Arch Global Advisors LLC

Item 5 – Fees and Compensation
The following paragraphs detail the fee structure and compensation methodology for services provided by the
Advisor. Each Client engaging the Advisor for services described herein shall be required to enter into one or
more agreements with the Advisor.

A. Fees for Advisory Services
Investment Management Services
Investment advisory fees are paid quarterly, in advance of each calendar quarter, pursuant to the terms of the
investment advisory agreement. Investment advisory fees are based on the market value of assets under
management at the end of the prior calendar quarter. In certain instances Client’s will incur a Portfolio Fee in
addition to their investment advisory fee as agreed upon in the Client agreement. Investment advisory fees and
Portfolio fees are based on the following schedule:

               Assets Under Management ($)           Standard Annual Rate (%)            Portfolio Fee (%)
               Up to $500,000                                 2.50%                            .15%
               $500,001 to $1,000,000                         2.00%                            .15%
               $1,000,001 to $2,500,000                       1.50%                            .15%
               $2,500,001 to $5,000,000                       1.25%                            .15%
               $5,000,001 to $10,000,000                      1.00%                            .15%
               Over $10,000,000                               0.85%                            .15%

The investment advisory fee in the first calendar quarter of service is prorated from the inception date of the
account[s] to the end of the first quarter. Fees may be negotiable at the sole discretion of the Advisor. The
Client’s fees will take into consideration the aggregate assets under management with the Advisor. All securities
held in accounts managed by Arch Global Advisors will be independently valued by the Custodian. The Advisor
will conduct periodic reviews of the Custodian’s valuations to ensure accurate billing.

The Advisor’s fee is exclusive of, and in addition to any applicable securities transaction and custody fees, and
other related costs and expenses described in Item 5.C below, which may be incurred by the Client. However,
the Advisor shall not receive any portion of these commissions, fees, and costs.

Certain Clients may be subject to a prior fee schedule as agreed upon by the Client and Advisor and executed
through the Client agreement.

Use of Independent Managers
As noted in Item 4, the Advisor may implement all or a portion of a Client’s investment portfolio utilizing one or
more Independent Managers. To eliminate any conflict of interest, the Advisor does not earn any compensation
from an Independent Manager. The Advisor will only earn its investment advisory fee as described above. The
Advisor will allocate a portion of the advisory fee collected to the Independent Manager pursuant to the terms of
the executed agreement between the Advisor and the Independent Manager.

                                               Arch Global Advisors, LLC
                                   215 Lexington Avenue, Suite 17B, New York, NY 10016
                                       Phone: (212) 991-8807 * Fax: (212) 961-6794

                                                    www.archga.com

Financial Planning Services
Arch Global Advisors offers financial planning services for a fixed engagement fee ranging from $750 to $1,500.
Fees may be negotiable based on the nature and complexity of the services to be provided and the overall
relationship with the Advisor. An estimate for total costs will be determined prior to engaging for these services.

Retirement Plan Advisory Services
Fees for retirement plan advisory services are charged an annual asset-based fee of up to 2.50%, billed quarterly
in advance, pursuant to the terms of the retirement plan advisory agreement. In certain instances retirement plan
Client’s will incur a Portfolio Fee in addition to their retirement plan advisory fee as agreed upon in the retirement
plan advisory services agreement. Retirement plan fees and Portfolio fees are based on the market value of
assets under management at the end of the prior calendar quarter and are based on the following schedule:

                 Assets Under Management ($)           Standard Annual Rate              Portfolio Fee (%)
                                                               (%)
                 Up to $500,000                               2.50%                            .15%
                 $500,001 to $1,000,000                       2.00%                            .15%
                 $1,000,001 to $2,500,000                     1.50%                            .15%
                 $2,500,001 to $5,000,000                     1.25%                            .15%
                 $5,000,001 to $10,000,000                    1.00%                            .15%
                 Over $10,000,000                             0.85%                            .15%

Certain Clients may be subject to a prior fee schedule as agreed upon by the Client and Advisor and executed
through the Client agreement.

Estate Planning Services
When providing estate planning services as described in Item 4, fees will be charged, in advance, at the
Advisor’s fixed rate of $1,500 per engagement. Fees may be negotiable based on the nature and complexity of
the services to be provided and the overall relationship with the Advisor.

B. Fee Billing
Investment Management Services
Investment advisory fees and Portfolio fees are calculated by the Advisor or its delegate and deducted from the
Client’s account[s] at the Custodian. The Advisor shall send an invoice to the Custodian indicating the amount of
the fees to be deducted from the Client’s account[s] at the beginning of the respective quarter. The amount due
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Item 7 – Types of Clients
Arch Global Advisors offers investment advisory services to individuals, high net worth individuals, trusts,
estates, businesses, and retirement plans. Arch Global Advisors generally does not impose a minimum size for
establishing a relationship.