Item 5. Fees and Compensation
Fees calculated as described below are not charged on the basis of a share of capital gains upon
or capital appreciation of the assets or any portion of the assets of the client. Accounts are
generally billed quarterly. Unless otherwise directed by the client, TBCAM calculates the gross
period management fees based upon a 30 day month and a 360 day year. Fees are generally
charged on the total market value of the assets under management as of a specific date (usually
quarter-end) or an average of month-end values. If the client chooses to be billed based upon
their quarter-end market value, and in the absence of contrary direction from the client, TBCAM
will adjust management fees for significant cash flows during the billing period on a pro-rata
basis. For a withdrawal or termination, TBCAM considers the actual date of withdrawal of
funds a fee-earning day. For an enrichment, the TBCAM does not consider the date of receipt of
funds a fee-earning day except in the case of an initial funding on a new account. Market values
are sourced from TBCAM’s internal accounting systems unless specifically directed otherwise
by the client.
We reserve the right, in our sole discretion, to negotiate or modify (either up or down) the basic
fee schedule(s) set forth below for any client due to a variety of factors, including but not limited
to: the level of reporting and administrative operations required to service an account, the
investment strategy or style, the number of portfolios or accounts involved, and/or the number
and types of services provided to the client. Because our fees are negotiable, the actual fee paid
by any client or group of clients may be different from the fees reflected in our basic fee
schedule(s) set forth below.
TBCAM does not charge or receive compensation in connection with the sale of
securities/private funds/mutual funds/or other investment products. However, certain of our
employees or employees of our affiliates accept compensation (also referred to as
“commissions”) for the sale of securities/private funds/mutual funds/or other investment
products. Accepting commissions gives rise to a conflict of interest in that it may give our
employees an incentive to recommend investment products based on the compensation they will
receive, rather than solely on a client’s needs. Please refer see Item 6 of this brochure for more
information on these conflicts of interest.
All fees paid to TBCAM are separate from any fees and expenses that are charged by a mutual
fund to shareholders of mutual fund shares (for accounts that hold shares of mutual funds). A
complete explanation of expenses charged by the mutual fund is contained in each mutual fund's
prospectus.
Our client’s investment advisory agreements may also provide that they will incur fees and
expenses in addition to our advisory fees including, but not limited to, brokerage and other
transaction costs. Examples of other costs and expenses charged by custodians and/or brokers
may include odd-lot differentials, transfer taxes, wire transfer fees and electronic fund fees.
Please review your investment advisory agreement for further information on how we charge and
collect fees. Please see Item 12 of this brochure for more information on our brokerage
practices.
TBCAM's standard annual fees by strategy are as follows:
U.S. Large Cap Value Equity
Dynamic Large Cap Value
55 Basis Points First $25 million
45 Basis Points Next $25 million
35 Basis Points Next $50 million
25 Basis Points Thereafter
Minimum Fee: $82,500
Minimum Account Size: $15 million
Equity Income/High Dividend Income
55 Basis Points First $25 million
45 Basis Points Next $25 million
35 Basis Points Next $50 million
25 Basis Points Thereafter
Minimum Fee: $82,500
Minimum Account Size: $15 million
Concentrated US Value
55 Basis Points First $25 million
45 Basis Points Next $25 million
35 Basis Points Thereafter
Minimum Fee: $82,500
Minimum Account Size: $15 million
U.S. Small Cap Opportunistic Equity
U.S. Small Cap Opportunistic Value
100 Basis Points First $25 million
90 Basis Points Thereafter
Minimum Fee: $150,000
Minimum Account Size: $15 million
U.S. Small Mid Cap Opportunistic Value
90 Basis Points First $25 million
75 Basis Points Thereafter
Minimum Fee: $135,000
Minimum Account Size: $15 million
U.S. Mid Cap Opportunistic Value
80 Basis Points First $25 million
60 Basis Points Thereafter
Minimum Fee: $120,000
Minimum Account Size: $15 million
U.S. All Cap Opportunistic Equity
70 Basis Points First $25 million
65 Basis Points Next $25 million
55 Basis Points Next $50 million
50 Basis Points Thereafter
Minimum Fee: $105,000
Minimum Account Size: $15 million
U.S. Small Cap Value Equity
U.S. Small Cap Blend/ U.S. Small Cap Value/U.S. Small Cap Core
100 Basis Points First $25 million
90 Basis Points Thereafter
Minimum Fee: $150,000
Minimum Account Size: $15 million
U.S. Small Mid Cap Value/Concentrated US Small Mid Cap Value
90 Basis Points First $25 million
75 Basis Points Thereafter
Minimum Fee: $135,000
Minimum Account Size: $15 million
U.S. Small Cap Growth Equity
U.S. Small Cap Blend/ U.S. Small Cap Growth/ U.S. Small Cap Tax Sensitive
100 Basis Points First $25 million
90 Basis Points Thereafter
Minimum Fee: $150,000
Minimum Account Size: $15 million
U.S. Small Mid Cap Growth
90 Basis Points First $25 million
...