Banorte Asset Management Inc

Item 5 – Fees and Compensation
   Portfolio Management Services Fees
Our annual fees for Portfolio Management Services are based upon the assets under
management (AUM). The fee structure varies depending on the type of advisory agreement:

      BAM Traditional Discretionary agreements
Fees are charged on a tiered fee schedule based on the value of AUM. However, a flat fee
percentage based on the total AUM is available with management approval.

      BAM Traditional Non-Discretionary agreements
Fees are based on a flat fee percentage of the total AUM.
The required minimum account size for BAM Traditional advisory services is as follows:
   • Discretionary agreements: $50,000.
   • Non-Discretionary agreements: $1,500,000.
In both cases, the minimum account size may be negotiable under certain circumstances. More
information regarding the BAM Traditional Wrap Fee Program can be found in Appendix 1.

The Adviser’s annual fee for investment management services is computed based on the Net
Liquidation Value (“NLV”) of the account, applied daily on a 365-day basis. The NLV of the
account for any given day is equal to the ending equity value of the account on that day. This
annual fee is prorated and paid quarterly, in arrears, based upon the AUM held in the account
on the last business day of the previous quarter. All fees may be collected by the Adviser from
available cash in the Account(s), from contributions or transfers, or by liquidating assets held
in the account(s) as necessary to pay such fees in full.

      B.A.M. Digital platform wrap fee program
Fees are charged on a tiered fee schedule based on the value of AUM.

For the B.A.M. Digital platform wrap fee program, the minimum account size is $10,000. More
information regarding the B.A.M. Digital Wrap Fee program can be found in Appendix 1.
   General Information
      Termination of the Advisory Relationship
This Agreement will continue in effect until terminated by either party by written notice to the
other, which written notice must be signed by the terminating party. Termination of this
Agreement by Client shall take effect no later than the seventh (7th) business day following
receipt by Adviser of written notice of termination. Termination of this Agreement by Adviser
shall take effect at least thirty (30) calendar days following receipt by Client of written notice
of termination.
Termination of this Agreement will not affect:
   1. The validity of any action previously taken by Adviser under this Agreement;
   2. Liabilities or obligations of the parties from transactions initiated before termination; or
   3. The Client’s obligation to pay advisory fees (prorated through the date of termination).
Upon termination of this Agreement, Adviser will have no obligation to recommend or take
any action regarding the securities, cash, or other investments in the Account, and any

 PART 2A OF FORM ADV: FIRM BROCHURE

unearned advisory fees will be refunded.

The Adviser reserves the right to terminate the advisory relationship under certain
circumstances, including, but not limited to:
    • Failure to maintain the required account minimum,
    • Client’s full withdrawal of all the assets in the account,
    • Non-compliance with account documentation or disclosure requirements, or
    • Situations where the account activity or client information presents potential
      compliance or AML risks as determined by the Adviser in accordance with applicable
      regulations.
The Adviser will provide written notice to the client at least 30 days prior to the termination
date, except where immediate termination is necessary due to suspected fraud, regulatory or
AML/CFT compliance concerns, or material non-compliance with account terms.

Upon termination of the advisory agreement:
  • The Adviser will no longer provide monitoring, rebalancing, or any other investment
      management services for the client’s account as of the termination date.
  • The Adviser will calculate and prorate advisory fees through the effective date of
      termination.
  • The Adviser will notify the executing broker and the custodian of the termination,
      confirming the cessation of the Adviser’s discretionary authority over the account.
  • The client’s brokerage account will remain open unless separately terminated by the
      client. Any fees charged by the executing broker will continue to apply, as outlined in
      the agreements between the client and the broker.
  • The client’s assets will remain custodied with the current custodian, subject to the
      custodian’s terms and conditions. The client will assume full responsibility for managing
      the account or assigning a new adviser to the account.
Termination of the advisory agreement does not absolve the client of any obligations incurred
prior to the termination date, including fees due for services rendered or outstanding costs
associated with custodial or third-party services.

      Mutual Fund Fees
Since all BAM advisory accounts are structured as wrap fee accounts, the firm exclusively
offers institutional share classes to clients, ensuring the lowest available cost structure for
mutual fund investments. Under the wrap fee arrangement, brokerage, custodial services, and
investment advisory services are bundled into a single fee. While nominal ticket charges may
apply for transactions, the custodian charges only minimal fees for additional custodial
services, providing clients with a cost-effective and transparent investment solution.
As a fiduciary, BAM prioritizes the best interests of its clients by avoiding higher-cost share
classes and ensuring full transparency in the mutual fund share class selection process. BAM
does not offer or recommend mutual fund share classes that involve 12b-1 fees or other
compensation arrangements that may create a conflict of interest.
All fees paid to BAM for investment advisory services are separate from the internal fees and
...

Item 7 – Types of Clients
BAM’s client base primarily consists of clients residing in Latin America, with a significant
portion being Mexican citizens. These clients typically include:
   •   Individuals
   •   High-net-worth individuals
   •   Trusts
   •   Estates
   •   Charitable organizations
   •   Corporations
   •   Other business entities
BAM’s services are tailored to meet the needs of these clients, offering both discretionary and
non-discretionary advisory services as well as access to institutional share classes of mutual
funds.

 PART 2A OF FORM ADV: FIRM BROCHURE