FAQ

How is Rock Point compensated for its services?

Rock Point is a fee-based advisory firm.  Our one source of compensation is the fee paid to us by our clients, calculated as a percentage of the value of assets under our management. We believe this approach best aligns our interests with those of our clients.  We are motivated to trade only when we feel the transaction is likely to improve returns and/or reduce risk.

The fee is based on an annual percentage rate, as follows:

1.2% of Assets Under Management (AUM) on amounts up to $500,000;
0.6% on the next $500,000 of AUM; and
0.5% of AUM on amounts over $1,000,000.   
 
The fee is billed at the beginning of each quarter by multiplying one-fourth of the annual rate by the current value of the managed assets. For example, an account valued at $1,000,000 would pay $2,250 in quarterly fees (or 0.225%) calculated as follows: 
 
            $500,000 x 1.2% = $ 6,000
 plus  $500,000 x 0.6% =    3,000
            Annual fee                = $ 9,000 / 4  = $ 2,250 Quarterly Fee

Related accounts are grouped to benefit from a lower average fee, as the rate is calculated on the value of the entire group’s assets.