Item 5 Fees and Compensation
THIRD PARTY RECOMMENDATION SERVICES FEES
For RBC Correspondent Services accounts that use Resource II, the fees are payable in advance on a quarterly basis and
are calculated based on the market value of assets in the managed account on the last business of the preceding quarter.
The first billing is based on the account value at inception date. Resource II accounts must maintain a minimum balance
of $100,000. Resource II accounts will utilize a third party money manager and there will be an addition charge to the
annual fee based on what the money manager charges.
RBC Correspondent Services Resource II
Account Value Annual Fee
$100,000 to $250,000 1.58% - 0.92%
$250,000 to $500,000 1.27% - 0.73%
$250,000 to $500,000 0.95% - 0.54%
$250,000 to $500,000 0.71% - 0.41%
$250,000 to $500,000 0.59% - 0.34%
$250,000 to $500,000 0.51% - 0.29%
$250,000 to $500,000 0.47% - 0.26%
FEES FOR MANAGEMENT SERVICES
Fees charged by CFS for its Asset Management Service are based upon the value of assets being managed and vary from
client to client, depending where the assets are held and whether discretion is exercised by CFS. Fees for quarterly report
services generally conform with the following fee schedules:
RBC Correspondent Services
In accounts held at RBC Correspondent Services in the Advisor program, clients are not charged for transactions in the
account provided it does not exceed the annual trade allotment in any calendar year. Advisor program accounts have an
annual trade allotment based on account size. Each transaction above the annual trade allotment will be charged an
excessive trading fee at the time each account reaches its anniversary month. RBC Advisor accounts must maintain a
balance of $25,000.
RBC Correspondent Services Advisor Program
Account Value Annual Fee
$ 25,000 to $100,000 1.85% - 1.10%
$100,000 to $250,000 1.58% - 0.92%
$250,000 to $500,000 1.27% - 0.73%
$500,000 to $1,000,000 0.95% - 0.54%
$1,000,000 to $2,000,000 0.71% - 0.41%
$2,000,000 to $3,000,000 0.59% - 0.34%
$3,000,000 to $5,000,000 0.51% - 0.29%
Over $5,000,000 0.47% - 0.26%
FolioFn
For accounts held at FolioFn, the following schedule is used to determine the annual asset-based percentage fee. Client
accounts are charged a minimum custodial fee by the custodian, currently 0.20% of assets. Fees are due after services are
provided and shall be calculated on the basis of the average daily value of assets in the Account, including balances in the
Account held in a money market fund. Fees will be payable quarterly based upon the daily average value of assets at the
end of the immediately preceding calendar quarter. Clients are not charged for transactions in the account provided they
are traded within a Folio in the account. FolioFn accounts may utilize a third party money manager. If a third party
money manager is utilized there will be an addition charge to the annual fee based on what the money manager charges.
CFS in its discretion, may negotiate the foregoing fees in appropriate circumstances. Fees may, therefore, differ from
fees charged with respect to other clients depending on the extent of services provided and the costs of such services. The
factors that bear upon the cost in relation to the cost of the same services include, among other factors, the amount of the
assets the client has, trading activity, investment planning, advisor due diligence, investment management, and custody
service. If a third party money manager is utilized there will be an addition charge to the annual fee based on what the
money manager charges.
FolioFn Fee Schedule
Assets Under Management Annual Fee
On first $ 100,000 1.70% - 0.95%
On next $ 150,000 1.30% - 0.75%
On next $ 250,000 0.95% - 0.58%
On next $ 500,000 0.65% - 0.43%
On assets above $ 1,000,000 0.55% - 0.38%
Trade PMR
For accounts held at Trade PMR, the following schedule is used to determine the annual asset-based percentage fee. This
alternative pricing schedule is generally to be used for larger accounts or accounts with little trading activity as Trade
PMR charges a small transaction fee for each order placed within the clients account.
CFS in its discretion, may negotiate the foregoing fees in appropriate circumstances. Fees may, therefore, differ from
fees charged with respect to other clients depending on the extent of services provided and the costs of such services. The
factors that bear upon the cost in relation to the cost of the same services include, among other factors, the amount of the
assets the client has, trading activity, investment planning, advisor due diligence, investment management, and custody
service. If a third party money manager is utilized there will be an addition charge to the annual fee based on what the
money manager charges.
Trade PMR Fee Schedule
Assets Under Management Annual Fee
On first $ 100,000 1.50% - 0.750%
On next $ 150,000 1.10% - 0.550%
On next $ 250,000 0.75% - 0.375%
On next $ 500,000 0.45% - 0.225%
On assets above $ 1,000,000 0.35% - 0.175%
Fees are billed quarterly in arrears. New or closing accounts will be billed a prorated amount for any partial quarter.
Partial quarter billings may be waived by the firm.
*The Manager Fee can be modified by the Investment Adviser at any time, but will not exceed the amount stated on the
schedule above.
QUARTERLY REPORT SERVICE FEE SCHEDULE (Non-Discretionary)
...