Insight Securities Inc

Item 5 ‐ Fees and Compensation
General
As compensation for providing the services specified herein, Client shall pay the Sponsor, a fee equal
to .06 – 2.0% (“Program Fee”) of the Program Assets.
Program Fees are calculated by multiplying the assets under management by the relevant percent and
dividing such product by four (4). The extent of monitoring services and all fees are agreed upon in
writing prior to engagement. Program Fees are payable quarterly, in advance and such fees will be
deducted from client's account(s). All Program Fees may be negotiable under certain circumstances.
Services may be terminated by either party at any time for any reason and any unearned fees are
refunded on a pro‐rate basis less reasonable startup cost.
Our Program Fees are exclusive of transaction fees, and other related costs and expenses which shall
be incurred by the client. Clients will incur certain charges imposed by custodians, brokers, third party
investment and other third parties such as fees charged by managers, custodial 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; provided however, the Wrap Fee does not
cover brokerage commissions or other charges resulting from transactions not effected through
Insight Securities or its affiliates, nor does it cover custody services provided by any third‐party
custodian. Additionally, the Wrap Fee does not include ticketing charges which generally range from
$8 to $15 per ticket.
The relationship between the parties may be terminated by either party upon 30 days written notice.
Notwithstanding the above, if the appropriate disclosure statement was not delivered to the client at
least 48 hours prior to the client entering into any written or oral advisory contract with this
investment adviser, then the client has the right to terminate the contract, without a penalty, within
five (5) business days after entering into the contract.
In the event of termination, the Client will be entitled to a prorated refund of any pre‐paid Program
Fees based upon the number of days remaining in the quarter after the termination date. If the account
is closed within six months by Client, the Sponsor will retain the pre‐ paid Program Fee for the current
quarter.
See also item number 12 below for additional compensation received by Insight Securities and for a
description of factors that Insight Securities considers in selecting or recommending broker‐ dealers
for client transactions and determining the reasonableness of their compensation (e.g., commissions).

Clearing and Transaction Charges
In addition to the Program Fee, the client may be charged incidental fees by the custodian. Portfolio
Managers, the Sponsor and its respective agents, in connection with the performance of their
respective services, shall be entitled to and will share proportionally in the Program Fee. Additionally,
the Program Fee includes all fees and charges for the services, as applicable, of the Portfolio Managers
and the Sponsor, and all applicable brokerage charges, but is exclusive of transaction charges and
costs, postage and handling charges and direct out‐of‐ pocket costs incurred by the Sponsor as a result
of it’s providing the services, and separate third party charges for the Account, including transfer fees,
and certain transaction and settlement costs incurred by the Sponsor, or separate fees, costs and
expenses resulting from the agreement(s) executed between Clients and the Custodian .

Fund Disclosure
To the extent mutual funds are selected by the sub‐manager to fill components of the overall
investment strategy, the annual advisory fee set forth above does not include the customary fees and

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expenses associated with investing in mutual funds or other costs of establishing and maintaining an
account with mutual funds including Rule 12b‐1 fees and expenses. The client is advised that, in
addition to the annual advisory fee set forth above, each mutual fund in which assets are invested will
incur separate investment advisory fees and other expenses for which Client will bear a proportionate
share. As a result, the fees charged to the Client’s account may be higher than fees charged by other
investment advisors for similar services, and that mutual funds can be purchased directly without
participation in the Program.

Authorization to Debit Account
Clients authorize the Sponsor and the Custodian to deduct all applicable fees from the Client’s account.
All such fees will be clearly noted on the Client’s statements. It is agreed by the Client and the Sponsor
that the Program Fees will be payable from the redemption or withdrawal (as authorized by the
Client) of Client’s shares of any money market account or balances in any money market fund within
the account. In the event that the Client's balances in money market accounts are insufficient to pay
the Program Fees, the Client will authorize the Advisor to liquidate securities holdings in the account.
The Client may further authorize Program Fees to be debited from a separate account owned by the
Client by completing and attaching an Alternative Fee Payment Instructions Form.

Termination
Either party may terminate the relationship at any time by giving thirty (30) days prior written notice
of such termination to the other parties. If the account is to be liquidated as the result of a termination
notice, the process of liquidation may take up to five (5) trading days to effect following the date the
liquidation request was received by the Sponsor. Fees earned but unpaid shall be prorated to the date
of termination date. If for any reason the Client Account value falls below the minimum account
balance required by a specific Portfolio Manager, the Sponsor and the Portfolio Manager have the right
...

Types of Clients
Insight Securities, Inc. may provide portfolio management services to individuals, high net worth
individuals, trusts, corporate pension and profit‐sharing plans, Taft‐Hartley plans, private investment
funds, trust programs, and other institutions.

Item 6 – Portfolio Manager Selection and Evaluation
General Portfolio Selection and Evaluation Criteria
We take into consideration a number of issues in our due diligence effort to select and retain suitable
managers. While not exclusive, we generally take into consideration the following:
Whether portfolio or sub‐manager is affiliated with a bank, insurance company, broker‐dealer, and/or
registered investment advisor;

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With respect to active managers, we look to see if historical performance calculations are in
compliance with the performance guidelines of the Global Investment Performance Standards
(“GIPS”) and represents the style of the portfolio being considered;
We review information is available on key personnel, representative clients, fee arrangements, range
of investment styles, and assets under management;
We perform a qualitative analysis on the portfolio or sub‐manager where we take into consideration
whether there a clearly defined investment strategy and investment selection process, sell
discipline/downside protection, investment style adherence, quality and depth of the management
team, favorable firm ownership, desire to close portfolios based on size, marketing capabilities, type
of client base, and regulatory compliance, transparency of underlying investments, and research
capabilities;
We also perform a quantitative analysis which considers risk‐adjusted returns, performance
attribution, portfolio composition, fees, and statistical measures.
To assist in the portfolio manager and sub‐manager selection process, we utilize analytical
information provided by Morningstar, Lockwood Advisors, and material provided directly from the
managers.
Additionally, consideration is given to both active and passive management when available.
The rationale to engage active management is to “add value” over time versus an indexed
alternative. Both enhanced return and risk control are opportunities for a manager to
“outperform” a comparable benchmark. Recognizing that active managers have periods
where they over and or underperform the benchmarks, manager selection and retention
attempts to consider a series of full market cycles (at least 5‐10 years) in order to weight the
impact of active management over long periods of time.
The selection, retention or dismissal of a manager is based on a comprehensive due diligence
assessment, however it is possible that a manager could be engaged even though the analysis
reveals certain factors that, in isolation, could be deemed unappealing.

Performance Review
Insight does not utilize a third‐party to review the portfolio and or sub‐manager performance
information. Additionally, you should be aware that performance information may not be calculated
on a uniform and consistent basis.

Related Person Portfolio Management
IARs of Insight Securities are allowed to act as a portfolio manager for the Managed Program. Their
activities are monitored, and they are compensated through a comprehensive single fee.

Performance Based Fees & Side-by-Side Management
Insight Securities does not charge performance‐based fees (fees based on a share of capital gains on
or capital appreciation of the assets of a client) or engage in side by side management.