ETF MASTER SERVICES AGREEMENT
Exhibit (h)(1)(D)(i)
This ETF Master Services Agreement (this “Agreement”), dated April 21, 2021, is between Ultimus Managers Trust (the “Trust”), an Ohio business trust, and Ultimus Fund Solutions, LLC (“Ultimus”), a limited liability company organized under the laws of the state of Ohio.
Background
The Trust is an investment company registered or to be registered under the Investment Company Act of 1940, as amended (the “Investment Company Act”), and it desires that Xxxxxxx perform certain services for each of its series listed on Schedule A (as amended from time to time) (individually referred to herein as a “Fund” and collectively as the “Funds”). Xxxxxxx is willing to perform such services on the terms and conditions set forth in this Agreement.
NOW, THEREFORE, in consideration of the promises and agreements of the parties contained herein, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows:
Terms and Conditions
| 1. | Retention of Ultimus |
The Trust retains Ultimus to act as the service provider on behalf of each Fund for the services set forth in each Addendum selected below (collectively, the “Services”), which are incorporated by reference into this Agreement. Xxxxxxx accepts such employment to perform the selected Services.
| ☒ | Fund Accounting Addendum |
| ☒ | Fund Administration Addendum |
| 2. | Allocation of Charges and Expenses |
| 2.1. | Ultimus shall furnish at its own expense the executive, supervisory, clerical personnel and office space necessary to perform its obligations under this Agreement. Xxxxxxx shall also pay all compensation of any officers of the Trust who are affiliated persons of Xxxxxxx, except when such person is serving as the Trust’s chief compliance officer. |
| 2.2. | Subject to Section 21.9, the Trust, on behalf of each Fund, assumes and shall pay or cause to be paid all other expenses of the Trust or a Fund not otherwise allocated under this Section 2, including, without limitation: organization costs; taxes; expenses for legal and auditing services; the expenses of preparing (including typesetting), printing, and mailing reports, prospectuses, statements of additional information, information statements, proxy statements, and related materials; all expenses incurred in connection with Fund purchase and redemption transactions; licensing fees for the index on which the Funds are based (“Index”); securities exchange listing fees and fees associated with the calculation and dissemination of the Index and indicative optimized portfolio value (“IOPV”); transfer agent, dividend disbursing agent, and index receipt agent fees; the costs of custodial services; the cost of initial and ongoing registration or qualification of the shares under federal and state securities laws; fees and reimbursable expenses of Trustees who are not affiliated persons of Ultimus or the investment adviser(s) to the Trust; insurance premiums; interest; brokerage costs; litigation; other extraordinary or nonrecurring expenses; and all fees and charges of investment advisers to the Trust. |
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| 3. | Compensation |
| 3.1. | The Trust, on behalf of each Fund, shall pay for the Services to be provided by Xxxxxxx under this Agreement in accordance with, and in the manner set forth in, the fee letter attached to each addendum (each a “Fee Letter”), which may be amended from time to time. Each Fee Letter is incorporated by reference into this Agreement. |
| 3.2. | If this Agreement becomes effective subsequent to the first day of a month, Xxxxxxx’ compensation for that part of the month in which the Agreement is in effect shall be prorated in a manner consistent with the calculation of the fees as set forth in the applicable Fee Letter. If this Agreement terminates before the last day of a month, Xxxxxxx’ compensation for that part of the month in which the Agreement is in effect shall be equal to a full calendar month’s worth of fees as calculated in a manner consistent with the calculation of the fees as set forth in the applicable Fee Letter. The Trust shall promptly pay Xxxxxxx’ compensation for the preceding month. |
| 3.3. | In the event that the U.S. Securities and Exchange Commission (the “SEC”), Financial Industry Regulatory Authority, Inc. (“FINRA”), or any other regulator or self-regulatory authority adopts regulations and requirements relating to the payment of fees to service providers or which would result in any material increases in costs to provide the Services under this Agreement, the parties agree to negotiate in good faith amendments to this Agreement in order to comply with such requirements and provide for additional compensation for Xxxxxxx as mutually agreed to by the parties. |
| 3.4. | In the event that any fees are disputed, the Trust shall, on or before the due date, pay all undisputed amounts due hereunder and notify Xxxxxxx in writing of any disputed fees which it is disputing in good faith. Payment for such disputed fees shall be due on or before the tenth (10th) business day after the day on which Xxxxxxx provides to the Trust documentation which reasonably supports the disputed charges. |
| 4. | Reimbursement of Expenses |
In addition to paying Xxxxxxx the fees described in each Fee Letter, the Trust, on behalf of each Fund, agrees to reimburse Ultimus for its reimbursable expenses in providing services hereunder, if applicable, including, without limitation, the following:
| 4.1. | Reasonable travel and lodging expenses incurred by officers and employees of Xxxxxxx in connection with attendance at meetings of the Trust’s Board of Trustees (the “Board”) or any committee thereof and shareholders’ meetings; |
| 4.2. | All freight and other delivery charges incurred by Xxxxxxx in delivering materials on behalf of the Trust; |
| 4.3. | All direct telephone, telephone transmission and telecopy or other electronic transmission expenses incurred by Xxxxxxx in communication with the Trust, the Trust’s investment adviser(s) or custodian, counsel for the Trust or a Fund, counsel for the Trust’s independent Trustees, the Trust’s independent accountants, dealers or others as required for Ultimus to perform the Services; |
| 4.4. | The cost of obtaining secondary security market quotes and other securities data from pricing agents approved by the Trust; |
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| 4.5. | The cost of electronic or other methods of storing records and materials; |
| 4.6. | All fees and expenses incurred in connection with any licensing of software, subscriptions to databases, custom programming or systems modifications required to provide any special reports or services requested by the Trust; |
| 4.7. | Any expenses Ultimus shall incur at the direction of an officer of the Trust thereunto duly authorized other than an employee or other affiliated person of Xxxxxxx who may otherwise be named as an authorized representative of the Trust for certain purposes; |
| 4.8. | A reasonable allocation of the costs associated with the preparation of Ultimus’ Service Organization Control 1 Reports (“SOC 1 Reports”); and |
| 4.9. | Any additional expenses reasonably incurred by Xxxxxxx in the performance of its duties and obligations under this Agreement other than those described in Section 2.1. |
| 5. | Maintenance of Books and Records; Record Retention |
| 5.1. | Xxxxxxx shall maintain and keep current the accounts, books, records and other documents relating to the Services as may be required by applicable law, rules, and regulations, including Federal Securities Laws as defined under Rule 38a-1 under the Investment Company Act. |
| 5.2. | Ownership of Records |
| X. | Xxxxxxx agrees that all such books, records, and other data (except computer programs and procedures) developed to perform the Services (collectively, “Client Records”) shall be the property of the Trust or Fund. |
| X. | Xxxxxxx agrees to provide the Client Records to the Trust or a Fund, at the expense of the Trust or Fund, upon reasonable request, and to make such books and records available for inspection by the Trust, a Fund, or its regulators at reasonable times. |
| X. | Xxxxxxx agrees to furnish to the Trust or a Fund, at the expense of the Trust or Fund, all Client Records in the electronic or other medium in which such material is then maintained by Xxxxxxx as soon as practicable after any termination of this Agreement. Unless otherwise required by applicable law, rules, or regulations, Xxxxxxx shall promptly turn over to the Trust or Fund or, upon the written request of the Trust or Fund, destroy the Client Records maintained by Ultimus pursuant to this Agreement. If Ultimus is required by applicable law, rule, or regulation to maintain any Client Records, it will provide the Trust or Fund with copies as soon as reasonably practical after the termination. |
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| 5.3. | Xxxxxxx agrees to keep confidential all Client Records, except when requested to divulge such information by duly constituted authorities or court process. |
| 5.4. | If Xxxxxxx is requested or required to divulge such information by duly constituted authorities or court process, Ultimus shall, unless prohibited by law, promptly notify the Trust or Fund of such request(s) so that the Trust or Fund may seek, at the expense of the Trust or Fund, an appropriate protective order. |
| 6. | Subcontracting |
Ultimus may, at its expense and with notice to the Trust’s management, subcontract with any entity or person concerning the provision of the Services; provided, however, that Ultimus shall not be relieved of any of its obligations under this Agreement by the appointment of such subcontractor, and that Ultimus shall be responsible, to the extent provided in Section 10, for all acts of a subcontractor.
