Subject: S7-09-09

July 9, 2009

As a small firm, your proposed rule to deem an advisor having custody of assets if fees are deducted from client accounts is misguided and may become an unnecessary financial burden. So long as the client has authorized such deductions in writing, the client receives a copy of the invoice directly from the advisor at the time the deduction is made and the fee deduction is an itemized entry on the next client statement rendered by an independent custodian the client is not at risk. This firm goes to extraordinary lengths to advoid handling any client assets or cash flows in or out of their account in order not to be classified as having custody, a policy which often inconveniences the client.

P Roger Kumler,CFA
Kumler Investment Management