Item 5 – Fees and Compensation
Description
Daytona Street is compensated by charging an annual fee as a percentage of clients’ assets
under management. There is a flat fee schedule which varies from 0.75%-1.00% per year
depending on the client, investment strategy, assets managed, and other factors. See below for
how our fee schedule differs per strategy:
Daytona Street Equity Strategy (Equity) Fee is 1.0% per year
Global Diversified Strategy (ETF) is 0.75% per year
Other strategies unless otherwise stated (Other) are 1.0% per year
The applicable fee schedule is stated within each client’s investment management agreement
with the Firm. Fees are calculated and assessed in arrears at the end of each quarter and are
based upon the market value of the assets under management at the end of each quarter. Market
values will be determined using the value of cash equivalents plus securities. For assets traded
on a major exchange or the NASDAQ market, the quarter-end closing price is used. All other
securities or investments in the client’s Account will be valued in a manner determined in good
faith by Daytona Street to reflect fair market value using methods as deemed appropriate by the
Firm. If you utilize a margin account, Daytona Street will include the entire market value (total
assets long) of the margin asset when computing its advisory fee. For accounts that start or
terminate mid-quarter, the management fee is pro-rated. Fees are considered negotiable based
on the assets being managed, and other relevant factors including the scope of work necessary
to service client accounts. Some accounts may be under different fee schedules honoring prior
agreements. A client investment management agreement may be canceled at any time, by either
party, pursuant to the terms of each client’s investment management agreement.
Upon request and as part of a client’s advisory relationship with Daytona Street, Financial
Planning services are performed. No additional fees are charged for these services.
Fee Billing
Fees will be invoiced directly or debited from the account on a quarterly basis in accordance with
the client’s written authorization. Accounts managed by the Firm are held in custody by a third-
party bank or broker-dealer of client’s choosing. Clients’ custodians will deliver a periodic (at least
quarterly) account statement directly to clients. The statements will include all transactions that
took place in the account during the period covered and reflect any fees deducted and paid to
Daytona Street. Clients are encouraged to review their account statement for accuracy and
compare them to the reports received from Daytona Street. Should there be any discrepancies
clients should rely on the information in their custodian’s account statement.
Other Fees
Clients will incur custodial fees, brokerage fees and commissions, margin interest and fees, and
other transaction costs and miscellaneous fees in addition to the management fee. Miscellaneous
fees may include (but are not limited to) retirement plan administration fees, odd-lot differentials,
transfer taxes, wire transfer and electronic fund fees, and other fees and taxes on brokerage
accounts and securities transactions. For those accounts that contain mutual funds, clients should
be aware that the fund companies may charge their own management fees as well. Please see
the “Brokerage” section of this brochure for more detail.
Daytona Street negotiates its fees with its clients. Fees on certain employee, family and affiliated
entity separate accounts may be waived. Such waiving is granted at the discretion of Firm
management.
Partnership Fees
The advisory fee that Daytona Street receives as investment manager to the Partnership is based
on the amount of assets under management in the fund as disclosed in its offering documents.
Advisory fees for the Partnership are calculated by an independent, third-party administrator,
deducted from each investors’ capital account, and verified annually by an independent auditor.
8th & Jackson GP, LLC, the General Partner to the Partnership and an affiliate of Daytona Street,
collects an annual performance fee, subject to a “high water mark. As the investment manager,
Daytona Street is entitled to an advisory fee, while a performance fee is collected by 8th & Jackson
GP, LLC. Although 8th & Jackson GP, LLC is owned in full by Benjamin Weiss, a principal owner
and related person of Daytona Street, through an arrangement between Benjamin Weiss and
Tom Eidelman, also a principal owner and related person of Daytona Street, Tom Eidelman
receives 20% of any performance fee paid to the general partner by the Partnership and Benjamin
Weiss receives 80%. See Item 6 - Performance-Based Fees & Side-by-Side Management and