our management and advisory fees and family office services fees income is recognized through the course of the period in which these services are provided . income from performance fees is recorded at the conclusion of the contractual performance period when all contingencies are resolved . in certain arrangements , we are only entitled to receive performance fees and allocations when the return on assets under management exceeds certain benchmark returns or other performance targets . 38 the discretionary investment management agreements for our separately managed accounts do not have a specified term . rather , each agreement may be terminated by either party at any time , unless otherwise agreed with the client , upon written notice of termination to the other party . the investment management agreements for our private funds are generally in effect from year to year , and may be terminated at the end of any year ( or , in certain cases , on the anniversary of execution of the agreement ) ( i ) by us upon 30 or 90 days ' prior written notice and ( ii ) after receiving the affirmative vote of a specified percentage of the investors in the private fund that are not affiliated with us , by the private fund on 60 or 90 days ' prior written notice . the investment management agreements for our private funds may also generally be terminated effective immediately by either party where the non-terminating party ( i ) commits a material breach of the terms subject , in certain cases , to a cure period , ( ii ) is found to have committed fraud , gross negligence or willful misconduct or ( iii ) terminates , becomes bankrupt , becomes insolvent or dissolves . each of our investment management agreements contains customary indemnification obligations from us to our clients . the tables below set forth the amount of assets under management , the percentage of management and advisory fees revenues , the amount of revenue recognized , and the average assets under management for discretionary managed accounts and for private funds for each period presented . discretionary managed accounts replace_table_token_8_th private funds replace_table_token_9_th our advisory fees are primarily driven by the level of our assets under management . our assets under management increase or decrease based on the net inflows or outflows of funds into our various investment strategies and the investment performance of our clients ' accounts . in order to increase our assets under management and expand our business , we must develop and market investment strategies that suit the investment needs of our target clients and provide attractive returns over the long term . our abilit y to continue to attract clients will depend on a variety of factors including , among others : · our ability to educate our target clients about our classic value investment strategies and provide them with exceptional client service ; · the relative investment performance of our investment strategies , as compared to competing products and market indices ; · competitive conditions in the investment management and broader financial services sectors ; · investor sentiment and confidence ; and · our decision to close strategies when we deem it to be in the best interests of our clients . the majority of advisory fees that we earn on separately-managed accounts are based on the value of assets under management on the last day of each calendar quarter . most of our advisory fees are billed quarterly in advance on the first day of each calendar quarter . our basic annual fee schedule for management of clients ' assets in separately managed accounts is : ( i ) for managed equity or balanced portfolios , 1 % of the first $ 10 million a nd 0.60 % on the balance , ( ii ) for managed fixed income only portfolios , 0.40 % on the first $ 10 million and 0.30 % on the balance and ( iii ) for the municipal value strategy , 0.65 % . our fee for monitoring non-discretionary assets can range from 0.05 % to 0.01 % , but can also be incorporated into an agreed-upon fixed family office service fee . the majority of our client relationships pay a blended fee rate since they are invested in multiple strategies . management fees earned on investment funds that we advise are calculated primarily based on the net assets of the funds . some funds calculate investment fees based on the net assets of the funds as of the last business day of each calendar quarter , whereas other funds calculate investment fees based on the value o f net assets on the first business day of the month . depending on the investment fund , fees are paid either quarterly in advance or quarterly in arrears . for our private funds , the fees range from 