| 7. | Effective Date |
| 7.1. | This Agreement shall become effective as of the date first above written with respect to each Fund in existence on such date (or, if a particular Fund is not in existence on that date, on the date such Fund commences operation) (the “Agreement Effective Date”). |
| 7.2. | Each Addendum shall become effective as of the date first written in the Addendum with respect to each Fund in existence on such date (or, if a particular Fund is not in existence on that date, on the date such Fund commences operation). |
| 8. | Term |
This Agreement shall continue in effect with respect to each Fund, unless earlier terminated by either party with respect to a Fund as provided under this Section 8.
| 8.1. | Initial Term. The initial term for a Fund is defined in the applicable Fee Letter (the “Initial Term”). |
| 8.2. | Renewal Terms. A renewal term for a Fund is as defined in the applicable Fee Letter (a “Renewal Term”). |
| 8.3. | Termination. A party may terminate this Agreement with respect to a Fund or Funds under the following circumstances. |
| A. | Termination for Good Cause. Subject to Section 8.3(D), during the Initial Term or a Renewal Term, a party (the “Terminating Party”) may only terminate the Agreement against the other party (the “Non-Terminating Party”) for good cause. For purposes of this Agreement, “good cause” shall mean: |
| (1) | a material breach of this Agreement by the Non-Terminating Party that has not been cured or remedied within 30 days after the Non-Terminating Party receives written notice of such breach from the Terminating Party; |
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| (2) | the Non-Terminating Party takes a position regarding compliance with Federal Securities Laws that the Terminating Party reasonably disagrees with, the Terminating Party provides 30 days’ prior written notice of such disagreement, and the parties fail to come to agreement on the position within the 30-day notice period; |
| (3) | a final and unappealable judicial, regulatory, or administrative ruling or order in which the Non-Terminating Party has been found guilty of criminal or unethical behavior in the conduct of its business; |
| (4) | the authorization or commencement of, or involvement by way of pleading, answer, consent, or acquiescence in, a voluntary or involuntary case under the Bankruptcy Code of the United States Code, as then in effect. |
| B. | Out-of-Scope Termination. If a Trust or Fund demands services that are beyond the scope of this Agreement and any incorporated Addendum, and the parties cannot agree on appropriate terms relating to such out-of-scope services, Ultimus may terminate this Agreement upon 60 days’ prior written notice. |
| C. | End-of-Term Termination. A party can terminate this Agreement at the end of the Initial Term or a Renewal Term by providing written notice of termination to the other party at least 90 days prior to the end of the Initial Term or then-current Renewal Term. |
| D. | Early Termination. Any termination by the Trust or Fund, other than termination under Section 8.3.A-C or 8.3.F, is deemed an “Early Termination.” The Trust or Fund that provides a notice of early termination is subject to an “Early Termination Fee” equal to the pro rated fee amount due to Ultimus through the end of the then-current term as calculated in the applicable Fee Letter, including the repayment of any negotiated discounts provided by Xxxxxxx during the term of the Agreement. Any Early Termination Fee shall not be duplicative with fees paid through the end of the month in which the service was terminated. |
| E. | Final Payment. Any unpaid compensation, reimbursement of expenses, or Early Termination Fee is due to Ultimus within 15 calendar days of the termination date provided in the notice of termination. |
| F. | Transition. Upon termination of this Agreement, Xxxxxxx will cooperate with any reasonable request of the Trust to effect a prompt transition to a new service provider selected by the Trust. Xxxxxxx shall be entitled to collect from the Trust, in addition to the compensation described in each applicable Fee Letter, (1) the amount of all of Ultimus’ cash disbursements reasonably made for services in connection with Ultimus’ activities in effecting such termination, including, without limitation, the delivery to the Trust or its designees of the Trust’s property, records, instruments, and documents, and (2) a reasonable de-conversion fee as mutually agreed to by the parties. |
| G. | Liquidation. Upon termination of this Agreement due to the liquidation of the Trust or a Fund, Xxxxxxx shall be entitled to collect from the Trust, in addition to the compensation described in each applicable Fee Letter, (1) the amount of all of Ultimus’ cash disbursements reasonably made for services in connection with Xxxxxxx’ activities in effecting such termination, including, without limitation, the delivery to the Trust or its designees of the Trust’s property, records, instruments, and documents, and (2) a reasonable liquidation fee as mutually agreed to by the parties. |
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| 8.4. | No Waiver. Failure by either party to terminate this Agreement for a particular cause shall not constitute a waiver of its right to subsequently terminate this Agreement for the same or any other cause. |
| 9. | Additional Funds |
In the event that the Trust establishes one or more series of shares after the Agreement Effective Date, each such series shall become, at the discretion of the Trust and Ultimus, a Fund under this Agreement and shall be added to Schedule A and the applicable Fee Letter(s) as appropriate.
