Item 5: Fees and Compensation
A. Fees Charged/ Fee Schedule:
Asset Management
Fees are negotiable, but generally range from .50% to a maximum 2.00%.
Occasionally, various related client accounts may be grouped together to qualify for reduced advisory
fees. This format is called "family billing". It is the responsibility of the client to verify accuracy of fee
calculation.
Wealth Transfer Planning and Family Office
These services are offered for an annual flat fee ranging from $25,000 to $100,000.
B. Fee Payment
Asset Management
Investment advisory fees will generally be debited directly from each client’s account. The advisory fee
is paid on either a quarterly or monthly basis depending on the chosen custodian and method. Clients
whom choose to use Schwab Institutional or Fidelity may have the option for monthly billing. All clients
using Folio FN Institutional as custodian will be assigned quarterly billing. Depending on the client’s
needs and suitability, the appropriate custodian and billing model will be recommended. Fees are
calculated based on the value of the account(s) at the beginning (value at market close of prior billing
period end) of each calendar quarter or month (depending on selected method) and are billed 1 quarter or
month in advance. By using the last day of the previous billing period, Genus is not taking into
consideration any upcoming deposits or withdrawals, unless the withdrawal is pursuant to a termination
of the relationship, in which case a pro-rata refund will be issued. Once the calculation is made, we will
instruct your account custodian to deduct the fee from your account and remit it to the firm.
It is the responsibility of the client to verify the accuracy of all fee calculations. The client may terminate
the investment advisory contract by notifying Genus in writing at its principal place of business.
The advisory agreement may be modified as mutually agreed upon in writing. The agreement is
terminable by you at any time. The agreement is not assignable by Genus without the advance written
consent of the client.
Wealth Transfer Planning and Family Office
The payment of the flat fee is billed up front at the time of engagement. On each yearly anniversary of
the agreement, the next year’s fee shall be negotiated and billed. The client has the option to pay Genus
directly or designate an account from which the fee can be debited directly.
C. Other Fees
Mutual Funds
All fees paid to Genus for investment advisory services are separate and distinct from the fees and
expenses charged by underlying investments such as mutual funds. In the case of mutual funds, 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. Expenses of a fund, including
management fees payable to the mutual fund manager, will not appear as transaction fees on a client’s
statement, as they are deducted from the value of the shares by the mutual fund manager. If the fund
also imposes sales charges, a client may pay an initial or deferred sales charge. A client could invest in a
fund directly, without the services of Genus. In that case, the client would not receive the services
provided by Genus which are designed, among other things, to assist the client in determining which
fund or funds are most appropriate to each client's financial condition and objectives. Accordingly, the
client should review both the fees charged by the funds and the fees charged by Genus to fully
understand the total amount of fees to be paid by the client and to thereby evaluate the advisory services
being provided. Genus can provide or direct you to a copy of the prospectus for any fund that we
recommend to you.
Other Fees
There are a number of other fees that can be associated with holding and investing in securities. You
will be responsible for fees including transaction fees for the purchase or sale of other securities,
including commissions for the purchase or sale of a stock or exchange traded fund, or fees charged by
independent managers, though these fees are not paid to Genus or any principal thereof. There also
may be fees associated with the custody of assets.
Please make sure to read Item 12 of this informational brochure, where we discuss broker-dealer and
custodial issues.
D. Pro-rata Fees
If you become a client during a billing period, you will pay a management fee for the number of days
left in that billing period (which could be the remainder of a month or a quarter, depending upon the
custodian chosen and other factors). If you terminate our relationship during a billing period, you will
be entitled to a refund of any management fees for the remainder of the billing period. Once your notice
of termination is received, we will refund the unearned fees to you in whatever way you direct (check,
wire back to your account).
E. Compensation for the Sale of Securities
To permit clients to have access to as many investment solutions as possible, certain professionals of
Genus are registered representatives of Purshe Kaplan Sterling Investments (“PKS”), a FINRA member
broker-dealer. The relationship with PKS allows these professionals to provide additional products to
clients’ portfolios that would not otherwise be available. Because PKS supervises the activities of these
professionals as registered representatives of PKS, the relationship may be deemed material. However,
PKS is not affiliated with Genus or considered a related party. PKS does not make investment decisions
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