Each managed account requires a credible financial institution to safeguard and trade the investment funds on that client's behalf. All securities are held in the client's name (company, trust, etc.) and are kept in-trust for safekeeping purposes via a European private bank. ENR can also suggest several established and highly regulated banks in Denmark, Austria and Switzerland, offering very competitive fees.

The lowest fees from our recommended universe of accredited European private banks is via Jyske Bank Private Banking in Copenhagen. The total expense ratio (TER) to have a managed account in Europe, including ENR's sub-advisor fees, range between a maximum of 1.50% per annum to a minimum of 0.95% per annum, depending on the size of the account.

Anglo-Irish Bank Austria (AIB) offers private banking services in Vienna. The combined fees to have an ENR managed account at AIB range between 1.50% to 1.25%.

In Zurich, Union Bank of Switzerland (UBS) charges 0.50% per annum; including ENR sub-advisor fees, the annual TER ranges from 1.50% to 1.25%.

ENR Asset Management, Inc. charges a sub-advisor fee only once per annum on the 12th month anniversary of the portfolio's inception. This rate ranges between a maximum 1% (under $1 million in assets) to a minimum of 0.75% per annum on assets over $1 million dollars.

Clients receive a quarterly or monthly portfolio statement from each of the above European banks where the assets are administered (for privacy reasons, clients can waive receiving account information). In addition, Mr. Roseman faxes monthly, unaudited client reports accompanied by a monthly commentary on manager performance, no later than the 28th day following the month under review.