| 10. | Standard of Care; Limits of Liability; Indemnification |
| 10.1. | Standard of Care. Each party’s duties are limited to those expressly set forth in this Agreement and the parties do not assume any implied duties. Each party shall use its best efforts in the performance of its duties and act in good faith in performing the Services or its obligations under this Agreement. Each party shall be liable for any damages, losses or costs arising directly or indirectly out of such party’s failure to perform its duties under this Agreement to the extent such damages, losses or costs arise directly or indirectly out of its willful misfeasance, bad faith, gross negligence in the performance of its duties, or reckless disregard of its obligations and duties hereunder; provided, however, that the Trust shall not have any liability for any failure to perform its duties hereunder caused in any way by an employee or other affiliated person of Xxxxxxx. |
| 10.2. | Limits of Liability |
| X. | Xxxxxxx shall not be liable for any Losses (as defined below) arising from the following: |
| (1) | performing Services or duties pursuant to any oral, written, or electric instruction, notice, request, record, order, document, report, resolution, certificate, consent, data, authorization, instrument, or item of any kind that Ultimus reasonably believes to be genuine and to have been signed, presented, or furnished by a duly authorized representative of the Trust or any Fund (other than an employee or other affiliated persons of Xxxxxxx who may otherwise be named as an authorized representative of the Trust for certain purposes); |
| (2) | operating under its own initiative, in good faith and in accordance with the standard of care set forth herein, in performing its duties or the Services; |
| (3) | using valuation information provided by the Trust’s approved third-party pricing service(s) or the investment adviser(s) to the Fund for the purpose of valuing a Fund’s portfolio holdings; |
| (4) | any default, damages, costs, loss of data or documents, errors, delay, or other loss whatsoever caused by events beyond Ultimus’ reasonable control, including, without limitation, corrupt, faulty or inaccurate data provided to Ultimus by third- parties; |
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| (5) | any error, action or omission by the Trust (other than an error, action or omission caused by an employee or other affiliated person of Ultimus) or other past or current service provider; and |
| B. | Ultimus may apply to the Trust at any time for instructions and may consult with counsel for the Trust or a Fund, counsel for the Trust’s independent Trustees, and with accountants and other experts with respect to any matter arising in connection with Xxxxxxx’ duties or the Services. Ultimus shall not be liable or accountable for any action taken or omitted by it in good faith in accordance with such instruction or with the reasonable opinion of such counsel, accountants, or other experts qualified to render such opinion. |
| C. | A copy of the Trust’s Agreement and Declaration of Trust (the “Declaration of Trust”) is on file with the Secretary of State (or equivalent authority) of the state in which the Trust is organized, and notice is hereby given that this instrument is executed on behalf of the Trust and not the Trustees individually and that the obligations of this instrument are not binding upon any of the Trustees, officers or shareholders individually but are binding only upon the assets and property of the Trust (or if the matter relates only to a particular Fund, that Fund), and Xxxxxxx shall look only to the assets of the Trust (or the particular Fund, as applicable), for the satisfaction of such obligations. |
| X. | Xxxxxxx shall not be held to have notice of any change of authority of any officer, agent, representative or employee of the Trust or any Fund, the Trust’s or any Fund’s investment adviser or any of the Trust’s or Fund’s other service providers until receipt of written notice thereof from the Trust or Fund (as applicable). As used in this Agreement, the term “investment adviser” includes all sub-advisers or persons performing similar services. |
| E. | The Board has and retains primary responsibility for oversight of all compliance matters relating to the Funds, including, but not limited to, compliance with the Investment Company Act, the Internal Revenue Code of 1986, as amended (the “Internal Revenue Code”), the USA PATRIOT Act of 2001, the Sarbanes Oxley Act of 2002 and the policies and limitations of each Fund relating to the portfolio investments as set forth in the prospectus and statement of additional information. Ultimus’ monitoring and other functions hereunder shall not relieve the Board of its primary day-to-day responsibility for overseeing such compliance. |
| F. | [Intentionally deleted]. |
| G. | In no event shall either party be liable to the other for trading losses, lost revenues, special, incidental, punitive, indirect, consequential or exemplary damages or lost profits, whether or not such damages were foreseeable or the other party was advised of the possibility thereof Ultimus shall not be liable for any corrupt, faulty or inaccurate data provided to Ultimus by any third-parties for use in delivering Ultimus’ Services to the Trust or a Fund and Ultimus shall have no duty to independently verify and confirm the accuracy of third-party data. The parties acknowledge that the other parts of this Agreement are premised upon the limitation stated in this section. |
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| 10.3. | Indemnification |
| A. | Each party (the “Indemnifying Party”) agrees to indemnify, defend, and protect the other party, including its trustees, directors, managers, officers, employees, and other agents (collectively, the “Indemnitees” and each an “Indemnitee”), and shall hold the Indemnitees harmless from and against any actions, suits, claims, losses, damages, liabilities, and reasonable costs, charges, and expenses (including attorney fees and investigation expenses) (collectively, “Losses”) arising directly or indirectly out of (1) the Indemnifying Party’s failure to exercise the standard of care set forth above unless such Losses were caused in part by the Indemnitees own willful misfeasance, bad faith or gross negligence; (2) any violation of Applicable Law (defined below) by the Indemnifying Party or its affiliated persons or agents relating to this Agreement and the activities thereunder; and (3) any material breach by the Indemnifying Party or its affiliated persons or agents of this Agreement; provided, however, that in each case the Trust shall not have any obligation to indemnify Ultimus hereunder for Losses caused in any way by an employee or other affiliated person of Ultimus. |
| B. | Notwithstanding the foregoing provisions, the Trust or Fund shall indemnify Ultimus for Xxxxxxx’ Losses arising from circumstances under Section 10.2.A; provided, however, that the Trust shall not have any obligation to indemnify Ultimus hereunder for Losses arising under Section 10.2.A(2) or (4) or any Losses that were caused in part by Xxxxxxx’ willful misfeasance, bad faith or gross negligence. |
| C. | Upon the assertion of a claim for which either party may be required to indemnify the other, the Indemnitee shall promptly notify the Indemnifying Party of such assertion, and shall keep the Indemnifying Party advised with respect to all developments concerning such claim. Notwithstanding the foregoing, the failure of the Indemnitee to timely notify the Indemnifying Party shall not relieve the Indemnifying Party of its indemnification obligations hereunder except to the extent that the Indemnifying Party is materially prejudiced by such failure. |
| D. | The Indemnifying Party shall have the option to participate with the Indemnitee in the defense of such claim or to defend against said claim in its own name or in the name of the Indemnitee. The Indemnitee shall in no case confess any claim or make any compromise in any case in which the Indemnifying Party may be required to indemnify the Indemnitee except with the Indemnifying Party’s prior written consent. |
| 10.4. | The provisions of this Section 10 shall survive termination of this Agreement. |
| 11. | Force Majeure. |
Neither party will be liable for Losses, loss of data, delay of Services, or any other issues caused by events beyond its reasonable control, including, without limitation, delays by third party vendors and/or communications carriers, acts of civil or military authority, national emergencies, labor difficulties, fire, flood, catastrophe, acts of God, insurrection, war, riots, pandemics, or (unless such failures are within the party’s reasonable control) failure of the mails, transportation, communication, or power supply. Losses resulting in part by a breach of Section 12.3(a)-(c) will not be deemed hereunder to be beyond the reasonable control of Xxxxxxx.
