Raymond James (RJF) is asking its advisors to refund some fees associated with mutual fund sales to clients with qualified plans and charitable trusts, the company confirmed Wednesday.
“In the course of operational reviews, Raymond James determined that in certain qualified plan and charitable trust accounts, some clients did not receive all fee waivers for which they were eligible based on investment company-specific offerings as detailed in their prospectuses,” it said in a statement.
The firm recently sent a memo to branch managers and advisors to outline its policies going forward, after recognizing a $10.5 million adjustment associated with fund commissions in its latest quarterly earnings report.
“Significantly less than 1% of client accounts are impacted, and the median rebate is expected to be approximately $200,” according to the company.
“Raymond James studied accounts from the past five years and is now working with financial advisors to ensure fees are rebated in a fair and reasonable manner to affected clients along with interest,” it explained.