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Related Parties
12 Months Ended
Dec. 31, 2016
Related Party Transactions [Abstract]  
Related Parties

 


NOTE 14 – RELATED PARTIES

As of December 31, 2016, Edward Jones was a 49.5% limited partner of Passport Research, which has historically been the investment adviser for two money market funds made available to Edward Jones clients, one of which was no longer offered as of August 2016.  Approximately 0.7%, 0.1% and 0.03% of the Partnership's total revenues were derived from this limited partner interest in Passport Research during 2016, 2015 and 2014, respectively (see Note 17 for additional information regarding Passport Research).   

As of December 31, 2016, Edward Jones leased approximately 10% of its branch office space from its financial advisors (see Note 11).  Rent expense related to these leases approximated $28, $27 and $25 for the years ended December 31, 2016, 2015 and 2014, respectively.  These leases are executed and maintained in a similar manner as those entered into with third parties.

The BB Trust was formed to accommodate the size and expected growth in investment advisory services offered through Advisory Solutions, to mitigate the concentration of client investments in third party funds and to lower client investment management expenses.  Olive Street is the investment adviser to the sub-advised mutual funds of the BB Trust and has primary responsibility for setting the overall investment strategies and for selection and management of sub-advisers, subject to the review and approval by the BB Trust's Board of Trustees.  Olive Street has contractually agreed to waive any investment adviser fees above those amounts paid to the sub-advisers.  The investment adviser fee revenue earned by Olive Street, included within advisory programs fees on the Consolidated Statements of Income, is offset by the expense paid to the sub-advisers, included within professional and consulting fees on the Consolidated Statements of Income.  The total amounts recognized for the years ended December 31, 2016, 2015 and 2014 were $57, $30 and $8, respectively.

In the normal course of business, partners and associates of the Partnership and its affiliates use the same brokerage, advisory and trust services of the Partnership as unrelated third parties, with certain discounts on commissions and fees for certain services.  The Partnership has included balances arising from such transactions in the Consolidated Financial Statements on the same basis as other clients.

The Partnership recognizes interest income for the interest earned from partners who elect to finance a portion or all of their Partnership capital contributions through loans made available from the Partnership (see Note 7).