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| 12. | Representations and Warranties |
| 12.1. | Joint Representations. Each party represents and warrants, which representations and warranties shall be deemed to be continuing throughout the term of this Agreement, that: |
| (A) | It is a corporation, partnership, trust, or other entity duly organized and validly existing in good standing under the laws of the jurisdiction in which it is organized. |
| (B) | To the extent required by Applicable Law (defined below), it is duly registered with all appropriate regulatory agencies or self-regulatory organizations and such registration will remain in full force and effect for the duration of this Agreement. |
| (C) | For the duties and responsibilities under this Agreement, it is currently and will continue to abide by all applicable federal and state laws, including, without limitation, federal and state securities laws; regulations, rules, and interpretations of the SEC and its authorized regulatory agencies and organizations, including FINRA; and all other self-regulatory organizations governing the transactions contemplated under this Agreement (collectively, “Applicable Law”). |
| (D) | It has duly authorized the execution and delivery of this Agreement and the performance of the transactions, duties, and responsibilities contemplated by this Agreement. |
| (E) | This Agreement constitutes a legal obligation of the party, subject to bankruptcy, insolvency, reorganization, moratorium, and other laws of general application affecting the rights and remedies of creditors and secured parties. |
| (F) | Whenever, in the course of performing its duties under this Agreement, it determines that a violation of Applicable Law has occurred, or that, to its knowledge, a possible violation of Applicable Law may have occurred, or with the passage of time could occur, and such violation of Applicable Law is likely to have a material adverse effect on its representations, warranties or obligations under this Agreement, it shall promptly notify the other party of such violation. |
| 12.2. | Representations of the Trust. The Trust represents and warrants, which representations and warranties shall be deemed to be continuing throughout the term of this Agreement, that: |
| (A) | (1) as of the close of business on the Agreement Effective Date, each Fund that is then in existence has authorized unlimited shares, and (2) no shares of any Fund will be offered to the public until the Trust’s registration statement under the Securities Act of 1933, as amended (the “Securities Act”), and the Investment Company Act, has been declared or becomes effective. |
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| (B) | It shall cause the investment adviser(s) and sub-advisers, prime broker, custodian, legal counsel, independent accountants, and other service providers and agents, past or present, for each Fund to cooperate with Xxxxxxx and to provide it with such information, documents, and advice relating to the Fund as appropriate or reasonably requested by Xxxxxxx, in order to enable Xxxxxxx to perform its duties and obligations under this Agreement. |
| (C) | To the knowledge of the Trust and the Fund, the Trust’s Agreement and Declaration of Trust, Bylaws, registration statement and each Fund’s organizational documents, and prospectus are true and accurate and will remain true and accurate at all times during the term of this Agreement in conformance with applicable federal and state securities laws. |
| (D) | Each of the employees of Xxxxxxx that serves or has served at any time as an officer of the Trust, including the CCO, President, Treasurer, Secretary and the AML Compliance Officer, shall be covered by the Trust’s Directors & Officers/Errors & Omissions insurance policy (the “Policy”) and shall be subject to the provisions of the Trust’s Declaration of Trust and Bylaws regarding indemnification of its officers. The Trust shall provide Ultimus with proof of current coverage, including a copy of the Policy, and shall notify Xxxxxxx immediately should the Policy be canceled or terminated. |
| (E) | Any officer of the Trust shall be considered an individual who is authorized to provide Xxxxxxx with instructions and requests on behalf of the Trust (an “Authorized Person”) (unless such authority is limited in a writing from the Trust and received by Xxxxxxx) and has the authority to appoint additional Authorized Persons, to limit or revoke the authority of any previously designated Authorized Person, and to certify to Ultimus the names of the Authorized Persons from time to time. |
| 12.3. | Representations of the Ultimus. Xxxxxxx represents and warrants, which representations and warranties shall be deemed to be continuing throughout the term of this Agreement, that: |
| (A) | It will maintain compliance policies and procedures (a “Compliance Program”) that are reasonably designed to prevent violations of the Federal Securities Laws (as defined in Rule 38a-1 of the 1940 Act) with respect to Ultimus’ services under this Agreement, will provide certifications with respect to material violations of the Compliance Program and any material deficiencies or changes therein, as may be reasonably requested by the Trust. |
| (B) | It shall develop and maintain a plan for recovery from force majeure events consistent with the plan then generally in effect across Ultimus’ client base, which plan shall include contractual arrangements with appropriate parties making reasonable provision for emergency use of electronic data processing equipment (the “DRBCP”). During the term of this Agreement, the DRBCP shall not be modified in a manner that would be reasonably likely to impair the responsiveness of Ultimus or the implementation of such DRBCP, or to materially reduce Ultimus’ business continuity or preparation for a disaster recovery event (including as to testing and reporting). |
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| (C) | It shall develop and maintain policies and procedures designed to protect the security of Confidential Information (defined below) received pursuant to this Agreement (“Data Security Policies”). During the term of this Agreement, the Data Securities Policies shall not be modified in a manner that would be reasonably likely to materially reduce the security of Confidential Information provided to Ultimus hereunder. |
| (D) | It will promptly notify the Trust in writing if it: (i) is served with or otherwise receives a formal notice of investigation from a regulatory body with jurisdiction over Xxxxxxx, or if Xxxxxxx receives a judgment with respect to any regulatory matter before or by any court, public board or body (including, without limitation, federal or state regulators) (an “Oversight Body”) related in any manner to services of the type provided to the Trust hereunder; or (ii) receives a deficiency letter from an Oversight Body citing Xxxxxxx for potential violations of any Applicable Laws (each such notice of investigation, final judgment or deficiency letter, a “Regulatory Notice”). Ultimus will, no later than the next meeting of the Board, provide the Trust with a written summary of material legal matters in such Regulatory Notice and, to the extent applicable, Xxxxxxx’ response(s) thereto. In responding to any requests from an Oversight Body, Xxxxxxx will take reasonable steps to maintain the confidentiality of any Confidential Information of the Trust provided to the Oversight Body (e.g., requesting confidentiality pursuant to appropriate provisions under the Freedom of Information Act and similar acts or laws), and will maintain and provide to the Trust on request copies of any records provided to an Oversight Body pertaining to the Trust, unless such disclosure would constitute a violation of Applicable Laws. |
| 13. | Insurance |
| 13.1. | Maintenance of Insurance Coverage. Each party agrees to maintain throughout the term of this Agreement professional liability insurance coverage of the type and amount reasonably customary in its industry. Upon request, a party shall furnish the other party with pertinent information concerning the professional liability insurance coverage that it maintains. Such information shall include the identity of the insurance carrier(s), coverage levels, and deductible amounts. |
| 13.2. | Notice of Termination. A party shall promptly notify the other party should any of the notifying party’s insurance coverage be canceled or reduced. Such notification shall include the date of change and the reasons therefore. |
| 14. | Information Provided by the Trust |
| 14.1. | Prior to the Agreement Effective Date. Prior to the Agreement Effective Date, the Trust will furnish to Ultimus the following: |
| (A) | copies of the Declaration of Trust and of any amendments thereto, certified by the proper official of the state in which such document has been filed; |
| (B) | the Trust’s Bylaws and any amendments thereto; |
| (C) | certified copies of resolutions of the Board covering the approval of this Agreement, authorization of a specified officer of the Trust to execute and deliver this Agreement and authorization for specified officers of the Trust to instruct Ultimus thereunder; |
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| (D) | a list of all the officers of the Trust, together with specimen signatures of those officers who are authorized to instruct Xxxxxxx in all matters; |
| (E) | the Trust’s registration statement and all amendments thereto filed with the SEC pursuant to the Securities Act and the Investment Company Act; |
| (F) | the Trust’s notification of registration under the Investment Company Act on Form N-8A as filed with the SEC; |
| (G) | each Fund’s listing notice from the applicable securities exchange; |
| (H) | the Trust’s current prospectus and statement of additional information for each Fund; |
| (I) | an accurate, current list of shareholders of each existing series of the Trust, if applicable, showing each shareholder’s address of record, number of shares owned and whether such shares are represented by outstanding share certificates; |
| (J) | copies of the current plan of distribution adopted by the Trust under Rule 12b-1 under the Investment Company Act for each Fund, if applicable; |
| (K) | copies of the current investment advisory agreement and current investment sub-advisory agreement(s), if applicable, for each Fund; |
| (L) | copies of the current underwriting agreement for each Fund; |
| (M) | contact information for each Fund’s service providers, including, but not limited to, the Fund’s administrator, custodian, transfer agent and/or index receipt agent, independent accountants, legal counsel, underwriter, lead market maker, securities exchange where shares will be listed, and chief compliance officer; and |
| (N) | a copy of procedures adopted by the Trust in accordance with Rule 38a-1 under the Investment Company Act. |
| 14.2. | After the Agreement Effective Date. After the Agreement Effective Date, the Trust will furnish to Ultimus any amendments to the items listed in Section 14.1. |
| 15. | Compliance with Law |
The Trust assumes full responsibility for the preparation, contents, and distribution of each prospectus of a Fund and further agrees to comply with all applicable requirements of the Federal Securities Laws and any other laws, rules and regulations of governmental authorities having jurisdiction over the Trust or a Fund, including, but not limited to, the Internal Revenue Code, the USA PATRIOT Act of 2001, and the Xxxxxxxx-Xxxxx Act of 2002, each as amended; provided, however, that the foregoing shall not eliminate any liability of Ultimus under Section 10.1.
