NOTE 4. INVESTMENT MANAGEMENT AND OTHER FEES

The following table presents operating revenues disaggregated by performance obligation:

	Six Months Ended December 31,					Three Months Ended December 31,
(dollars in thousands)	2020		2019			2020		2019
USGIF advisory fees	$	1,803	$	1,660		$	907	$	824
USGIF performance fees earned (paid)		124		(312	)		115		(115	)
ETF advisory fees		5,937		254			3,647		133
Total Advisory Fees		7,864		1,602			4,669		842
USGIF administrative services fees		102		89			52		45
Other Operating Revenue		444		-			444		-
Total Operating Revenue	$	8,410	$	1,691		$	5,165	$	887

The Company serves as investment adviser to USGIF and receives a fee based on a specified percentage of average assets under management. The advisory agreement for the equity funds within USGIF provides for a base advisory fee that is adjusted upwards or downwards by 0.25 percent when there is a performance difference of 5 percent or more between a fund’s performance and that of its designated benchmark index over the prior rolling 12 months.

The Company has agreed to contractually limit the expenses of the Near-Term Tax Free Fund through April 2021. The Company has voluntarily waived or reduced its fees and/or agreed to pay expenses on the remaining USGIF funds. These caps will continue on a voluntary basis at the Company’s discretion. The aggregate fees waived and expenses borne by the Company for USGIF for the three and six months ended December 31, 2020, were $185,000 and $401,000, respectively, compared with $122,000 and $266,000, respectively, for the corresponding period in the prior fiscal year. Management cannot predict the impact of future waivers due the number of variables and the range of potential outcomes.

The Company receives administrative service fees from USGIF based on an annual rate of 0.05 percent of average daily net assets of each fund.

The Company also serves as investment advisor to two exchange-traded funds (ETFs): U.S. Global Jets ETF (ticker JETS) and U.S. Global GO GOLD and Precious Metal Miners ETF (ticker GOAU). The Company receives a unitary management fee of 0.60 percent of average net assets and has agreed to bear all expenses of the ETFs.

As of December 31, 2020, the Company had $2.0 million in receivables from fund clients, of which $394,000 was from USGIF and $1.6 million from the ETFs. As of June 30, 2020, the Company had $869,000 in receivables from fund clients, of which $187,000 was from USGIF and $682,000 from the ETFs.

Other Operating revenue includes the extinguishment of debt related to the forgiveness of the Paycheck Protection Program (“PPP”) loan and accrued interest. See further information on the PPP loan in Note 7, Borrowings.