Item 5: Fees and Compensation
CLIENT ADVISORY FEES FOR THIRD-PARTY ASSET MANAGEMENT PROGRAMS
Some of the TAMP programs described in this Brochure charge an “all-inclusive” bundled fee based on the value of the
assets in your account. This bundled fee usually includes a portfolio management fee, transaction, trading, and execution
costs, and investment advice and is sometimes referred to as a “wrap fee.” However, this bundled fee does not include costs
associated with transactions that are executed at broker-dealers other than the one at which your account is held.
Transactions executed at broker-dealers other than the one at which your account is held are sometimes called “step-out”
trades and are described further below. Fees vary depending on which TAMP programs and services you use. Fees are billed
either in arrears (i.e., following the completion of the applicable billing period) or in advance (i.e., at the beginning of the
applicable billing period) depending on the TAMP program you select and the terms of your client agreement and other
account-opening documentation. Fees typically are charged either monthly or quarterly, as specified in your client
agreement and other account-opening documentation, based on the assets held within your account for services including,
but not limited to, ongoing investment advice, investment selection and recommendations, asset allocation, execution of
transactions (depending on the program you are in), custody of securities, and account reporting services. In some TAMP
programs, the fees a client pays are based upon the market value of the assets held in the client’s account as of the last
business day of the applicable calendar month or quarter, as applicable. In other TAMP programs, the fee is calculated based
on the average daily balance of the account in the applicable month or quarter, as applicable. OFA’s advisory fees in
connection with TAMP programs generally are negotiable. Some TAMP programs charge an “unbundled” fee and, in these
cases, the client will pay separate fees for asset management services, transaction, trading, and execution services, and
investment advice. Applicable fees, costs, and expenses are described in detail in the applicable TAMP program’s Form
ADV, Part 2A and in applicable client agreements and other account-opening documentation. Clients should review those
documents for each of the TAMP programs described in this Brochure for a detailed description of, among other things,
applicable fees, costs, and expenses, fee calculation methodologies, and termination provisions, and should address any
questions they may have with their IAR before proceeding.
Investment advisory fees in connection with TAMP programs generally are negotiable and will typically be debited from
the client’s account by the TAMP program’s custodian. Fees charged vary by OFA office and by IAR, and certain IARs
provide comparable or identical services for fees that are different from those charged by other IARs. In all instances, IARs
are only permitted to charge fees within a range set by OFA and/or the TAMP program sponsor. In TAMP programs that
use portfolio managers, a portion of the total fee up to 1.50% of assets under management will be paid to the portfolio
manager for their services. The amount varies by TAMP program and portfolio manager and is described in detail in the
Form ADV, Part 2A, client agreement, and other account-opening documentation for the applicable TAMP program and/or
portfolio manager.
TAMP program client agreements to which OFA is a party may generally be terminated at any time, by either party, for any
reason on 30 days prior written notice to the other party. Upon termination, and unless otherwise specified in the applicable
TAMP program’s client agreement, any prepaid, unearned fees will be refunded to the client, and any unpaid fees will be
due and payable to OFA and/or the other parties to the client agreement. The methodology used in calculating account fees
and applicable reimbursements, if any, will be specified in the client’s client agreement and other account-opening
documentation. Specific TAMP program client agreements have different fee, termination, and other provisions, and clients
should refer to their specific TAMP program’s client agreement and other account-opening documentation for complete
information regarding their, OFA’s, and other parties’ rights and obligations in connection with the TAMP program. Should
you have any questions regarding the terms of your TAMP program’s client agreement or other account-opening
documentation, please contact your IAR before proceeding.
The following are general descriptions of the fees charged in connection with certain of the most significant TAMP programs
currently being offered to OFA clients. These general descriptions are provided for informational purposes only and are not
intended to replace or fully summarize the detailed fee information provided in your TAMP program’s Form ADV, Part
2A, client agreement, and other account-opening documents, which provide definitive information regarding the investment
advisory and other fees, costs, and expenses you will incur in connection with the TAMP program. Additionally, these
general descriptions are not binding on any TAMP sponsors or programs. As a result, you should rely on the detailed,
definitive fee information provided in your TAMP program’s Form ADV, Part 2A, client agreement, and other account-
opening documentation when evaluating the fees, costs, and expenses you will incur in connection with the TAMP program
and deciding whether to participate in the TAMP program. Each TAMP program’s Form ADV, Part 2A is available from
your IAR and on the SEC’s website at www.adviserinfo.sec.gov, and will be provided to you at account opening along with
your TAMP program’s client agreement and other account-opening documentation. After reviewing these documents, you
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