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| 16. | Privacy and Confidentiality |
| 16.1. | Definition of Confidential Information. The term “Confidential Information” shall mean all information that either party discloses (a “Disclosing Party”) to the other party (a “Receiving Party”), whether in writing, electronically, or orally and in any form (tangible or intangible), that is confidential, proprietary, or relates to clients or shareholders purchasing or redeeming in-kind. Confidential Information includes, but is not limited to: |
| (A) | any information concerning technology, such as systems, source code, databases, hardware, software, programs, applications, engaging protocols, routines, models, displays, and manuals; |
| (B) | any unpublished information concerning research activities and plans, customers, clients, shareholders purchasing or redeeming in-kind, authorized participants, strategies and plans, costs, and operational techniques; |
| (C) | any unpublished financial information, including information concerning revenues, profits and profit margins, and costs or expenses; and |
| (D) | Customer Information (as defined below). |
Confidential Information is deemed confidential and proprietary to the Disclosing Party regardless of whether such information was disclosed intentionally or unintentionally, or marked appropriately.
Notwithstanding the foregoing, the following information shall not be deemed to be Confidential Information: (a) information that was in the public domain at or subsequent to the time such Confidential Information was communicated to the Receiving Party by the Disclosing Party through no fault of the Receiving Party; (b) information that was received form a source independent of Disclosing Party and rightfully in the Receiving Party’s possession free of any obligation of confidence at or subsequent to the time such Confidential Information was communicated to the Receiving Party by the Disclosing Party; and (c) information that was developed by the Receiving Party or its employees, as the case may be, independently of and without reference to any Confidential Information communicated to the Receiving Party by the Disclosing Party.
| 16.2. | Definition of Customer Information. Any Customer Information will remain the sole and exclusive property of the Trust. “Customer Information” shall mean all non-public, personally identifiable information as defined by Xxxxx-Xxxxx-Xxxxxx Act of 1999, as amended, and its implementing regulations (e.g., SEC Regulation S-P and Federal Reserve Board Regulation P) (collectively, the “GLB Act”). |
| 16.3. | Treatment of Confidential Information |
| (A) | Each party agrees that at all times during and after the terms of this Agreement, it shall use, handle, collect, maintain, and safeguard Confidential Information in accordance with (1) the confidentiality and non-disclosure requirements of this Agreement; (2) the GLB Act, as applicable and as it may be amended; and (3) such other Applicable Law, whether in effect now or in the future. |
| Ultimus Managers Trust Ultimus ETF Master Services Agreement April 21, 2021 | 13 |
| (B) | Without limiting the foregoing, the Receiving Party shall apply to any Confidential Information at least the same degree of reasonable care used for its own confidential and proprietary information to avoid unauthorized disclosure or use of Confidential Information under this Agreement. |
| (C) | Each party further agrees that: |
| (1) | The Receiving Party will hold all Confidential Information it obtains in strictest confidence and will use and permit use of Confidential Information solely for the purposes of this Agreement or as otherwise provided for in this Agreement, and consistent therewith, may disclose or provide access to its responsible employees or agents who have a need to know and are under adequate confidentiality agreements or arrangements and make copies of Confidential Information to the extent reasonably necessary to carry out its obligations under this Agreement; |
| (2) | Notwithstanding the foregoing, the Receiving Party may release Confidential Information as permitted or required by law or approved in writing by the Disclosing party, which approval shall not be unreasonably withheld and may not be withheld where the Receiving Party may be exposed to civil or criminal liability or proceedings for failure to release such information; |
| (3) | Additionally, Ultimus may provide Confidential Information typically supplied in the investment company industry to companies that track or report price, performance or other information regarding investment companies; and |
| (4) | The Receiving Party will immediately notify the Disclosing Party of any unauthorized disclosure or use, and will cooperate with the Disclosing Party to protect all proprietary rights in any Confidential Information. |
| 16.4. | Severability. This provision and the obligations under this Section 16 shall survive termination of this Agreement. |
| 17. | Press Release |
Within the first 60 days following the Agreement Effective Date, the Trust agrees to review in good faith a press release (in any format or medium) announcing the Agreement with Xxxxxxx; provided that Xxxxxxx must obtain the Trust’s written consent prior to publication of such release, which consent shall not be unreasonably denied by the Trust.
| 18. | Non-Exclusivity |
The services of Ultimus rendered to the Trust are not deemed to be exclusive. Except to the extent necessary to perform Ultimus’ obligations under this Agreement, nothing herein shall be deemed to limit or restrict Ultimus’ right, or the right of any of Ultimus’ managers, officers or employees who also may be a trustee, officer or employee of the Trust, or persons who are otherwise affiliated persons of the Trust to engage in any other business or to devote time and attention to the management or other aspects of any other business, whether of a similar or dissimilar nature, or to render services of any kind to any other person.
| Ultimus Managers Trust Ultimus ETF Master Services Agreement April 21, 2021 | 14 |
| 19. | Arbitration |
Any controversy or claim arising out of or relating to this Agreement, or the breach thereof, shall be settled by arbitration in Cincinnati, Ohio, according to the Commercial Arbitration Rules of the American Arbitration Association, and judgment on the award rendered by the arbitrator(s) may be entered in any court having jurisdiction thereof.
