08-22-22 CC Packet - Laserfiche WebLink

Browse Search

6. No Guarantee of Investment Results. Although VIAS will recommend investments and strategies that are consistent with widely-accepted principles of long-term investing, diversification, and prudent investment management, all investments are subject to risk. Client agrees that the investment strategies used by VIAS involve risk of loss, and fluctuations in the financial markets and other factors may cause declines, which may be significant, in the value of the Portfolio over short or extended periods of time. Neither VIAS nor any affiliated entity offers any guarantee that investment results or objectives sought by the Client, or outlined in the investment strategies will be achieved. 7. Investment Management Services Fee. In consideration of its services under this Agreement, Client will pay to VIAS an annual investment management services fee based upon the market value of all Vanguard Investments in the Portfolio in accordance with Schedule C attached. The annual investment management services fee is different from, and is in addition to, any fees or expenses assessed by the Vanguard Investments in the Portfolio. The investment management services fee will begin to accrue as of the execution date of the Agreement by all parties and will be prorated for services rendered during any period of time less than one calendar-year month or quarter, as applicable. VIAS reserves the right to change its fee schedule upon 90 days written notice to Client. 8. Transfer of Assets. Client may transfer cash to and from the Portfolio at any time, provided that Client gives VIAS prior notice of the transfer. 9. Legal Title and Custody. Assets contributed to the Portfolio shall retain their original ownership attributes as determined under applicable federal and state law. VIAS shall have authority to issue instructions to and receive information from the custodian of any asset in the Portfolio. VIAS shall not be responsible for the acts or omissions of any other entity or individual having custody over assets in the Portfolio. 10. Affiliate Dealings. a. Client understands and acknowledges that VAI is a subsidiary of Vanguard and affiliated with the mutual funds comprising The Vanguard Group of Investment Companies (the “Vanguard Funds”). VAI will not be compensated on the basis of a share of capital gains upon or capital appreciation of the Vanguard Funds or any portion of the Vanguard Funds. Client further understands and acknowledges that although investments in the Vanguard Funds are not subject to loads, commissions, or asset-based distribution fees (commonly known as “12b-1” fees), the Vanguard Funds pay advisory and other fees to, and reimburse the expenses of, Vanguard and its affiliates including VAI, as set forth in the prospectus of each of the funds. Vanguard administers the Vanguard Funds in which the Portfolio will be invested. Additionally, Vanguard is the parent corporation of Vanguard Marketing Corporation (“VMC”), Member FINRA and SIPC, a registered broker-dealer, which acts as the sales agent in connection with the sales of shares of the Vanguard Funds. With this knowledge, Client specifically authorizes VIAS or an affiliate appointed by VIAS to invest and reinvest assets of the Portfolio, including the entire Portfolio, in Vanguard Funds. Client further authorizes VIAS to engage Vanguard or any entity affiliated with Vanguard to provide additional services to the Portfolio. b. Some Vanguard Funds charge fees on the purchase of shares. These fees, designed to offset the cost of buying and selling securities, are paid directly to the fund and are not sales charges. Additionally, some Vanguard Funds charge redemption fees to discourage short- term trading. VIAS may recommend that the Portfolio be invested in Vanguard Funds with either or both of these types of fees. Client acknowledges that these fees will be assessed on the Portfolio’s purchase or deducted from the Portfolio’s redemption proceeds in accordance with the conditions set forth in the prospectus of the particular Vanguard Fund being bought or sold. c. Client further understands and acknowledges that if Client so chooses, Client can purchase shares of Vanguard Funds independently, without the investment advice provided by VIAS pursuant to this Agreement or its related fees. 3