Item 5 Fees and Compensation
A. Fees Methods of Compensation and Fee Schedule
Investment Advisory Services
Quid Capital fees are charged as a percentage of assets under management. The advisory fee
for all clients and services are below. Client fees will not exceed a total fee of 3%.
Account Size Equity and Blended Accounts Annual Fee
$1,000,000 - $10,000,000 1.25%
Your Next: $10,000,001 - $20,000,000 1%
Your Next: $20,000,001 - $100,000,000 .75%
Additional Amounts: $100,000,001+ .50%
Income Only Annual Fee
$1,000,000 - $5,000,000 0.75%
$5,000,001 - $10,000,000 0.50%
$10,000,001 - $20,000,000 0.45%
$20,000,001 - $50,000,000 0.40%
$50,000,001 - $100,000,000 0.35%
Additional Amounts: $100,000,001 0.30%
For example, an account size of $12 million would be calculated as follows:
Blended Account
AUM Quarterly Fee Total
First $10,000,000 $31,250 $125,000
Next $1,999,999 $4,999.99 $19,999.99
GRAND TOTAL $144,999.99
Income Only
AUM Quarterly Fee Total
First $10,000,000 $12,500 $50,000
Next $1,999,999 $2,499.99 $9,999.99
GRAND TOTAL $59,999.99
Lower fees for comparable services may be available from other sources and will comply with
CCR Section 260.238(j). Fees are negotiable.
Wealth Management
Clients will be charged a fee for investment management services and is based on client
assets under management. The investment agreement will state fees charged. Fees do not
include mutual fund, ETF or money managers that made be charged.
Portfolio Management
Institutional clients and high net worth individuals may require portfolio construction strategies
that are suitable for their investment objectives. Portfolio fees will be stated within the
investment agreement.
B. Payment of Fees
Client fees are deducted in arrears from the clients account, calculated by the advisor
deducted from the clients account assets at the custodian. Fees are calculated either (1)
at the end of the applicable quarter, or (2) based on the monthly average value of assets
under management during the applicable quarter. The amount due is calculated by applying
the quarterly rate, the number of days within the quarter divided by 365, to the total assets
under management at the end of the prior quarter. The average daily balance will then be
calculated. Statements are provided to the clients at least quarterly by the custodian.
Advisory fees are deducted from client accounts through a written authorization. Accounts
initiated or terminated during a billing period will be charged a prorated fee. Accounts can
be terminated at any time through a written client instruction. Fees maybe negotiable
depending on a variety of factors including size of account or commitment.
The fees paid by Quid Capital clients are exclusive of brokerage commissions, transaction
fees, other related costs and expenses which are typically incurred by the client. Clients my
incur certain charges imposed by custodians, fund administrators, transfer agents, brokers
and other third parties such as fees charged for 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. Exchange traded funds also charge internal
management fees, which are disclosed in a fund's prospectus. Quid Capital does not receive
any portion of these commissions, fees, and costs.
C. Prepayment of Fees
The fees paid by Quid Capital Separate Account clients are exclusive of brokerage
commissions, transaction fees, other related costs and expenses which are typically incurred
by the client. Clients my incur certain charges imposed by custodians, fund administrators,
transfer agents, brokers and other third parties such as fees charged for 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. Exchange traded funds
also charge internal management fees, which are disclosed in a fund's prospectus. Quid
Capital does not receive any portion of these commissions, fees and costs.
If a client terminates a relationship with an independent manager, the terms of the agreement
will set forth termination terms.
Please see Item 12 Brokerage Practices.
D. Outside Compensation for the Sale of Securities to Clients
Quid Capital nor its employees accept any compensation for the sale of securities or other
investment products, including asset-based sales charges or service fees for the sale of
mutual funds. Primarily based on the tenure of the assets and performance of the assets
raised by aligning the interests with the investors’ interests.