This arbitration provision shall be enforced and interpreted exclusively in accordance with applicable federal law, including the Federal Arbitration Act. Any costs, fees, or taxes involved in enforcing the award shall be fully assessed against and paid by the party resisting enforcement of said award. The prevailing party shall also be entitled to an award of reasonable attorneys’ fees and costs incurred in connection with the enforcement of this Agreement. Notwithstanding the foregoing, nothing in this Section 19 will prevent the parties from resorting to judicial proceedings or otherwise for injunctive relief to prevent or limit irreparable harm or injury to such party.
| 20. | Notices |
Any notice provided under this Agreement shall be sufficiently given when either delivered personally by hand or received by electronic mail overnight delivery, or certified mail at the following address.
| 20.1. | If to the Trust: | |
| Xxxxxxx Managers Trust | ||
| Attn:
Xxxx X. Xxxx, President 000 Xxxxxxxx Xxxxx, Xxxxx 000 | ||
| Cincinnati, OH 45246 | ||
cc: Chairman of the Board
With a copy to: | ||
| Xxxxxx X. Xxxxx, III, Esq. | ||
| Xxxxxxxxxx
Xxxxxxxx & Xxxxxxxx LLP 0000 Xxx Xxxxx Xxxx, Xxxxx 0000 | ||
| Raleigh, NC 27609 |
| 20.2. | If to Ultimus: | |
Ultimus
Fund Solutions, LLC | ||
| 0000 Xxxxx 000xx Xxxxxx, Xxxxx 000 | ||
| Elkhorn, NE 68022 | ||
| Email: xxxxx@xxxxxxxxxxxxxxxxxxxx.xxx |
| Ultimus Managers Trust Ultimus ETF Master Services Agreement April 21, 2021 | 15 |
| 21. | General Provisions |
| 21.1. | Incorporation by Reference. This Agreement and its addendums, schedules, exhibits, and other documents incorporated by reference express the entire understanding of the parties and supersede any other agreement between them relating to the Services. |
| 21.2. | Conflicts. In the event of any conflict between this Agreement and any Appendices or Addendum thereto, this Agreement shall control. |
| 21.3. | Amendments. The parties may only amend or waive all or part of this Agreement by written amendment or waiver signed by both parties. |
| 21.4. | Assignments. |
| (A) | Except as provided in this Section 21.4, this Agreement and the rights and duties hereunder shall not be assignable by either of the parties except by the specific written consent of the non-assigning party. |
| (B) | The terms and provisions of this Agreement shall become automatically applicable to any investment company that is the successor to the Trust because of reorganization, recapitalization, or change of domicile. |
| (C) | Unless this Agreement is terminated in accordance with Section 8 of this Agreement, Ultimus may, to the extent permitted by law and in its sole discretion, assign all its rights and interests in this Agreement to an affiliate, parent, subsidiary or to the purchaser of substantially all of its business, provided that Ultimus provides the Trust at least 90 days’ prior written notice. |
| (D) | This Agreement shall be binding upon, and shall inure to the benefit of, the parties and their respective successors and permitted assigns. |
| 21.5. | Governing Law. This Agreement shall be construed in accordance with the laws of the state of Ohio and the applicable provisions of the Investment Company Act. To the extent that the applicable laws of the state of Ohio, or any of the provisions herein, conflict with the applicable provisions of the Investment Company Act, the latter shall control. |
| 21.6. | Headings. Section and paragraph headings in this Agreement are included for convenience only and are not to be used to construe or interpret this Agreement. |
| 21.7. | Multiple Counterparts. This Agreement may be executed in two or more counterparts, each of which when executed shall be deemed to be an original, but such counterparts shall together constitute but one and the same instrument. A signed copy of this Agreement delivered by email or other means of electronic transmission will be deemed to have the same legal effect as delivery of an original, signed copy of this Agreement. |
| 21.8. | Severability. If any part, term or provision of this Agreement is held to be illegal, in conflict with any law or otherwise invalid, the remaining portion or portions shall be considered severable and not be affected by such determination, and the rights and obligations of the parties shall be construed and enforced as if the Agreement did not contain the particular part, term or provisions held to be illegal or invalid. |
| Ultimus Managers Trust Ultimus ETF Master Services Agreement April 21, 2021 | 16 |
| 21.9. | Limitation of Trustee and Fund Liability. It is expressly agreed that the obligations of the Trust under this Agreement shall not be binding upon any of the Trustees, shareholders, nominees, officers, agents or employees of the Trust, personally, but bind only the trust property of the Trust. The execution and delivery of this Agreement have been authorized by the Trustees of the Trust and signed by an officer of the Trust, acting as such, and neither such authorization by such Trustees nor such execution and delivery by such officer shall be deemed to have been made by any of them individually or to impose any liability on any of them personally, but shall bind only the trust property of the Trust. The assets and liabilities of each Fund are separate and distinct from the assets and liabilities of each other Fund and no Fund shall be liable for or charged for any debt, obligation or liability of any other Fund. If a matter relates only to a particular Fund, that Fund shall be solely responsible for all liabilities connection with such matter, and Xxxxxxx agrees to look solely to the assets of such Fund for the payment or performance thereof. |
The parties duly executed this Agreement as of April 21, 2021.
| Ultimus Managers Trust | Ultimus Fund Solutions, LLC | |||
|
By: |
/s/ Xxxx X. Xxxx |
By: |
/s/ Xxxx Xxxxxxx | |
| Name: | Xxxx X. Xxxx | Name: | Xxxx Xxxxxxx | |
| Title: | President | Title: | Chief Executive Officer | |
| Ultimus Managers Trust Ultimus ETF Master Services Agreement April 21, 2021 | 17 |
Fund Accounting Addendum
for
Xxxxxxx Managers Trust
This Fund Accounting Addendum, dated April 21, 2021, is between Ultimus Managers Trust (the “Trust”), on its own behalf and on behalf of the Funds listed on Schedule A to that certain ETF Master Services Agreement, dated April 21, 2021, and Ultimus Fund Solutions, LLC (“Ultimus”). Capitalized terms used but not defined herein shall have the meanings set forth in the ETF Master Services Agreement.