0.25 % to 1.5 % 39 annually . certain management fees earned on investment funds for which we perform risk management and due diligence services are based on flat fee agreements customized for each engagement . average management fee is calculated by dividing our actual revenue earned over a period by our average assets under management during the same period ( which is calculated by averaging quarter-end assets under management for the applicable period ) . our average management fee was 0.44 % , 0.43 % and 0.39 % for the years ended december 31 , 2013 , 2012 and 2011 , respectiv ely . changes in our total average management fee rates are typically the result of changes in the mix of our assets under management and increased concentration in our equities strategies whose fee rates are higher than those of other investment strategies . advisory fees are also adjusted for any cash flows into or out of a portfolio , where the cash flow represents greater than 10 % of the value of the portfolio . story_separator_special_tag the increase in performance fee revenue is directly attributable to higher returns 43 achieved at our external investment strategies . the balance of our performance fees are earned from proprietary funds and are included in equity income from investments , which is discussed below in “ —other income ( expense ) . ” expenses our expenses for the years ended december 31 , 2013 , 2012 and 2011 are set forth below : replace_table_token_14_th replace_table_token_15_th ( 3 ) for the year ended december 31 , 2013 , $ 8,236 of partner incentive payments was included in compensation and benefits expense . our expenses are driven primarily by our compensation costs . the table included in “ —expenses—compensation and benefits expense ” describes the components of our compensation expense for the three years ended december 31 , 2013. other expenses , such as rent , professional service fees , data-related costs , and sub-advisory fees incurred are included in our general and administrative expenses . year ended december 31 , 2013 versus year ended december 31 , 2012 total expenses increased by $ 10.7 million , or 32.7 % , to $ 43.5 million for the year ended december 31 , 2013 from $ 32.8 million for the year ended december 31 , 2012. this increase was primarily attributable to increases in compensation and benefits expense of $ 11.2 million partially offset by a decrease in general and administrative expenses of $ 0.5 million . compensation and benefits expense increased by $ 11.2 million , or 58.7 % , to $ 30.3 million for the year ended december 31 , 2013 from $ 19.1 million for the year ended december 31 , 2012. the increase was primarily attributable to an increase in the accrual for bonuses of $ 8.2 million as a result of the recognition of partner incentive payments as compensation expense , special non-principal bonuses of $ 0.8 million that were paid in july 2013 upon consummation of our initial public offering , an increase in salaries and benefits expense of $ 0.8 million and $ 0.2 million , respectively , as a result of both merit increases and increased headcount , and increased equity-based compensation expense of $ 0.8 million primarily due to an increase in the fair value of the deferred equity units in addition to the acceleration of vesting of deferred equity units as a result of the death of our former chief executive officer . general and administrative expenses decreased by $ 0.5 million , or 3.5 % , to $ 13.2 million for the year ended december 31 , 2013 from $ 13.7 million for the year ended december 31 , 2012. this decrease was primarily due to a reduction in professional fees of $ 2.5 million as a result of incurring fees for services rendered in the prior year in connection with a planned initial public offering that was withdrawn in 2012 and acquisition transactions . furthermore , our sub-advisory fees decreased by $ 0.3 million as a result of the ten-sixty asset management , llc acquisition . partially offsetting these decreases was a $ 0.8 million charge for payments to be made through november 2014 to a relative of our former chief executive officer , an increase in occupancy expense of $ 0.6 million due to the reversal of a lease abandonment liability in 2012 that was originally recorded in 2009 in connection with reoccupying space in our headquarters resulting in reduced occupancy expenses in 2012 , an increase in investor relation costs of $ 0.2 million , an increase in recruiting costs of $ 0.1 million , an increase in client promotion costs of $ 0.2 million , delaware franchise taxes of $ 0.1 million , and a fair value adjustment of $ 0.2 million to the milbank acquisition . year ended december 31 , 2012 