Item 5 – Fees and Compensation
Investment Management Services
Individuals
The Firm's fee for investment management of separately managed accounts is generally a
percentage of the client's assets under the Firm's management. The fee percentage varies
according to the complexity of the engagement, the type of assets to be managed, the value of the
assets under the Firm's management, and other factors including negotiation with the client. Our
fees generally range from 0.75% to 1.0% per year. 1 The fee percentage is set forth in the client's
agreement with the Firm.
Some legacy clients have other fee arrangements that are no longer offered to new clients.
ECAM Form ADV Part 2A
At the discretion of the firm new qualified investors may invest in the Partners Strategy through
an SMA rather than the Fund and will be charged a similar management and performance fee
structure as the Fund. The management fee is payable monthly in advance at an annual rate of
1.00% (calculated monthly at 1/12 of 1.00%) based on the account value as of the first day of
each month, including any capital contributions made as of such date. We reserve the right to
negotiate the specific fee amounts with SMA clients at their request.
For each full year an investor remains invested, the annual management fee is reduced by 0.05%,
subject to a minimum annual fee of 0.50%. Additional capital contributions will be charged at
the management fee rate in effect at the time of contribution. The applicable fee rate is set forth
in the client’s agreement with the Firm.
Institutions
The Firm charges for institutional investment management services up to 1.0% per year. The fee
percentage is set forth in the client’s agreement with the Firm.
ECAM Partners Fund, LP
The Firm is the investment advisor for the ECAM Partners Fund, LP. The Fund is available only
to investors meeting stringent qualification standards as detailed in the Fund’s Confidential
Private Placement Memorandum (“PPM”). Offers are only made via the PPM, subscription
agreement, and other related documentation. For more information on fees and expenses as it
relates to the Fund, please request a copy of the PPM.
General Information on Fees
All fees are negotiable and may be adjusted based upon circumstances and relationships with
clients. Some clients may have a fee schedule that predates the current schedule and therefore
may pay ECAM a higher or lower fee than reflected on this schedule for their asset size. Further,
some qualified clients, and the Fund, pay performance fees, detailed in Item 6, below.
All client fees and specifics regarding the billing frequency and method of calculation will be
delineated in all client agreements. Clients may be billed monthly or quarterly either in advance
or in arrears, based on the portfolio assets on the last day of the prior period’s billing cycle.
Clients generally authorize ECAM through custodial paperwork to deduct management fees
directly from each account or accounts. When authorized, ECAM may deduct fees from one
account on behalf of other accounts in the relationship.
If a client decides to terminate his or her relationship with ECAM, for those clients that pay
advisory fees in advance, we will refund a portion of the investment management fee that reflects
periods in which those services were not yet provided. Clients may direct in what form or
manner they would like their refund. In the event a client who pays in arrears terminates their
relationship, ECAM will bill the client account for the partial period in which those services
were rendered. Clients always have the right to terminate their agreement without penalty at any
time.
ECAM Form ADV Part 2A
A client agreement may be canceled at any time by either party but must be promptly followed
up in writing if the termination is oral. The termination will be effective at the close of business
on the day notice was received. Upon termination of any account, any prepaid, unearned fees
will be promptly refunded.
All fees paid to us for investment advisory services are separate and distinct from the fees and
expenses charged by mutual funds to their shareholders. These fees and expenses are described
in each fund’s prospectus. These fees will generally include a management fee, other fund
expenses, and a possible distribution fee. If the fund also imposes sales charges, a client may
pay an initial or deferred sales charge. A client could invest in a mutual fund (including
exchange-traded funds) directly without our services. In that case, the client would not receive
our advice, which among other things, is designed to help the client select which mutual fund or
funds are most appropriate to each client’s financial condition and objectives. The client should
review both the fees charged by the funds and the fees charged by us to fully understand the total
amount of fees to be paid by the client and to evaluate thereby the advisory services being
provided.
Our fees are exclusive of brokerage commissions, transaction fees, and other related costs and
expenses, which shall be incurred by the client. Clients will incur charges imposed by third
parties, potentially including custodians, brokers, third-party investment managers, and other
managers. These third-party fees include custodial fees, SEC fees, exchange fees, 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. Mutual funds and exchange
traded funds also charge internal management fees, which are disclosed in a fund’s prospectus.
These internal fees and costs are borne by all fund shareholders owning the same share class.
These fees are deducted from each fund's net asset value and, as such, are indirect expenses
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