A partner you can rely on for a competitive edge.

U.S. Bank

Private Banking

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Together, we offer a powerful combination of advisory and banking tools to support your individual client’s wealth management goals.

The U.S. Bank AdvantageU.S. Bank is one of America’s most reputable, admired and powerful

financial institutions, ranking as the country’s fifth largest commercial

bank. We serve more than 18 million customers nationwide and

have provided private banking services to meet the needs of wealthy

individuals, families and their foundations for more than 150 years.

We’re recognized for delivering consistent, industry-leading financial

results, while practicing prudent risk management and developing

innovative services and delivery channels. From this position of

strength comes a well-capitalized bank and a leader in lending.

At U.S. Bank, our focus is on putting people first. Our dedication to

making ethical decisions and doing the right thing is at the heart of

what we do.

Investment products and services are:

NOT A DEPOSIT NOT FDIC INSURED MAY LOSE VALUE NOT BANK GUARANTEED NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

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One interconnected approach — disciplined, yet personalAs a trusted advisor, your goal is to help your clients achieve their vision of

success. U.S. Bank Private Banking shares your goal and will work with

you to make it a reality.

To support this endeavor, Fidelity Investments® has entered into a strategic

relationship with U.S. Bank to offer your clients securities-based lending. In

addition, you can work directly with your U.S. Bank Private Banker for other

competitive credit options, from home mortgages and home equity lines

of credit, to yacht and aircraft loans. We customize strategies to meet your

clientele’s unique financing needs.

It’s the smart move. We understand private banking — we’ve been doing

it for more than 150 years. You understand your client base’s financial

profiles and what they need to achieve their goals. Together, we are able

to provide the advisory and banking services to help support your clientele’s

overall wealth management plans.

You can count on a highly qualified banking team to provide personalized

service and sophisticated expertise. From loan initiation through approval

and funding, we are there with you every step of the way to ensure your

clients have a seamless, superior, personalized experience.

U.S. Bank is named one of the “World’s

Most Ethical Companies for a second

year in a row.”

— Ethisphere Institute, March 2015 and 2016

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A Unique RelationshipThe U.S. Bank Private Banking team is comprised of experienced bankers

and support staff who are dedicated exclusively to Fidelity®.

This structure and service model helps ensure a consistent client experience

with you remaining in full control of your client relationships. We have an

internal infrastructure in place that assures a clear separation between

your clients and the rest of our broader organization. We are committed

to working within the context of your practice by offering holistic private

banking services that leverage your expertise in the planning and

delivery process.

“Working with U.S. Bank Private Banking gave me a lot of attractive

new options to offer my clients. And the loan process was easily

the smoothest, least complicated I’ve experienced. It’s been an

excellent fit.”

— Registered Investment Advisor

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Your guide to non-purpose lendingWorking together has its benefits, including a flexible line-of-credit offering

from U.S. Bank, secured by eligible assets in one or more brokerage

accounts maintained at Fidelity. A line of credit secured with brokerage assets

provides clients with the ability to borrow by leveraging securities without

liquidating investments. This can give your clients greater flexibility

to meet, manage and pursue a variety of important financial situations,

which may include:

• Managing short-term cash flow needs • Paying taxes

• Financing special purchases • Acting as a bridge loan

• Refinancing higher-interest-rate debt

Key features of liquid asset secured financing include:

• Higher release rates than traditional margin loans

• Attractive interest rates

• Flexible repayment options

• Access to funds via the U.S. Bank Private Banking team

It’s important to note that personal financial statements or tax returns

may not be required for loans up to $5 million; however, underwriting

is still required.

Unlike a margin loan, non-purpose proceeds may not be used to:

• Purchase or trade securities • Pay down margin lines

• Fund other brokerage accounts

“Most admired superregional bank”

six years in a row.

— Fortune, March 2011 through 2016

Client U.S. Bank

Private Banking

Advisor

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More options to help your most important clients Clients often need liquidity to pursue specific financial objectives in their lives.

By working with U.S. Bank Private Banking, you could make it possible for

your clients to access the liquidity they need, at competitive rates, without

having to sell existing holdings.

Is a non-purpose loan the right fit for your client? It’s important to weigh the

benefits and considerations to determine if leveraging a non-purpose loan

will meet a client’s needs. Once you determine this type of loan is the right

fit, the engagement process is easy — in fact, U.S. Bank does all the heavy

lifting for you.

