Significant Accounting Policies (Tables)

9 Months Ended

Sep. 30, 2013

Summary of Investments Values Based upon Level 1 and Level 2

The following table summarizes the values of the Company’s investments based upon Level 1 and Level 2 inputs as of September 30, 2013 and December 31, 2012:


	September 30, 2013		December 31, 2012
Level 1 Inputs	$	39,848,176	$	16,922,720
Level 2 Inputs		4,239,545		3,650,561

Assets under Management (AUM) Subject to Incentive Fees and Incentive Fees

The table below shows AUM subject to incentive fees and the incentive fees, as calculated under each of the above methods:


	As Of September 30,
	2013		2012
AUM Contractual Period Ends during:
Quarter Ended June 30, 2017		351,396,699		273,834,389


	For The Three Months Ended September 30,				For The Nine Months Ended September 30,
	2013		2012		2013		2012
Incentive Fees Under Method 1 - Contractual Period Ends during:
Quarter Ended June 30, 2017		—		—		—		—
Incentive Fees Under Method 2 - Contractual Period Ends during:
Quarter Ended June 30, 2017		3,155,630		53,600		3,155,630		53,600

Mutual Fund Administration Gross and Net Revenue

Mutual fund administration gross and net revenue are summarized below:


	Three Months Ended September 30,						Nine Months Ended September 30,
	2013			2012			2013			2012
Mutual fund administration:
Administration revenue, gross	$	4,320,959		$	3,349,027		$	11,951,844		$	9,675,532
12b-1/service fees and commission revenue received from fund clients		2,277,421			1,734,552			6,074,489			5,168,905
12b-1/service fees and commission expense payments to third parties		(1,992,664	)		(1,393,257	)		(5,319,674	)		(4,187,324	)
Fund related expense		(1,672,077	)		(1,443,635	)		(4,472,506	)		(4,117,290	)

Revenue, net of fund related expenses		2,933,639			2,246,687			8,234,153			6,539,823
DHCM C-Share financing:
Broker commission advance repayments		100,003			46,077			221,335			166,746
Broker commission amortization		(96,998	)		(52,378	)		(213,888	)		(167,255	)

Financing activity, net		3,005			(6,301	)		7,447			(509	)

Mutual fund administration revenue, net	$	2,936,644		$	2,240,386		$	8,241,600		$	6,539,314