Brendel Financial Advisors LLC

Item 5: Fees and Compensation
   A.     Fees Charged

   All clients are required to execute a written agreement describing the type of services
   provided and the fees, among other items.

Asset Management

Ongoing asset management fees vary from 0.75% to 1.50% per annum of the market value of
a client’s assets managed by BFA. In calculating the market value of a client’s assets, assets
allocated to cash or a cash proxy, such as a money market account, will be included in the
calculation of assets under management. The fee range stated is a guide. Fees are negotiable,
and may be higher or lower than this range, based on the nature of the account. Factors
affecting fee percentages include the size of the account, complexity of asset structures, and
other factors. All clients, but especially those with smaller accounts, should be advised they
may receive similar services from other professionals for higher or lower overall costs.

Consulting

Consulting fees can be hourly, fixed fee basis, or included with asset management services.
Our hourly charge is between $150 and $250 per hour. Fixed fees will be between $500 and
$4,000. The fee range stated is a guide. Fees may be higher or lower than this range, based
on the nature of the engagement. Fees are negotiable, and will depend on the anticipated
complexity of the services to be provided.

Fee Payment

Ongoing asset management fees will be deducted directly from each client’s account. The
advisory fee is paid quarterly, in advance, and the value used for the fee calculation is net
value as of the last market day of the previous quarter. This means that we will multiply your
asset value by the applicable annual fee rate. This result will then be divided by the number
of days in the year, and then multiplied by the number of days in the particular billing quarter.
For example, if your fee is 1% and the value of your portfolio is $100,000 your annual advisory
fee is $1,000. Thus, your quarterly fee will be approximately $250, depending on the number
of days in that particular quarter. Once the calculation is made, we will instruct your account
custodian to deduct the fee from your account and remit it to BFA.

B.     Other Fees

There are a number of other fees that can be associated with holding and investing in
securities. You will be responsible for fees including transaction fees for the purchase or sale
of a mutual fund or Exchange Traded Fund, or commissions for the purchase or sale of a stock.
Expenses of a fund will not be included in management fees, as they are deducted from the
value of the shares by the mutual fund manager. If selecting mutual funds that have multiple
share classes for recommendation to clients, BFA will take into account the internal fees and
expenses associated with each share class, and it is BFA policy to choose the lowest-cost share
class available, absent circumstances that dictate otherwise. For complete discussion of
expenses related to each mutual fund, you should read a copy of the prospectus issued by
that fund. BFA can provide or direct you to a copy of the prospectus for any fund that we
recommend to you. Third party manager fees would also be separate and additional.

   Please make sure to read Item 12 of this informational brochure, where we discuss broker-
   dealer and custodial issues.

   C.     Pro-rata Fees

   If you become a client during a quarter, you will pay a management fee for the number of
   days left in that quarter. If you terminate our relationship during a quarter, you will be entitled
   to a refund of any management fees for the remainder of the quarter. Once your notice of
   termination is received, we will refund the unearned fees to you in whatever way you direct
   (check, wire back to your account). BFA will cease to perform services, including processing
   trades and distributions, upon termination. Assets not transferred from terminated accounts
   within thirty (30) days of termination may be “de-linked”, meaning they will no longer be
   visible to BFA and will become a retail account with the custodian.

Item 7: Types of Clients
   BFA provides personalized financial planning, consulting, and/or investment management
   services. Clients advised may include individuals, pension and profit sharing plans, trusts,
   estates, charitable organizations, corporations, and persons or entities located outside the
   United States.