cash by or receives some economic benefit (including commission, equipment or non-research services) from a non-client in connection with giving advice to clients or where it directly or indirectly compensates any person for client referrals.
A corporate balance sheet is attached to this brochure and is updated on a quarterly basis.
Longhorn Investments Inc. – Fee Schedule
Hourly charge for Investment Advisory services - $125. This arrangement can be described as “pay as you go”. After services are performed, a bill is presented for payment. Charges will be assessed in quarter hour increments. Future time spent reviewing investments will be billed in the same manner.
Longhorn Investments offers a basic “financial check up” or review of the client’s financial position with broad and specific ideas for improvement for a flat fee of $300. This is a one-time service payable upon completion of the review and presentation of written recommendations to the client.
Percentage of assets:
Longhorn Investments offers a wrap-fee arrangement whereby management of the invested funds will be assessed a quarterly fee based on the following annual rates:
Assets under management Annual fee rate
Up to $50,000 1.0%
$50,001 to $250,000 0.75%
$250,000 and up 0.50%
All clients will pay the transaction fees as they are incurred directly to the firm that is chosen to handle client funds. These will be payable directly to the brokerage firm or mutual fund. Longhorn Investments levies no additional transaction fees and has no other financial arrangements with any mutual fund or other financial institution.