Fund Accounting Services
| 1. | Performance of Daily Accounting Services |
Xxxxxxx shall perform the following accounting services daily for each Fund, each in accordance with the Fund’s prospectus and statement of additional information:
| 1.1. | calculate the net asset value per share utilizing prices obtained from the sources described in subsection 1.2 below; |
| 1.2. | obtain security prices from independent pricing services, or if such quotes are unavailable, then obtain such prices from each Fund’s fair value committee or investment adviser, or the investment adviser’s designee, as approved by the Board; |
| 1.3. | verify and reconcile with the Funds’ custodian cash and all daily activity; |
| 1.4. | compute, as appropriate, each Fund’s net income and realized capital gains, dividend payables, dividend factors, and weighted average portfolio maturity; |
| 1.5. | review daily the net asset value calculation and dividend factor (if any) for each Fund prior to release to shareholders, check and confirm the net asset values and dividend factors for reasonableness and deviations, and distribute net asset values and/or yields to each Fund’s listing exchange, authorized participants, transfer agent and/or index receipt agent, and such other entities as directed by the Fund; |
| 1.6. | determine unrealized appreciation and depreciation on securities held by the Funds; |
| 1.7. | accrue income of each Fund; |
| 1.8. | amortize premiums and accrete discounts on securities purchased at a price other than face value, if requested by the Trust; |
| 1.9. | update fund accounting system to reflect rate changes, as received/obtained by Ultimus, on variable interest rate instruments; |
| 1.10. | record investment trades received in proper form from each Fund or its authorized agents on the industry standard T+1 basis; |
| Xxxxxxx Managers Trust Fund Accounting Addendum April 21, 2021 | 18 |
| 1.11. | calculate Fund expenses based on instructions from each Fund’s administrator; |
| 1.12. | process share creations and redemptions with each Fund’s transfer agent; |
| 1.13. | maintain create/redeem records to the extent they are not otherwise maintained by other services providers; |
| 1.14. | accrue expenses of each Fund; |
| 1.15. | determine the outstanding receivables and payables for all (1) security trades, (2) Fund share transactions and (3) income and expense accounts; |
| 1.16. | provide accounting reports in connection with each Fund’s regular annual audit and other audits and examinations by regulatory agencies; |
| 1.17. | provide such periodic reports as agreed to by the parties; |
| 1.18. | prepare and maintain the following records upon receipt of information in proper form from each Fund or its authorized agents: (1) cash receipts journal; (2) cash disbursements journal; (3) dividend record; (4) purchase and sales-portfolio securities journals; (5) subscription and redemption journals; (6) security ledgers; (7) broker ledger; (8) general ledger; (9) daily expense accruals; (10) daily income accruals, (11) securities and monies borrowed or loaned and collateral therefore; (12) foreign currency journals; and (13) trial balances; |
| 1.19. | provide information typically supplied in the investment company industry to companies that track or report price, performance or other information with respect to investment companies; |
| 1.20. | provide accounting information to each Fund’s independent registered public accounting firm for preparation of the Fund’s tax returns; |
| 1.21. | cooperate with, and take all reasonable actions in the performance of its duties under this Agreement, so that all necessary information is made available to each Fund’s independent public accountants in connection with any audit or the preparation of any report requested by the Fund; |
| 1.22. | generate each Fund’s daily portfolio composition file (“PCF”) in NSCC format, which includes investment adviser inputs and accounting inputs for transmission to Custodian for dissemination to NSCC, and any other communications required by NSCC related to the PCF. Xxxxxxx will also send the PCF to any required vendors and the Fund’s investment adviser for recordkeeping; |
| 1.23. | research and calculate the qualified dividend rate for income and short-term capital gain distributions and assist in the production of supplemental tax information letters for the Fund, if applicable; |
| Xxxxxxx Managers Trust Fund Accounting Addendum April 21, 2021 | 19 |
| 1.24. | calculate for each Fund share class, as applicable, accruals of shareholder servicing fees and/or distributions fees under Rule 12b-1 under the Investment Company Act of 1940, as amended; and |
| 1.25. | distribute net asset values and/or yields to the Fund’s listing exchange, authorized participants, transfer agent and/or index receipt agent, as applicable. |
| 2. | Additional Accounting Services |
Xxxxxxx shall also perform the following additional accounting services for each Fund.
| 2.1. | Financial Statements. Ultimus will provide monthly (or as frequently as may reasonably be requested by the Trust or a Fund’s investment adviser) a set of Financial Statements for each Fund. For purposes of this Fund Accounting Addendum, “Financial Statements” include the following: (A) Statement of Assets and Liabilities; (B) Statement of Operations; (C) Statement of Changes in Net Assets; (D) Security Purchases and Sales Journals; and (E) Fund Holdings Reports. |
| 2.2. | Other Information. Provide accounting information for the following: |
| (A) | federal and state income tax returns and federal excise tax returns; |
| (B) | the Trust’s reports with the SEC on Forms N-CEN, N-PORT, and N-CSR; |
| (C) | registration statements on Form N-1A and other filings relating to the registration of shares; |
| (D) | Ultimus’ monitoring of the Trust’s status as a regulated investment company under Subchapter M of the Internal Revenue Code, as amended (the “Internal Revenue Code”); |
| (E) | annual audit by the Trust’s independent accountants; and |
| (F) | examinations performed by the SEC. |
| 2.3. | Other Services |
| (A) | as appropriate, compute the Trust’s yields, total return, expense ratios, and portfolio turnover rate, and any other financial ratios required by regulatory filings |
| Xxxxxxx Managers Trust Fund Accounting Addendum April 21, 2021 | 20 |
| 3. | Special Reports and Services |
| 3.1. | Ultimus may provide additional special reports upon the request of the Trust or a Fund’s investment adviser, which may result in an additional charge, the amount of which shall be agreed upon by the parties prior to the reports being made available. |
| 3.2. | Ultimus may provide such other similar services with respect to a Fund as may be reasonably requested by the Trust, which may result in an additional charge, the amount of which shall be agreed upon between the parties prior to such services being provided. |
| 4. | Forms N-CEN and N-PORT |
| 4.1. | If Xxxxxxx also provides fund administration to the Trust or Fund, Ultimus will prepare and file with the SEC the reports on Forms N-CEN and N-PORT. |
| 4.2. | If Xxxxxxx does not provide fund administration to the Trust of Fund, Ultimus will provide the fund administrator with accounting information for Forms N-CEN and N-PORT. |
The parties duly executed this Fund Accounting Addendum as of April 21, 2021.
Ultimus Managers Trust on its own behalf and on behalf of the Funds |
Ultimus Fund Solutions, LLC
| |||
|
By: |
/s/ Xxxx X. Xxxx |
By: |
/s/ Xxxx Xxxxxxx | |
| Name: | Xxxx X. Xxxx | Name: | Xxxx Xxxxxxx | |
| Title: | President | Title: | Chief Executive Officer | |
| Xxxxxxx Managers Trust Fund Accounting Addendum April 21, 2021 | 21 |
Fund Administration
Addendum
for
Xxxxxxx Managers Trust
This Fund Administration Addendum, dated April 21, 2021, is between Xxxxxxx Managers Trust (the “Trust”), on its own behalf and on behalf of the Funds listed in Scheduled A to that certain ETF Master Services Agreement dated April 21, 2021, and Ultimus Fund Solutions, LLC (“Ultimus”). Capitalized terms used but not defined herein shall have the meanings set forth in the ETF Master Services Agreement.
Fund Administration Services
| 1. | Regulatory Reporting |
Ultimus shall provide the Trust with regulatory reporting services, including:
| 1.1. | prepare, in consultation with Trust counsel, the annual updates (as well as supplements) to the Trust’s registration statement filed on Form N-1A/Form N-2 pursuant to Section 8 of the Investment Company Act, and coordinate through a financial printer the filing of such annual updates (as well as supplements to such documents) with the Securities and Exchange Commission (the “SEC”); |
| 1.2. | prepare and file with the SEC (i) the reports for the Trust on Forms N-CSR, N-PORT, N-23c-3, Schedule TO, and N-CEN (as applicable), (ii) Form N-PX, (iii) annual Fidelity Bond Filing (Rule 17g-1), and (iii) all required notices pursuant to Rule 24f-2 under the Investment Company Act; |
| 1.3. | prepare such reports, notice filing forms and other documents (including reports regarding the sale of shares of the Trust as may be required in order to comply with federal and state securities law) as may be necessary or desirable to make notice filings relating to the Trust’s shares with state securities authorities, monitor the sale of Trust shares for compliance with state securities laws, and file with the appropriate state securities authorities compliance filings as may be necessary or convenient to enable the Trust to offer its shares; and |
| 1.4. | cooperate with, and take all reasonable actions in the performance of its duties under this Agreement, so that the necessary information is made available to, the SEC or any other regulatory authority or applicable securities exchange in connection with any regulatory audit of the Trust or any Fund. |
| 2. | Shareholder Communications |
Xxxxxxx shall develop and prepare, with the assistance of the Trust’s investment adviser(s) and other service providers, communications to shareholders, including the annual and semiannual reports to shareholders, coordinate the printing and mailing of prospectuses, notices and other reports to Trust shareholders.
