Cabot Wealth Management

ITEM 5 – FEES AND COMPENSATION

Assets Managed:                         Annual Advisory Fee
Up to $1,000,000                             1.25%
$1,000,000 - $2,500,000                      1.00%
$2,500,000 - $5,000,000                      .85%
$5,000,000 - $10,000,000                     .75%
$10,000,000 or more                          negotiable

Fees are assessed based on the break points outlined above. All fees are subject to negotiation and
may be adjusted up or down based on the depth and complexity of investment and/or financial
planning services offered. For example, bond or ETF portfolios may be charged a lower fee than
portfolios that consist of individual equity securities. Clients using CWMI’s tax preparation service
may pay a higher fee than those not using the service. CWMI reserves the right to charge a flat,
non-adjustable fee that does not change based on assets under management for the client. Some
clients may have a fee schedule that predates the current fee schedule and as a result will pay CWMI
a higher or lower fee than reflected on this schedule. Clients should refer to their investment advisory
agreement for their specific fee rate.

The specific manner in which fees are charged by CWMI is established in a client’s written agreement
with CWMI. CWMI will generally bill its fees on a quarterly basis in advance. Clients may elect to be
billed directly for fees or to authorize CWMI to directly debit fees from client accounts. Advisory fees
are based on the value of the assets in the client’s account as of the last business day of the previous
calendar quarter. Accounts initiated during a calendar quarter will be charged a prorated fee based
on the number of days services are provided. Upon termination of any account, any prepaid,
unearned fees will be promptly refunded, and any earned, unpaid fees will be due and payable.
Refunds are calculated by taking the total advisory fee billed for the year and prorating the annual
fee for the applicable calendar quarter.

CWMI’s fees are exclusive of brokerage commissions, transaction fees, and other related costs and
expenses which shall be incurred by the client. Clients are responsible for certain charges imposed
by custodians, brokers, third-party investment and other third parties, such as transaction fees, fees
charged by managers, custodial fees, deferred sales charges, odd-lot differentials, transfer taxes, wire
transfer and electronic fund fees, and other fees and taxes on brokerage accounts and securities
transactions. Decisions to reallocate your account assets may result in you incurring a redemption
fee imposed by one or more mutual funds held in your account. Mutual funds and exchange traded
funds also charge internal management fees, which are disclosed in a fund’s prospectus. Such
charges, fees and commissions are exclusive of and in addition to CWMI’s fee and CWMI shall not
receive any portion of these commissions, fees, and costs. CWMI shall not receive any portion of these
commissions, fees, and costs, including any distribution or “12b-1” fees paid by the mutual funds in
which your account assets are invested.

ITEM 7 – TYPES OF CLIENTS
CWMI provides portfolio management services to individuals, high net worth individuals, corporate
pension and profit-sharing plans, charitable institutions, foundations, endowments, municipalities,
private investment funds, trust programs, and other U.S. institutions.

CWMI requires a minimum initial investment of $500,000 to receive wealth management services.
CWMI requires a minimum of $1,500,000 in assets under management to qualify for tax preparation
services. CWMI, in its sole discretion, will accept clients based upon each client’s particular
circumstances, and reserves the right to waive the minimums or institute a tax preparation fee for
complex tax returns.