Administration & Fees

We keep our clients informed through regular contact, including quarterly portfolio statements and market letters. Direct access to portfolio managers is encouraged to ensure we are informed of changes to clients’ financial circumstances. Client accounts are custodied at major financial institutions.

Transparent Portfolio Reporting

Clients receive for each account:

  • a comprehensive quarterly statement detailing all current positions and each transaction during the period;
  • an in-depth quarterly letter that discusses our market outlook and reviews the significant portfolio holdings; and
  • annual tax reporting of all income, capital gains/losses and portfolio expenses during the year.

We also encourage regular contact to allow the portfolio manager to be made aware of any changes in a client’s financial situation, which may warrant a different investment mandate.

Brokerage and Custody

We generally use our affiliated investment dealer, Trapeze Capital Corp., for brokerage services, including trade execution. Trapeze Capital shares common ownership with us, as well as certain personnel and office premises, and the two organizations exchange research ideas and strategies.

The cash and securities of each client are custodied in an individual account held in the client’s name at a major financial institution.

Management Fees

Growth Accounts

  • Base management fee: 1.25% per annum of value of the account, payable quarterly in arrears.
  • Performance fee: 20% of appreciation (after deducting base management fee and other expenses, including commissions) in the net asset value of the account in excess of 6% per annum, payable annually at the end of each calendar year, but accrued for interim reporting purposes. Any amount of performance less than 6% is carried forward to the next year, but not to any subsequent year. The performance fee provides an incentive to Trapeze and aligns our interest with the client’s performance—only charged after returns exceed the hurdle rate.

Income Accounts

  • Base management fee: 1.0% per annum of value of the account, payable quarterly in arrears.
  • No performance fee.

No lock-up period and no redemption fees for account withdrawals.