Item 5 – Fees and Compensation
Advisory Contracts and Fees
5. A. Adviser Compensation
NAMCO’s fees are described generally below and detailed in each client’s advisory
agreement or applicable account documents. NAMCO has separately negotiated fees for each
account based on the unique qualities and demands of each. In general, fees range from
0.12% - 0.15% of assets under management in an account. NAMCO may waive all or part of
their fee or negotiate a fee lower than the stated rate. The specific manner in which fees are
charged by NAMCO is established in a client’s written advisory agreement. NAMCO bills its
fees on a quarterly basis.
Other Advisory Fee Arrangements
NAMCO reserves the right, in its sole discretion, to negotiate and to charge different advisory
fees for certain accounts based on the client’s particular needs as well as overall financial
condition, goals, risk tolerance, and other factors unique to the client’s particular
circumstances.
5. B. Direct Billing of Advisory Fees
Fee invoices are typically sent by email to clients, who normally pay such fees by remittance
by wire. Fees are payable by client upon receipt of invoice quarterly.
5. C. Other Non-Advisory Fees
NAMCO’s advisory fee is exclusive of brokerage commissions, transaction fees, and other
related costs and expenses which shall be incurred by the client. Clients may 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. A client’s portfolio may include positions in mutual
funds or exchange traded funds which also charge internal management fees, which are
disclosed in those funds’ prospectuses. Such charges, fees and commissions are exclusive of,
and in addition to, NAMCO’s fee, and NAMCO shall not receive any portion of these
commissions, fees and costs.
Item 12 further describes the factors that NAMCO considers in selecting or recommending
broker-dealers for client transactions and determining the reasonableness of their
compensation (e.g., commissions and spreads).
5. D. Advance Payment of Fees
As a general matter, advisory fees for clients are billed quarterly in arrears and are payable
upon receipt. Advisory agreements are typically terminable by the client or NAMCO upon
prior written notice to NAMCO, as specified in the relevant agreement and by NAMCO,
generally upon 30 days’ prior written notice to or from the client. In the event that an
advisory contract is terminated prior to the conclusion of a billing period, NAMCO will bill
the account pro rata based on date of termination.
5. E. No Compensation for Sale of Securities or Other Investment Products
NAMCO’s supervised persons do not accept compensation for the sale of securities or other
investment products, including asset-based sales charges or service fees from the sale of
mutual funds.