HRC Disclosure Statement
Marketing to Financial Professional Intermediaries: HRC Fund Associates, LLC, member FINRA / SIPC, and HRC Portfolio Solutions, LLC (together, “HRC”), are marketing firms that solicit business for third-party asset managers (“AMs”) through financial professional intermediaries (“Intermediaries”). HRC represents registered investment companies (RICs) and separately managed accounts (SMAs) to financial professional intermediaries (“Intermediaries”) who in turn, and at their discretion, may recommend the RICs or SMAs to their clients. HRC does not solicit the investing public to invest in the RICs or SMAs.
Compensation: Pursuant to written agreements, HRC’s cash compensation from the AMs is based upon a percentage of the revenue the AMs receive for the management of certain portfolios. The amount of compensation varies by product, AM, and distribution channel. Investors are not charged for the cost of this process, nor is there any differential in the level of advisory fees charged by the RIC or AM that is attributable to the arrangement between HRC and the AMs. Some of the RICs are managed by an affiliate of HRC, Liberty Street Advisors, Inc.
Conflicts of Interest: Due to the compensation it receives from the AMs, HRC has a conflict of interest when soliciting Intermediaries to invest in, or to remain invested in, the RICs or SMAs, on behalf of their clients, as HRC’s compensation is based upon assets raised and retained.