Item 5. Fees and Compensation
Curated Wealth Partners offers services on a fee basis, which includes fixed fees and fees based upon
assets under management.
Wealth Management Fees
Curated Wealth Partners offers wealth management services for an annual fee based on the amount of
assets under Curated Wealth Partners’ management. This management fee shall not exceed 150 basis
points (1.50%) on an annual basis and will be based upon the size and composition of a client’s portfolio
and the type of services rendered. Curated Wealth Partners can charge a fixed fee in addition to, or in
lieu of, the asset-based fee where it better aligns the fee with the services provided. Notably, this
alternative fee schedule may be used for certain client holdings (e.g., held-away assets, accommodation
accounts, alternative investments, etc.)
The annual fee is prorated and charged quarterly, in arrears, based upon the market value of the
average daily account balance during that quarter. Since the asset-based fee is determined by average
daily account balance, if assets are deposited into or withdrawn from an account after the inception of a
quarter, the base fee payable with respect to such assets is adjusted accordingly. In the event the
advisory agreement is terminated, the fee for the final billing period is prorated through the effective
date of the termination and the outstanding or unearned portion of the fee is charged or refunded to
the client, as appropriate.
Consulting Fees
Curated Wealth Partners can charge a fixed fee for providing consulting services that fall outside of its
wealth management services under a stand-alone engagement. These fees are negotiable, but are not
to exceed $1,000,000 and shall be based upon the scope and complexity of the services and the
professional rendering the consulting services. This service is generally billed monthly and in advance.
Certain engagements include a 5% annual increase on the anniversary of the agreement. If the client
engages Curated Wealth Partners for additional investment advisory services, Curated Wealth Partners
may offset all or a portion of its fees for those services based upon the amount paid for the consulting
services. The terms and conditions of the consulting engagement are set forth in the Advisory
Agreement.
Family Office Services
Fees for Family Office Services are negotiable and may be charged as a monthly fee or included in the
advisory fee to clients who have also engaged us for asset management services.
Fee Discretion
Curated Wealth Partners may, in its sole discretion, negotiate to charge a lesser fee based upon certain
criteria, such as anticipated future earning capacity, anticipated future additional assets, dollar amount
of assets to be managed, related accounts, account composition, pre-existing/legacy client relationship,
account retention and pro bono activities.
Additional Fees and Expenses
In addition to the advisory fees paid to Curated Wealth Partners, clients also incur certain charges
imposed by other third parties, such as broker-dealers, custodians, trust companies, banks and other
financial institutions (collectively “Financial Institutions”). These additional charges include securities
brokerage commissions, transaction fees, custodial fees, fees attributable to alternative assets, fees
charged by the Independent Managers, margin and other borrowing costs, charges imposed directly by
a mutual fund, ETF or private funds in a client’s account, as disclosed in the fund’s prospectus or offering
documents (e.g., fund management and/or performance fees and other fund expenses), deferred sales
charges, odd-lot differentials, transfer taxes, wire transfer and electronic fund fees, and other fees and
taxes on brokerage accounts and securities transactions. Curated Wealth Partners’ brokerage practices
are described at length in Item 12, below.
Direct Fee Debit
Clients provide Curated Wealth Partners and/or certain Independent Managers with the authority to
directly debit their accounts for payment of the investment advisory fees. The Financial Institutions that
act as the qualified custodian for client accounts, from which Curated Wealth Partners retains the
authority to directly deduct fees, have agreed to send statements to clients not less than quarterly
detailing all account transactions, including any amounts paid to Curated Wealth Partners.
Use of Margin and Other Borrowing
Curated Wealth Partners does not recommend the use margin in the management of most clients’
investment portfolios. Curated Wealth Partners may, however, recommend investments that use
leverage. In these cases the fee payable will be assessed based upon the valuation of the underlying
investments as provided by the issuer. Where investment management fees are assessed gross of
margin, a conflict of interest exists as Curated Wealth Partners has an incentive to use margin to
increase its fees.
In addition, Curated Wealth Partners may recommend that certain clients utilize margin in the client’s
investment portfolio or other borrowing. For most clients, Curated Wealth Partners recommends such
borrowing for non-investment needs, such as bridge loans and other financing needs. Curated Wealth
Partners’ fees are determined based upon the value of the assets being managed gross of any margin or
borrowing.
For a limited number of clients, Curated Wealth Partners can be authorized to use margin or other
borrowing in the management of the client’s investment portfolio. In these cases the fee payable will be
assessed gross of margin such that the market value of the client’s account and corresponding fee
payable by the client to Curated Wealth Partners will be increased. Where investment management fees
are assessed gross of margin, a conflict of interest exists as Curated Wealth Partners has an incentive to
use margin to increase its fees.
Account Additions and Withdrawals
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