To illustrate how the fees are calculated, assume assets of $2,000,000, then calculate as follows:
$500,000 x 0.8% + $1,500,000 x 0.6% = $13,000
This equates to an average rate of 0.65% for $2,000,000 in assets under management, which is 30% lower than the industry average.
The fee schedule above is quoted on an annual basis. We typically charge pro-rated management fees directly to clients’ accounts monthly in advance.