Benefits

Considerations

• Unlock liquidity without selling brokerage securities• Continue to trade and manage accounts• Borrow up to 70% of the market value of equities• Suitable for nonstandard loan requests, including

fixed-rate loans• Flexible repayment of principal

• For larger loans ($250,000 minimum)• Loan application and underwriting required• Interest payments are billed monthly or quarterly• Release rate is based on the individual assets to be

pledged that are deemed eligible by U.S. Bank• Distributions from pledged accounts must be

approved by U.S. Bank• A decline in the value of the pledged securities

could result in a margin call

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A streamlined process working seamlessly with your practiceBy making private banking products available to your clients, you offer them

more financial options than ever, adding more value to your practice.

Best of all, these products can be incorporated into your practice in a

seamless fashion. At U.S. Bank, we’ve taken steps to streamline the

process while providing comprehensive support throughout to both you and

your clients.

Our professionals include dedicated bankers, processors and underwriters

who are exclusively assigned to serve our relationship with Fidelity. We will

take the time to fully understand your client’s financing needs and concerns

to create customized loans to suit each unique situation. Through our

streamlined process and integrated approach with Fidelity, our goal is to help

reduce the amount of time, paperwork and effort required on your behalf,

allowing your focus to remain on your client.

Once it appears that a non-purpose loan is a good option for your client,

we have an established process in place that is easy for you to navigate:

Step 1 – Evaluate your client’s need.

Step 2 – Assist your client in completing the application and gathering all

required supporting documentation. After contacting you to verify all the

information related to the loan request, your private banker will then provide

your client a letter of interest. This letter will outline the proposed structure

of the loan to make sure all is in order. Your banker will directly explain the

terms to you and your client. The loan process continues once the client is

in agreement with the proposed loan structure and signs the letter.

Step 3 – Secure underwriting and approval. U.S. Bank Private Banking will

underwrite the request, based upon the information provided, a credit report

and all required due diligence.

Step 4 – Distribute the funds to your client. U.S. Bank produces all loan

documentation and passes it on to you to obtain the necessary signatures

from the client. Once Fidelity executes the control agreement, funds can be

distributed as directed by your client.

Throughout the process, your private banker will remain in regular contact

with you, making sure you remain fully informed regarding the status of your

client’s request. The combination of our seasoned private bankers working

with a well-designed and proven system ensures that the loan process

can proceed as quickly as possible while providing an exceptional

client experience.

2 3 41 Client Evaluation

Bank Loan Application

Underwriting & Approval

Fund Distribution

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Flexible, customizable — provide your clients a comprehensive range of private banking options

U.S. Bank provides a variety of other private banking options that meet

a broad spectrum of financing needs. We are uniquely positioned to help

you to build a targeted, supportive leverage plan based upon your clients’

personal priorities and the dates by which they hope to achieve them. In

addition to our non-purpose lending program with Fidelity, U.S. Bank’s

other sophisticated lending options include:

Private Mortgage Banking

Offers experienced underwriters who specialize in jumbo loans for borrowers

with complicated financial profiles. Clients enjoy priority underwriting and

scheduling for loan closing, along with flexible rate structures including fixed,

adjustable and interest-only options. In addition, U.S. Bank retains and

services all jumbo loans. Our customized mortgage options include:

• Primary and secondary residences

• Condominiums and co-ops (select states)

• Construction and lots (select states)

• Eligible limited liability corporation and revocable trust entities

• Commercial real estate

Home Equity Lending

Includes lines of credit to term and bridge loans, enabling clients to choose

among a variety of term lengths and variable or fixed rates that may allow

them to meet their financing needs.

Commercial Real Estate

Supports property financing for both owner-occupied and investment

commercial real estate assets. These loans can be used for new purchases,

refinancing, expansions and/or upgrades on a variety of property types

including: multi-family, office, retail and industrial for amounts starting

at $1 million.

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Specialty Financing Life Insurance Premium Financing

Allows clients to purchase life insurance without significantly impacting their

current cash flow or liquid assets. An Irrevocable Life Insurance Trust, Family

Limited Partnership or Limited Liability Corporation can borrow funds to pay

premiums on a policy to support estate liquidity, wealth transition and tax

planning objectives. There are numerous options available regarding the loan

amount and structure.

Grantor Retained Annuity Trust (GRAT) Freeze Financing

Offers the opportunity to lock in appreciation seen within a GRAT by

substituting loan proceeds for existing marketable securities into a client’s

irrevocable trust. The loan funds are placed in less volatile investable assets

in order to “freeze” any appreciation seen within the account since inception.

The appreciation is then passed on to the beneficiaries of the GRAT,

potentially both estate- and gift-tax free, upon trust termination.

