Anchor Capital Advisors LLC

Item 5: Fees and Compensation

Investment Management Fees: Anchor Capital charges a fee for its investment
management services based on a client’s assets under management. Anchor Capital's fee
schedule is as follows.

Institutional Division - $5 million minimum
        All Cap Value, Dividend Income Value:
               0.60% on first $25 million
               0.50% above $25 million

      Balanced Value:
            0.60% on first $25 million
            0.50% above $25 million

      Mid Cap Value, Value Opportunities:
            0.75% on first $25 million
            0.65% above $25 million

       Small Cap Value:
              0.90% flat
Private Client Division

       1.00%          on the first $3 million
       0.75%          on the next $2 million
       0.65%          on the next $5 million
       0.50%          on additional assets > $10 million

The Private Client fee schedule stated above is inclusive of all wealth management
advice, including financial planning and implementation of Anchor Capital strategies for
clients with assets of $20,000,000 or more managed by Anchor Capital. Please see
information below regarding fees for clients with less than $20,000,000 under
management. Under certain circumstances, to achieve further diversification and/or
additional investment opportunities, Anchor Capital may recommend other non-affiliated
investment strategies in the form of mutual funds, ETFs, separate accounts or private
placements which charge an imbedded fee separate from the fee schedule stated above.
The PC Division recommends both “no-load” and “load” mutual funds but keeps no
commissions, service fees or Rule 12b-1 fees.

                                                6.

Financial Planning Fees: Fees for Financial Planning Services for clients with assets
under management of less than $20,000,000 will be commensurate with the scope of the
engagement. Fees will be negotiated annually and paid quarterly in advance.

Managed Accounts Division
Under the SMA and UMA programs, the client pays the sponsor a percentage of assets fee
("wrap fee") and the sponsor, in turn, pays Anchor Capital a portion of that fee. In most
cases, Anchor Capital does not know the fee the client is paying to the sponsor. The fees
paid to Anchor Capital by the sponsor are based on a percentage of each sponsor’s SMA
assets under management or UMA assets under advisement with Anchor Capital. The
contractual fee rates vary from sponsor to sponsor. Fees are paid either quarterly or monthly
and either in advance or in arrears.

Fees in General
The majority of accounts are billed in advance for the coming quarter based on the prior
quarter-end market value; some accounts are billed in arrears as determined by the
Investment Management Agreement. Many clients have authorized Anchor Capital to
deduct management fees from their custodial account. Clients participating in wrap
programs typically pay the sponsor an all-inclusive fee, a portion of which is paid to Anchor
Capital as compensation for the investment advisory services rendered to the client.
Detailed information on the sponsor’s fees may be found in the sponsor’s fee brochure.

Under certain circumstances fees in the Institutional and Private Client divisions may be
negotiable. Charitable accounts may be granted the courtesy of a 10% discount. Multiple
accounts from the same client or organization, or accounts of related persons may have
flat fees and/or have the option of being billed on an aggregate basis.

In the event of a termination before the end of the billing period, the unearned fees are
refunded on a pro-rata basis for those accounts that pay in advance. Notification of
termination is generally accepted in writing or by electronic media.

Anchor Capital pays solicitor or referral fees. Please see Item 14 for more information.
Clients may purchase other Anchor Capital investment products through brokers or
agents that are not affiliated with Anchor Capital.

No portion of Anchor Capital’s revenue is derived from commissions, and the firm does
not charge commissions or mark-ups.

Clients are responsible for any custodian fees and/or applicable brokerage commissions.
Please see Item 12 for more information on Anchor Capital’s brokerage practices.

Item 7: Types of Clients

Anchor Capital offers investment advisory services to pension and profit-sharing accounts
(corporate, joint trusteed and professional corporations), charitable accounts including
religious, non-profit foundations and educational institutions, corporations (taxable),
banks/thrift institutions, individuals, high-net-worth individuals, trusts and estates, and
registered investment companies. Each client division has guidelines around the
appropriate minimum account size.