Item 5 Fees and Compensation
A. Describe how you are compensated for your advisory services. Provide your fee schedule.
Disclose whether the fees are negotiable.
As an SEC registered investment adviser delivering the brochure only to qualified
purchasers (as defined in section 2(a)(51)(A) of the Investment Company Act of 1940)
we need not disclose our fee schedule and whether or not our fees are negotiable.
Product: Global fixed income (bonds)
Fee Type: fixed
Minimum Investment: $200,000,000
Since our client accounts will be separate accounts, our fees and minimum investment
amounts may change for certain client strategies based on the modifications from the
standard strategy to fit the needs of a particular client or because the client has hired us
for more than one strategy or the client may increase the size of the funds allocated to a
particular strategy.
Note: If you are an SEC-registered adviser, you do not need to include this information in a
brochure that is delivered only to qualified purchasers as defined in section 2(a)(51)(A) of the
Investment Company Act of 1940.
B. Describe whether you deduct fees from clients’ assets or bill clients for fees incurred. If
clients may select either method, disclose this fact. Explain how often you bill clients or deduct
your fees.
We invoice clients for fees incurred on a calendar quarterly or monthly basis and in
arrears.
C. Describe any other types of fees or expenses clients may pay in connection with your
advisory services, such as custodian fees or mutual fund expenses. Disclose that clients will
incur brokerage and other transaction costs, and direct clients to the section(s) of your brochure
that discuss brokerage.
TSIG’s fees are exclusive of custody fees, brokerage commissions, transaction fees and
other transaction related costs and expenses which are incurred by the client. Such
charges, fees and commissions are exclusive of and in addition to TSIG’s fee and TSIG
does not receive any portion of those commissions, fees and costs.
See also section 12 herein on brokerage.
SEC Form ADV Part 2A: Firm Brochure for Third Stage Investment Group, LLC
D. If your clients either may or must pay your fees in advance, disclose this fact. Explain how a
client may obtain a refund of a pre-paid fee if the advisory contract is terminated before the end
of the billing period. Explain how you will determine the amount of the refund.
Clients do not pay our investment management fees in advance.
E. If you or any of your supervised persons accepts compensation for the sale of securities or
other investment products, including asset-based sales charges or service fees from the sale of
mutual funds, disclose this fact and respond to Items 5.E.1, 5.E.2, 5.E.3 and 5.E.4.
Neither our firm, neither any affiliate of our firm nor any supervised persons of
our firm or its affiliates accepts compensation for the sale of securities or other
investment products, including asset-based sales charges or service fees from the
sale of mutual funds.
See also Section 12 listed in the table of contents which describes Brokerage
Practices.
1. Explain that this practice presents a conflict of interest and gives you or your supervised
persons an incentive to recommend investment products based on the compensation
received, rather than on a client’s needs. Describe generally how you address conflicts
that arise, including your procedures for disclosing the conflicts to clients. If you
primarily recommend mutual funds, disclose whether you will recommend “no-load”
funds.
Not applicable
2. Explain that clients have the option to purchase investment products that you recommend
through other brokers or agents that are not affiliated with you.
Not applicable
3. If more than 50% of your revenue from advisory clients results from commissions and
other compensation for the sale of investment products you recommend to your clients,
including asset-based distribution fees from the sale of mutual funds, disclose that
commissions provide your primary or, if applicable, your exclusive compensation.
Not applicable
4. If you charge advisory fees in addition to commissions or markups, disclose whether you
reduce your advisory fees to offset the commissions or markups.
Note: If you receive compensation in connection with the purchase or sale of securities,
SEC Form ADV Part 2A: Firm Brochure for Third Stage Investment Group, LLC
you should carefully consider the applicability of the broker-dealer registration
requirements of the Securities Exchange Act of 1934 and any applicable state securities
statutes.
Not applicable
SEC Form ADV Part 2A: Firm Brochure for Third Stage Investment Group, LLC