| Ultimus Managers Trust Fund Administration Addendum April 21, 2021 | 22 |
| 3. | Corporate Governance |
Ultimus shall provide the following services to the Trust and its Funds:
| 3.1. | provide individuals reasonably acceptable to the Board to serve as officers of the Trust, who will be responsible for the management of certain of the Trust’s affairs as determined and under supervision by the Board; |
| 3.2. | coordinate the acquisition of and maintain fidelity bonds and directors and officers/errors and omissions insurance policies for the Trust in accordance with the requirements of the Investment Company Act and as such bonds and policies are approved by the Board; |
| 3.3. | schedule, prepare materials for, attend and write minutes of the Board’s quarterly meetings; and |
| 3.4. | maintain the Trust’s governing documents and any amendments thereto, including the Agreement and Declaration of Trust, By-laws and minutes of the Board and committee meetings. |
| 4. | Other Services |
Ultimus shall provide all necessary office space, equipment, personnel, and facilities for handling the affairs of the Trust; and shall provide the following services if reasonably requested by the Trust and if such services are consistent with Ultimus’ obligations under the ETF Master Services Agreement and this Fund Administration Addendum:
| 4.1. | administer contracts on behalf of the Trust with, among others, the Trust’s investment adviser(s), distributor, custodian, transfer agent, index receipt agent, and fund accountant; |
| 4.2. | assist the Trust, each Fund’s investment adviser(s) and the Trust’s Chief Compliance Officer in monitoring the Trust and its Funds for compliance with applicable limitations as imposed by the Investment Company Act and the rules and regulations thereunder or set forth in the Trust’s or any Fund’s then current prospectus or statement of additional information; |
| 4.3. | coordinate with each Fund’s service providers to facilitate the setup of the Fund on applicable securities exchanges; |
| 4.4. | arrange for vendors to provide and post each Fund’s IOPV, as applicable, and other information required by exemptive orders; |
| 4.5. | prepare and maintain the Trust’s operating budget to determine proper expense accruals to be charged to each Fund in order to calculate its daily net asset value; |
| 4.6. | prepare, or cause to be prepared, expense and financial reports, including Fund budgets, expense reports, pro-forma financial statements, expense and profit/loss projections and fee waiver/expense reimbursement projections on a periodic basis; |
| 4.7. | calculate performance data of the Trust, including the Trust’s yields, total return, expense ratios and portfolio turnover rate; |
| 4.8. | assist each Fund’s independent registered public accounting firm with the preparation and filing of the Fund’s tax returns; |
| Ultimus Managers Trust Fund Administration Addendum April 21, 2021 | 23 |
| 4.9. | research and calculate the qualified dividend rate for income and short-term capital gain distributions and assist in the production of supplemental tax information letters for each Fund, if applicable; |
| 4.10. | advise the Trust and its Board on matters concerning the Trust and its affairs including making recommendations regarding dividends and distributions; |
| 4.11. | calculate the allocation of Trust expenses among the Trust’s Funds, as instructed by the Trust; |
| 4.12. | administer the accumulation and disbursement for each Fund share class, as applicable, of amounts to be paid by the Fund as shareholder servicing fees and/or distributions fees under Rule 12b-1 under the Investment Company Act of 1940, as amended; |
| 4.13. | cooperate with, and take all reasonable actions in the performance of its duties under this Agreement, to ensure that the necessary information within its control is made available to the SEC or any other regulatory authority or applicable securities exchange in connection with any regulatory audits of the Trust or any Fund; |
| 4.14. | process share creation units and redemption units with the Fund’s transfer agent; |
| 4.15. | administer all disbursements for a Fund; and |
| 4.16. | upon request, assist each Fund in the evaluation and selection of other service providers, such as independent public accountants, printers and XXXXX xxxxxxxxx. |
For special cases, the parties hereto may amend the procedures or services set forth in the ETF Master Services Agreement as may be appropriate or practical under the circumstances, and Xxxxxxx may conclusively assume that any special procedure or service which has been approved by the Trust does not conflict with or violate any requirements of its Agreement and Declaration of Trust or then-current prospectuses, or any rule, regulation or requirement of any regulatory body.
| 3. | Additional Regulatory Services |
Ultimus may provide other regulatory services not specifically listed herein upon such terms and for such fees as the parties hereto agree. Such other regulatory services may include, without limitation, (i) the drafting of initial registration statements and amendments thereto pursuant to Rule 485(a) under the Securities Act of 1933, (ii) the drafting of proxy statements and related materials in connection with the Trust’s shareholder meetings, and (iii) the preparation of materials for, attendance at, and drafting of minutes for organizational and special Board meetings.
| 4. | Tax Matters |
Xxxxxxx does not provide tax advice. Nothing in the ETF Master Services Agreement or this Fund Administration Addendum shall be construed or have the effect of rendering tax advice. It is important that the Trust or a Fund consult a professional tax advisor regarding its individual tax situation.
| Ultimus Managers Trust Fund Administration Addendum April 21, 2021 | 24 |
| 5. | Liquidity Risk Management Program Support. Ultimus will provide assistance in support of the Fund’s obligation to maintain its own Liquidity Risk Management Program (“LRMP”) which meets the requirements of Rule 22e-4 under the Investment Company Act. The LRMP support shall include the following services: |
Ongoing Services (as applicable).
| ● | Assist with the preparation of periodic reporting and annual report to the Board including collecting and incorporating investment adviser reports. |
| ● | Provide data from each Fund’s books and records. |
| ● | Assist in monitoring the Fund’s highly liquid investment minimum, if applicable, and each Fund’s level of illiquid investments (15% limit). |
| ● | Assist with arranging Board notifications. |
| ● | Assist in the preparation of Form N-LIQUID/Form N-RN. |
| ● | Add adviser’s liquidity risk discussion to shareholder reports. |
| 6. | Legal Representation |
Notwithstanding any provision of the ETF Master Services Agreement or this Fund Administration Addendum to the contrary, Xxxxxxx will not provide legal representation to the Trust or any Fund, including through the use of attorneys that are employees of, or contractually engaged by, Xxxxxxx. The Trust acknowledges that in-house Ultimus attorneys exclusively represent Xxxxxxx and will rely on outside counsel retained by the Trust to review all services provided by in-house Ultimus attorneys and to provide independent judgment on the Trust’s behalf. The Trust acknowledges that because no attorney-client relationship exists between in-house Ultimus attorneys and the Trust, any information provided to Ultimus attorneys may not be privileged and may be subject to compulsory disclosure under certain circumstances. Xxxxxxx represents that it will maintain the confidentiality of information disclosed to its in-house attorneys on a best efforts basis.
The parties duly executed this Fund Administration Addendum as of April 21, 2021.
Signatures are located on the next page.
| Ultimus Managers Trust Fund Administration Addendum April 21, 2021 | 25 |
Ultimus Managers Trust on its own behalf and on behalf of the Funds |
Ultimus Fund Solutions, LLC
| |||
|
By: |
/s/ Xxxx X. Xxxx |
By: |
/s/ Xxxx Xxxxxxx | |
| Name: | Xxxx X. Xxxx | Name: | Xxxx Xxxxxxx | |
| Title: | President | Title: | Chief Executive Officer | |
| Ultimus Managers Trust Fund Administration Addendum April 21, 2021 | 26 |
