Fees Received by Royal Alliance. Level Rate Program Under the Level Rate Program, each Program Bank will pay fees equal to a percentage of the average daily collective aggregated omnibus deposit balance. This fee amount includes the fee for the Program’s third−party administrator, amounts used to pay for Royal Alliance’s services under the Program and interest payable to participating accounts. The fee received may differ among each Program Bank. You will have no rights to the amounts paid by the Program Banks, except for interest actually credited to your account, as described above. However, amounts collected from the Program Banks during each period, less interest credited, will be allocated on a per capita basis and used to offset your monthly Royal Alliance account sweep fee, as discussed more fully below, for providing the sweep services. Excess amounts will be used to compensate the third−party administrator for its services. For its services, the third−party administrator will charge your account a monthly asset−based fee targeted to approximate an agreed− upon percentage of the average aggregate account assets over time. This fee may vary from period to period from the target based on changes in prevailing interest rates, how assets are allocated amongst the Program Banks during the period and the average daily balance of accounts participating in the Program during the period. Moreover, the administrator’s fee may, from time to time, be adjusted during certain periods, such as when necessary to help ensure that the interest rates paid by the Program Banks during the period equal the applicable disclosed rate for the period. Under such circumstances, the administrator is authorized to adjust its fee to obtain its targeted compensation rate in future periods. Other than these stated fees, there will be no charges, fees, or commissions imposed on your account with respect to the Program. You authorize and direct the third−party administrator to deduct its fees for its services from the amounts paid by the Program Banks. Based on the calculation method set forth below, the third−party administrator will calculate the fees due to Royal Alliance. For its services under the Program, including making the platform available, Royal Alliance receives a per account fee each month. Royal Alliance’s fee is not based on the amount of assets in the Program or your account. Royal Alliance’s compensation under the Program does not depend on or vary with, and is not affected by, the actual amounts...
Fees Received by Royal Alliance. Tiered Rate Program Each Program Bank will pay the administrator a fee equal to a percentage of the average daily deposit balance in your deposit account(s) at the Program Banks. This fee may be as much as 400 basis points per year, on the average daily balances held in these deposit accounts. Royal Alliance may waive any portion of the fee, or the fee in its entirety, received from the Program Banks. Your Financial Professional will not receive any portion of the fees paid by the Program Banks. The amount of fees received by Royal Alliance, NFS, and any other service provider, will affect the interest rate paid on your deposit account(s). Other than applicable fees imposed by Royal Alliance on your brokerage account (including fees charged on your NFS IRAs there will be no additional charges, fees, or commissions imposed on your account with respect to the FDIC Insured Deposit Program.
