Item 5 - Fees and Compensation
Our fees are based on a percentage of assets under management. Our standard fee schedule
for separately managed accounts is as follows (the standard fee schedule is the same regardless
of which strategy is chosen):
Fee Schedule
Assets Managed: Annual Advisory Fee Rate:
$0-$50,000,000 1.00%
$50,000,001-$100,000,000 0.90%
$100,000,001+ 0.85%
The Annual Advisory Fee Rate may be negotiated and may differ from the standard fee schedule
based on the type of account, historical relationship you have had with us, or other factors. Our
minimum account size is $20,000,000. The minimum account size is also negotiable based on
the account specifics.
We will generally bill fees on a quarterly basis. Accounts initiated or terminated during a calendar
quarter will be charged a prorated fee. Fees are charged in arrears and may be paid directly or
deducted from your custodial account according to your preference. More information on fees
being deducted directly from your account can be found in Item 15 – Custody. Upon termination
of any account, any prepaid, unearned fees will be promptly refunded, and any earned, unpaid
fees will be due and payable.
Elk Creek Partners’ management fees exclude brokerage charges, commissions, custodial costs,
taxes, and other costs incidental to the purchase and sale of securities. For more information on
these types of fees, see Item 12 - Brokerage Practices, below. Clients whose assets are
invested in shares of money market funds, exchange-traded funds (ETFs), or other pooled
investment vehicles (“acquired funds”) may pay both a direct management fee to Elk Creek
Partners as well as indirect management fees and other expenses incurred by the acquired
funds. Please refer to the acquired fund’s prospectus or other offering documents for more
information. The use of ETFs and other pooled investment vehicles is rare in the context of our
investment strategies.
You or we may terminate our investment advisory agreement upon thirty (30) days’ prior written
notice. Upon termination of an investment advisory agreement, the termination date will be used
as the basis for determining the final charge for investment services rendered. Fees will be
prorated on a daily basis to the termination date, and any earned, but unpaid fees, will be
promptly billed to you. Any accounts terminated in the first five business days, in which we are
providing advisory services, will be returned to you without penalty or fee.
None of our founders or employees accepts compensation for the sale of securities or other
investment products.