versus year ended december 31 , 2011 total expenses increased by $ 4.5 million , or 15.7 % , to $ 32.8 million for the year ended december 31 , 2012 from $ 28.3 million for the year ended december 31 , 2011. this increase was primarily attributable to increases in compensation and benefits expense and general and administrative expenses of $ 1.6 million and $ 2.8 million , respectively . compensation and benefits expense increased by $ 1.6 million , or 9.2 % , to $ 19.1 million for the year ended december 31 , 2012 from $ 17.5 million for the year ended december 31 , 2011. the increase was primarily attributable to an increase in salaries of $ 0.9 million as a result of both merit increases and in creased headcount primarily as a result of the milbank acquisition , increased incentive 44 compensation expense of $ 0.3 million , and increased equity-based compensation expense of $ 0.3 million due to the grant of additional deferred equity units to employees and an increase in the fair value of the deferred equity units . general and administrative expenses increased by $ 2.8 million , or 26.1 % , to $ 13.7 million for the year ended december 31 , 2012 from $ 10.9 million for the year ended december 31 , 2011. this increase was primarily due to an increase in professional fees of $ 2.3 million for services rendered in connection with a planned initial public offering that was withdrawn in november 2012 and acquisition transactions and depreciation and amortization expen se of $ 0.4 million primarily related to amortization of intangible assets as part of the milbank transaction . on may 1 , 2012 , we reoccupied space at our headquarters that we had previously abandoned in 2009. as a result , this released the remaining abandonment-related liability of $ 0.7 million . this reversal was partially offset by increased operating cost escalations of $ 0.2 million and lower sub-tenant rent of $ 0.2 million . other income ( expense ) , net replace_table_token_16_th replace_table_token_17_th year ended december 31 , 2013

cash flows the following table sets forth our cash flows for the years ended december 31 , 2013 , 2012 and 2011. operating activities consist of net income subject to adjustments for changes in operating assets and liabilities , depreciation , and equity-based compensation expense . investing activities consist primarily of acquiring and selling property an d equipment , distributions received from investments in investment funds , and cash paid as part of business acquisitions . financing activities consist primarily of contributions from partners , distributions to partners , the issuance and payments on partner notes , other financings , and earnout payments related to business acquisitions . replace_table_token_21_th operating activities year ended december 31 , 2013 versus year ended december 31 , 2012 operating activities provided $ 26.4 million and $ 20.8 million for years ended december 31 , 2013 and 2012 , respectively . this difference is partially the result of increased distributions from investment funds of $ 0.9 million for the same period . our working capital increased by approximately $ 3.7 million primarily as a result of increased revenue and increased accrued compensation due to the recognition of partner incentive payment compensati on expense beginning in the third quarter .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash flows the following table sets forth our cash flows for the years ended december 31 , 2013 , 2012 and 2011. operating activities consist of net income subject to adjustments for changes in operating assets and liabilities , depreciation , and equity-based compensation expense . investing activities consist primarily of acquiring and selling property an d equipment , distributions received from investments in investment funds , and cash paid as part of business acquisitions . financing activities consist primarily of contributions from partners , distributions to partners , the issuance and payments on partner notes , other financings , and earnout payments related to business acquisitions . replace_table_token_21_th operating activities year ended december 31 , 2013 versus year ended december 31 , 2012 operating activities provided $ 26.4 million and $ 20.8 million for years ended december 31 , 2013 and 2012 , respectively . this difference is partially the result of increased distributions from investment funds of $ 0.9 million for the same period . our working capital increased by approximately $ 3.7 million primarily as a result of increased revenue and increased accrued compensation due to the recognition of partner incentive payment compensati on expense beginning in the third quarter .
