Item 5 Fees and Compensation
CEP may charge its Clients a management and/or a performance-based fee. Generally, management fees for
Managed Accounts are calculated on a percentage of assets under management. Asset-based fees will be
based on CEP’s standard fee schedules, as set forth below, subject to negotiation and variation to take account
of such circumstances as CEP and the Client may deem appropriate. The specific manner in which CEP
charges and calculates fees is set forth in the advisory contract between the Client and CEP.
Fees will generally be invoiced and payable quarterly in arrears although other arrangements may be made
for the convenience of the Client. Payment for amounts due to CEP is expected within 30 days after receipt
of the invoice.
CEP retains discretion over the fees that it charges to its Clients as well as any changes in its fee schedules.
Fees may be negotiated in light of a Client’s special circumstances such as asset levels, service requirements
or other factors. In some cases, CEP may agree to offer Clients a fee schedule that is lower than that of any
other comparable Clients in the same investment style. In addition, there may be historical fee schedules with
longstanding Clients that differ from those applicable to new client relationships. Advisory fees may be
subject to a specified annual minimum; however, CEP reserves the right to waive all or a portion of its
management fee and to negotiate minimum annual fees.
Product Fee Schedules
Large Cap and Mid-Cap Equity Strategies Large Cap Equity 130/30 Strategy
50 basis points on the first $10 million 60 basis points on the first $50 million
35 basis points on the next $90 million 55 basis points on the next $50 million
30 basis points on the next $100 million 50 basis points on the next $100 million
25 basis points on the next $300 million 40 basis points on the next $300 million
20 basis points thereafter 32 basis points thereafter
FactorSmart Dynamic Beta Strategy Small Cap and Small/Mid Cap Equity Strategies
25 basis points on all assets 75 basis points on the first $50 million
70 basis points on the next $50 million
All other FactorSmart Equity Strategies 65 basis points thereafter
20 basis points on all assets
International Small Cap Equity Strategy
Emerging Markets Equity Strategy 75 basis points on the first $50 million
75 basis points on the first $50 million 70 basis points on the next $50 million
70 basis points on the next $50 million 65 basis points thereafter
65 basis points thereafter
Core and Intermediate Fixed Income Strategies Core Plus Fixed Income Strategy
25 basis points on the first $25 million 30 basis points on the first $25 million
20 basis points on the next $75 million 25 basis points on the next $75 million
15 basis points thereafter 20 basis points thereafter
Intermediate and Long Corporate Fixed Income
Short Term Fixed Income Strategy Strategies
20 basis points on the first $25 million 30 basis points on the first $25 million
15 basis points on the next $75 million 25 basis points on the next $75 million
10 basis points thereafter 20 basis points thereafter
Chicago Equity Partners, LLC
Form ADV Part 2A
April 17, 2020
Balanced Portfolios
Fees for advisory services for balanced portfolios will be separately negotiated with each Client.
Sub-Advisory Arrangements
CEP has been engaged by certain investment advisers (including advisers to registered investment companies)
and banks to manage certain accounts and funds of such advisers and banks. In its capacity as sub-advisor to
such accounts and funds, CEP’s fees and services are determined by contract with the adviser or bank.
Information concerning sub-advised Mutual Funds, including a description of the services provided and
advisory fees, is generally contained in each Mutual Fund’s prospectus, which can be obtained from the fund
sponsor.
Private Funds
CEP serves as an investment adviser or sub-advisor to Private Funds that are not registered under the
Investment Company Act and are offered solely to qualified investors. These funds have fee arrangements
that typically include a management fee that represents a percentage of assets and a performance fee based
on appreciation of the Private Funds’ market values. The fees and expenses related to these funds are more
fully described in each Private Fund’s offering documents.
Special Reports
CEP furnishes certain Clients periodic securities investment reports for a flat fee.
Additional Fees and Expenses Payable by Clients
CEP’s fees are exclusive of brokerage commissions, transaction fees, service provider fees, audit fees, and
other related costs and expenses which will be incurred by the Client. Execution of Client transactions
typically requires payment of brokerage commissions by Clients. Item 12 – Brokerage Practices further
describes the factors that CEP considers in selecting or recommending broker-dealers for the execution of
transactions and determining the reasonableness of their compensation (e.g., commissions). Investment
activity may also involve other transaction fees payable by Clients such as sales charges, odd-lot differentials,
transfer taxes, wire transfer and electronic fund fees, and other fees and taxes on brokerage accounts and
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