Item 5 Fees and Compensation
INVESTMENT SUPERVISORY SERVICES ("ISS")
INDIVIDUAL PORTFOLIO MANAGEMENT FEES
Our annual fees for Investment Supervisory Services are based upon a percentage of assets under
management and generally range from 0.25% to 1.50%.
The annualized fee for Investment Supervisory Services are charged as a percentage of assets
under management, according to the following schedule:
Assets Under Management Annual Fee
>$250,000.00 1.50%
$250,000.01 to $500,000.00 1.25%
$500,000.01 to $750,000.00 1.15%
$750,000.01 to $1,000,000.00 1.00%
$1,000,000.01 to $2,500,000.00 0.85%
$2,500,000.01 to $5,000,000.00 0.75%
Limited Negotiability of Advisory Fees: Although Biechele Royce Advisors, Inc. has established
the aforementioned fee schedule(s), we retain the discretion to negotiate alternative fees on a
client-by-client basis. Client facts, circumstances and needs are considered in determining the fee
schedule. These include the complexity of the client, assets to be placed under management,
anticipated future additional assets, related accounts, portfolio style, account composition, reports
among other factors. The specific annual fee schedule is identified in the contract between the
adviser and each client.
We may group certain related client accounts for the purposes of achieving the minimum
account size requirements and determining the annualized fee.
Discounts, not generally available to our advisory clients, may be offered to family members and
friends of associated persons of our firm.
We do charge fees as a sub-advisor to those accounts. The fees are in the range of 20 to 40 basis
points.
FINANCIAL PLANNING FEES
Biechele Royce Advisors, Inc.'s Financial Planning fee is determined based on the nature of the
services being provided and the complexity of each client’s circumstances. All fees are agreed
upon prior to entering into a contract with any client.
Financial Planning Fee Offset: Biechele Royce Advisors, Inc. reserves the discretion to
reduce or waive the hourly fee and/or the minimum fixed fee if a financial planning client
chooses to engage us for our Portfolio Management Services.
The client is billed quarterly in arrears based on actual hours accrued.
SUB-ADVISER SERVICES
BRA’s fees for sub-advisory services are negotiated and agreed upon in each sub-advisory agreement
between BRA and the RIA. Our sub-adviser fees are charged to the RIA and paid for by the RIA. The
other RIA’s clients are not charged a fee for BRA’s sub-advisory services.
EAGLE INCOME FUND, LLC FEES
The managing member, Sunrise Capital Management, LLC receives a gross 1% annual
management fee of assets under management from the sponsoring company, Eagle Financial
Services Company, LLC. The managing member is required to cover all expenses: legal,
accounting, filing, printing, travel, tax return, custodial, consulting, insurance, property taxes and
any other expenses related to the general operation, administration, and maintenance of the
Company. Advisory clients owning the Eagle Income Fund, LLC will be billed as an asset under
management.
IRONWOOD INCOME FUND, LLC FEES
The managing member, International Currency Conversion Management, LLC, receives 1%
management fee of assets under management. The managing member is responsible for the
general operation, administration, and maintenance of the Company. Advisory clients owning
this fund will be billed as an asset under management.
OVATION INCOME FUND, LLC FEES
The managing member, Sunrise Capital Management, LLC receives a 1% annual management fee
of assets under management from the Fund. The managing member is responsible for the
general operation, administration, and maintenance of the Company. Advisory clients owning the
Ovation Income Fund, LLC will be billed as an asset under management.
BAY POINT INCOME FUND, LLC FEES
The managing member, Sunrise Capital Management, LLC receives a 1% annual management fee
of assets under management from the Fund. The managing member is responsible for the
general operation, administration, and maintenance of the Company. Advisory clients owning the
Bay Point Income Fund, LLC will be billed as an asset under management.
EAGLE INCOME FUND III, LLC FEES
The managing member, Sunrise Capital Management, LLC receives a gross 1.5% annual
management fee of assets under management from the sponsoring company, Eagle Financial
Services Company, LLC. The managing member is required to cover all expenses: legal,
accounting, filing, printing, travel, tax return, custodial, consulting, insurance, property taxes and
any other expenses related to the general operation, administration, and maintenance of the
Company. Advisory clients owning the Eagle Income Fund, LLC will be billed as an asset under
management.
GENERAL INFORMATION
Termination of the Advisory Relationship: A client agreement may be canceled at any time, by
either party, for any reason. Client will be billed any earned fee up to termination date.
Additional Fees and Expenses: In addition to our advisory fees, clients are also responsible for
the fees and expenses charged by custodians and imposed by broker dealers, including, but not
limited to, any transaction charges imposed by a broker dealer with which an independent
investment manager effects transactions for the client's account(s). Please refer to the "Brokerage
Practices" section (Item 12) of this Form ADV for additional information.
Grandfathering of Minimum Account Requirements: Pre-existing advisory clients are subject
to Biechele Royce Advisors, Inc.'s minimum account requirements and advisory fees in effect at
...