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 Suspicious Activity Report : our management and advisory fees and family office services fees income is recognized through the course of the period in which these services are provided . income from performance fees is recorded at the conclusion of the contractual performance period when all contingencies are resolved . in certain arrangements , we are only entitled to receive performance fees and allocations when the return on assets under management exceeds certain benchmark returns or other performance targets . 38 the discretionary investment management agreements for our separately managed accounts do not have a specified term . rather , each agreement may be terminated by either party at any time , unless otherwise agreed with the client , upon written notice of termination to the other party . the investment management agreements for our private funds are generally in effect from year to year , and may be terminated at the end of any year ( or , in certain cases , on the anniversary of execution of the agreement ) ( i ) by us upon 30 or 90 days ' prior written notice and ( ii ) after receiving the affirmative vote of a specified percentage of the investors in the private fund that are not affiliated with us , by the private fund on 60 or 90 days ' prior written notice . the investment management agreements for our private funds may also generally be terminated effective immediately by either party where the non-terminating party ( i ) commits a material breach of the terms subject , in certain cases , to a cure period , ( ii ) is found to have committed fraud , gross negligence or willful misconduct or ( iii ) terminates , becomes bankrupt , becomes insolvent or dissolves . each of our investment management agreements contains customary indemnification obligations from us to our clients . the tables below set forth the amount of assets under management , the percentage of management and advisory fees revenues , the amount of revenue recognized , and the average assets under management for discretionary managed accounts and for private funds for each period presented . discretionary managed accounts replace_table_token_8_th private funds replace_table_token_9_th our advisory fees are primarily driven by the level of our assets under management . our assets under management increase or decrease based on the net inflows or outflows of funds into our various investment strategies and the investment performance of our clients ' accounts . in order to increase our assets under management and expand our business , we must develop and market investment strategies that suit the investment needs of our target clients and provide attractive returns over the long term . our abilit y to continue to attract clients will depend on a variety of factors including , among others : · our ability to educate our target clients about our classic value investment strategies and provide them with exceptional client service ; · the relative investment performance of our investment strategies , as compared to competing products and market indices ; · competitive conditions in the investment management and broader financial services sectors ; · investor sentiment and confidence ; and · our decision to close strategies when we deem it to be in the best interests of our clients . the majority of advisory fees that we earn on separately-managed accounts are based on the value of assets under management on the last day of each calendar quarter . most of our advisory fees are billed quarterly in advance on the first day of each calendar quarter . our basic annual fee schedule for management of clients ' assets in separately managed accounts is : ( i ) for managed equity or balanced portfolios , 1 % of the first $ 10 million a nd 0.60 % on the balance , ( ii ) for managed fixed income only portfolios , 0.40 % on the first $ 10 million and 0.30 % on the balance and ( iii ) for the municipal value strategy , 0.65 % . our fee for monitoring non-discretionary assets can range from 0.05 % to 0.01 % , but can also be incorporated into an agreed-upon fixed family office service fee . the majority of our client relationships pay a blended fee rate since they are invested in multiple strategies . management fees earned on investment funds that we advise are calculated primarily based on the net assets of the funds . some funds calculate investment fees based on the net assets of the funds as of the last business day of each calendar quarter , whereas other funds calculate investment fees based on the value o f net assets on the first business day of the month . depending on the investment fund , fees are paid either quarterly in advance or quarterly in arrears . for our private funds , the fees range from 0.25 % to 1.5 % 39 annually . certain management fees earned on investment funds for which we perform risk management and due diligence services are based on flat fee agreements customized for each engagement . average management fee is calculated by dividing our actual revenue earned over a period by our average assets under management during the same period ( which is calculated by averaging quarter-end assets under management for the applicable period ) . our average management fee was 0.44 % , 0.43 % and 0.39 % for the years ended december 31 , 2013 , 2012 and 2011 , respectiv ely . changes in our total average management fee rates are typically the result of changes in the mix of our assets under management and increased concentration in our equities strategies whose fee rates are higher than those of other investment strategies . advisory fees are also adjusted for any cash flows into or out of a portfolio , where the cash flow represents greater than 10 % of the