Item 5 Fees and Compensation
A. Fees
Jaffe Tilchin Asset Management Fees for Retail Clients
You will pay our firm an annual asset-based management fee for our portfolio management services.
The fee is calculated as a percentage of the market value of your assets, including the value of any
actively managed cash balances, as such value is determined by the custodian of your account. The
maximum asset management fee you will be charged annually is 2.00% of assets under management,
which number is inclusive of any independent manager’s fees. Our asset-based fees are pro-rated for
partial billing periods based on the number of days services are provided to you relative to the total
number of days in the partial period.
While some of our legacy clients participate in our wrap fee program, as outlined in our Wrap Fee
Brochure, we no longer offer this program to new clients.
Unaffiliated Asset Managers Fees
Fees are dependent upon the third-party manager who may require a minimum investment. Their fees
may or may not be negotiable. We typically receive your fee directly from the custodian of your assets.
The fee we receive from the custodian generally has already had the third-party manager fee deducted.
The third-party manager then receives their fee from us.
A complete description of:
• the programs and services provided,
• the amount of total fees,
• the payment structure including, but not limited to, whether the fees are billed in arrears or
advance and how fees are calculated,
• termination provisions, and
• other aspects of each program are detailed and disclosed in the unaffiliated asset manager’s
brochure; wrap brochure (if available) or other applicable disclosure documents; and the
unaffiliated asset managers’ account opening documents.
A copy of all relevant disclosure documents of the unaffiliated asset manager and of the individual
portfolio manager(s) are provided to anyone interested in these programs or managers.
In addition to paying investment management fees, private funds or investment vehicles are subject to
other investment expenses such as custodial charges, brokerage fees, commissions, and administrator
costs plus expenses including, but not limited to, sales expenses, legal expenses, internal and external
accounting, audit and tax preparation expenses; and organizational expenses. Private fund fees and
expenses are passed on to the fund investors. To invest in private funds, the receipt and completion of
special documents is required, and all additional expenses are delineated in these.
3D Tech Plus, LLC
For our services as investment adviser to 3D Tech Plus, LLC, we receive a performance fee as
discussed below in Item 6. The Offering Documents describe this calculation. Please refer to the
Offering Documents for a more complete discussion of the fee for 3D Tech. For Jaffe Tilchin clients,
we exclude the value of any assets invested in 3D Tech when calculating our management fee.
Fees for Financial Planning Services
Fees for financial planning services are charged on a fixed-fee basis. The amount you will be charged
will be negotiated between you and Jaffe Tilchin. Generally, the amount of our fees will depend upon
the complexity of the services you need. Fixed fees may range from $1,000 to $40,000 per plan. We
will provide you with an estimate of the cost of the services to be provided to you prior to beginning
the financial planning process.
Fixed fees are payable upon completion of the services outlined in the executed financial planning
agreement. Alternatively, you may elect to pay this fee on a quarterly basis. Under this arrangement,
one-quarter (1/4) of the fee will be due upon execution of our financial planning agreement and one-
quarter (1/4) of the fee will be billed quarterly in advance thereafter until either the fee is paid in full or
we have provided all of the services we agreed to provide to you. In that case, the balance of the fee
will be due in its entirety.
The Financial Planning Agreement may be terminated upon written notice by either party. Unearned
fees paid in advance will be refunded pro rata, based on the work completed.
Fees for General Institutional Consulting:
Our fee schedule is described below:
Plan Asset Balance Annual Fee1
Up to $1,000,000 0.60%
$1,000,001 to $5,000,000 0.50%
$5,000,001 and above 0.40%
1Fees are negotiable at our sole discretion.
B. Fee Payment
All advisory fees are billed quarterly, in advance as contractually agreed upon. Advisory fees are based
upon market value of the plan assets on the last business day of the preceding calendar quarter.
C. Other Fees and Expenses
In addition to our consulting fee, you may be required to pay other charges such as:
• custodial fees,
• brokerage commissions, transaction fees,
• SEC fees,
• internal fees and expenses charged by mutual funds or exchange traded funds (“ETFs”), and
variable annuities, and
• other fees and taxes on brokerage accounts and securities transactions.
We do not participate in or benefit from these charges.
Mutual fund companies, ETFs, and variable annuity issuers charge internal fees and expenses for their
products. These fees and expenses are in addition to any advisory fees charged by us. Complete details
of these internal fees and expenses are explained in the prospectuses for each investment. You are
strongly encouraged to read these explanations before investing any money. You may ask us any
questions you have about fees and expenses.
If you purchase mutual funds through the custodian/broker-dealer, you may pay a transaction fee that
would not be charged if the transactions were made directly through the mutual fund company. Also,
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