Your dedicated U.S. Bank Private Banking team can assist with these and

other private banking services such as yacht and aircraft loans and leasing,

and derivative products such as interest rate swaps and caps.

Faced with a competitive buying situation, a Connecticut couple needed

cash to secure the home of their dreams. They originally planned on a

mortgage, but their financial advisor working with U.S. Bank, helped

them obtain a non-purpose loan leveraging their investment portfolio.

They were then able to make a compelling cash offer, while keeping their

investments intact and avoiding capital gains exposure and potential

market loss. After the closing, they worked with the Private Banking team

to secure permanent mortgage financing.

One of the “world’s safest banks.”

— Global Finance,

April 2012 through 2015

An advisor in California recently left a large institution to start her own

firm and was working with a client to transfer his relationship from the

advisor’s previous institution. Unfortunately, his accounts were currently

pledged to a loan with a bank. To make the move possible, the advisor

worked with a U.S. Bank Private Banker to establish a non-purpose

loan to transfer the debit. The client was able to pay off the original loan,

allowing his holdings, now securing the new loan, to be transferred to the

advisor’s new firm.

An advisor in California recently left a large institution to start her own

firm and was working with a client to transfer his relationship from the

advisor’s previous institution. Unfortunately, his accounts were currently

pledged to a loan with a bank. To make the move possible, the advisor

worked with a U.S. Bank Private Banker to establish a non-purpose

loan to transfer the debit. The client was able to pay off the original loan,

allowing his holdings, now securing the new loan, to be transferred to the

advisor’s new firm.

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More benefits for youU.S. Bank Private Banking will work with you in helping your clients

effectively leverage their existing assets to finance a wide range of

needs. By taking advantage of the services we offer, your practice could

benefit significantly.

You may expand your capabilities by giving clients direct access to private

banking options offered by a highly respected and well-capitalized financial

institution. This could allow you to retain client assets and maintain the

integrity of your accounts, while helping clients potentially achieve their

financial goals and objectives.

Adding private banking products to your practice can be an important

competitive advantage, enabling you to build stronger client relationships.

Your U.S. Bank Private Banking team will work closely with you to assure

a seamless implementation of our private banking services.

An advisor in California recently left a large institution to start her own

firm and was working with a client to transfer his relationship from the

advisor’s previous institution. Unfortunately, his accounts were currently

pledged to a loan with a bank. To make the move possible, the advisor

worked with a U.S. Bank Private Banker to establish a non-purpose

loan to transfer the debit. The client was able to pay off the original loan,

allowing his holdings, now securing the new loan, to be transferred to the

advisor’s new firm.

More possibilities for your clientsIn today’s competitive marketplace, having the ability to offer comprehensive

financial strategies to meet your clientele’s needs is more important than

ever. It can help keep your clients on track to achieve their goals and make

it easier for you to retain and attract new clients.

Working with a respected firm like U.S. Bank Private Banking to provide

private banking services could garner significant rewards for you and

your clients.

Put us to work for you and your clientsWe’ve seen a lot of change over the 150 years that we’ve been in banking.

Although each decade has brought enhanced products and services that

save time and improve account accessibility, one value remains the same –

our unwavering passion to provide exceptional private banking services.

We offer ideas and suggestions that can help streamline your clients’

daily banking activities, provide maximum convenience and optimize their

investable assets.

Talk to your U.S. Bank Private Banker today to explore our broad range

of custom private banking offerings or to discuss financing options for a

specific client. We’re ready to unite with you to help your clients achieve their

financial goals.

844.203.7551 PrivateBanking@usbank.com

More possibilities for your clients . . . more benefits for you.

Number one “most trusted

retail bank for the past nine years.”

— Ponemon Institute, June 2015

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U.S. Bank and its representatives do not provide tax or legal advice. Your tax and financial situation is unique. You should consult your tax and/or legal advisor for advice and information concerning your particular situation.

Equal Housing Lender. Credit products are offered by U.S. Bank National Association and subject to normal credit approval. Deposit products are offered by U.S. Bank National Association. Member FDIC.

Fidelity Investments is a registered service mark of FMR LLC. Fidelity Clearing and Custody provides clearing, custody, or other brokerage services through National Financial Services LLC or Fidelity Brokerage Services LLC, Members NYSE, SIPC.

Fidelity Investments and U.S. Bank are not affiliated. The information provided herein should not be construed as a recommendation or endorsement by either party of the other.

© 2016 U.S. Bank N.A. (4/16)

NOT A DEPOSIT NOT FDIC INSURED MAY LOSE VALUE NOT BANK GUARANTEED NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY

Investment products and services are:

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