value of the portfolio . story_separator_special_tag the increase in performance fee revenue is directly attributable to higher returns 43 achieved at our external investment strategies . the balance of our performance fees are earned from proprietary funds and are included in equity income from investments , which is discussed below in “ —other income ( expense ) . ” expenses our expenses for the years ended december 31 , 2013 , 2012 and 2011 are set forth below : replace_table_token_14_th replace_table_token_15_th ( 3 ) for the year ended december 31 , 2013 , $ 8,236 of partner incentive payments was included in compensation and benefits expense . our expenses are driven primarily by our compensation costs . the table included in “ —expenses—compensation and benefits expense ” describes the components of our compensation expense for the three years ended december 31 , 2013. other expenses , such as rent , professional service fees , data-related costs , and sub-advisory fees incurred are included in our general and administrative expenses . year ended december 31 , 2013 versus year ended december 31 , 2012 total expenses increased by $ 10.7 million , or 32.7 % , to $ 43.5 million for the year ended december 31 , 2013 from $ 32.8 million for the year ended december 31 , 2012. this increase was primarily attributable to increases in compensation and benefits expense of $ 11.2 million partially offset by a decrease in general and administrative expenses of $ 0.5 million . compensation and benefits expense increased by $ 11.2 million , or 58.7 % , to $ 30.3 million for the year ended december 31 , 2013 from $ 19.1 million for the year ended december 31 , 2012. the increase was primarily attributable to an increase in the accrual for bonuses of $ 8.2 million as a result of the recognition of partner incentive payments as compensation expense , special non-principal bonuses of $ 0.8 million that were paid in july 2013 upon consummation of our initial public offering , an increase in salaries and benefits expense of $ 0.8 million and $ 0.2 million , respectively , as a result of both merit increases and increased headcount , and increased equity-based compensation expense of $ 0.8 million primarily due to an increase in the fair value of the deferred equity units in addition to the acceleration of vesting of deferred equity units as a result of the death of our former chief executive officer . general and administrative expenses decreased by $ 0.5 million , or 3.5 % , to $ 13.2 million for the year ended december 31 , 2013 from $ 13.7 million for the year ended december 31 , 2012. this decrease was primarily due to a reduction in professional fees of $ 2.5 million as a result of incurring fees for services rendered in the prior year in connection with a planned initial public offering that was withdrawn in 2012 and acquisition transactions . furthermore , our sub-advisory fees decreased by $ 0.3 million as a result of the ten-sixty asset management , llc acquisition . partially offsetting these decreases was a $ 0.8 million charge for payments to be made through november 2014 to a relative of our former chief executive officer , an increase in occupancy expense of $ 0.6 million due to the reversal of a lease abandonment liability in 2012 that was originally recorded in 2009 in connection with reoccupying space in our headquarters resulting in reduced occupancy expenses in 2012 , an increase in investor relation costs of $ 0.2 million , an increase in recruiting costs of $ 0.1 million , an increase in client promotion costs of $ 0.2 million , delaware franchise taxes of $ 0.1 million , and a fair value adjustment of $ 0.2 million to the milbank acquisition . year ended december 31 , 2012 versus year ended december 31 , 2011 total expenses increased by $ 4.5 million , or 15.7 % , to $ 32.8 million for the year ended december 31 , 2012 from $ 28.3 million for the year ended december 31 , 2011. this increase was primarily attributable to increases in compensation and benefits expense and general and administrative expenses of $ 1.6 million and $ 2.8 million , respectively . compensation and benefits expense increased by $ 1.6 million , or 9.2 % , to $ 19.1 million for the year ended december 31 , 2012 from $ 17.5 million for the year ended december 31 , 2011. the increase was primarily attributable to an increase in salaries of $ 0.9 million as a result of both merit increases and in creased headcount primarily as a result of the milbank acquisition , increased incentive 44 compensation expense of $ 0.3 million , and increased equity-based compensation expense of $ 0.3 million due to the grant of additional deferred equity units to employees and an increase in the fair value of the deferred equity units . general and administrative expenses increased by $ 2.8 million , or 26.1 % , to $ 13.7 million for the year ended december 31 , 2012 from $ 10.9 million for the year ended december 31 , 2011. this increase was primarily due to an increase in professional fees of $ 2.3 million for services rendered in connection with a planned initial public offering that was withdrawn in november 2012 and acquisition transactions and depreciation and amortization expen se of $ 0.4 million primarily related to amortization of intangible assets as part of the milbank transaction . on may 1 , 2012 , we reoccupied space at our headquarters that we had previously abandoned in 2009. as a result , this released the remaining abandonment-related liability of $ 0.7 million . this reversal was partially offset by increased operating cost escalations of $ 0.2 million and lower sub-tenant rent of $ 0.2 million . other income ( expense ) , net replace_table_token_16_th replace_table_token_17_th year ended december 31 , 2013

