Campbell Newman Asset Management Inc

Item 5 - Fees and Compensation

General Fee Information

CN charges clients a fee based on a percentage of the account’s market value. CN’s fees for
accounts in the Large Cap Dividend Growth and Large Cap Growth strategies begin at 0.85%
with a sliding fee scale based on assets under management. CN’s fees for accounts in the
Small Cap Growth strategy begin at 0.95% with a sliding fee scale based on assets under
management. Fees are negotiable based on certain factors considered material by CN
including, but not limited to, type of client, assets under management and special service
requests by the client. As fees are negotiable, some clients are paying higher or lower fees than
others. CN maintains investment, trade allocation and account valuation policies and
procedures designed to address potential conflicts of interest related to the fact that different
clients pay different fee schedules.

Fees are generally payable quarterly in advance and are calculated based on the market value
of the client’s account as of the last business day of the previous quarter. CN, at its discretion,
combines related accounts for fee calculation purposes, and will negotiate a set quarterly fee if
appropriate given a client’s circumstances. If the advisory relationship is terminated by either
CN or the client, a refund will be made to the former client for prepaid fees which will be
prorated for the balance of the quarter. CN is paid directly or CN deducts fees directly from
client accounts based on the client’s written direction. In either situation, clients receive an
original invoice as part of the standard reporting package.

Clients also separately incur custody, brokerage and transaction costs. Please see Item 12 for
additional information on our brokerage practices. If an exchange-traded fund is held in a client
account, the client can separately incur expenses and fees related to that fund.

When CN is providing investment management services as part of a wrap fee program, the
wrap program sponsor charges its clients a bundled fee for a package of investment services,
such as brokerage, advisory, research, custody and management services. CN receives from
the wrap program sponsor a portion of the bundled fee for investment management services.

Under a Model Platform Account arrangement, CN is compensated directly by its client (the
other adviser) based on that adviser’s clients’ assets invested in CN’s model(s).

Account Valuation Practices

CN uses account market values to calculate investment performance and client fees, so it is
important that these values are as accurate as possible. CN’s account valuation practices are
described below.

CN uses pricing information provided by ICE Data Services (CN’s “Primary Pricing Source”) for
purposes of valuing client portfolios for investment performance calculation purposes. Unless
otherwise directed by the client, CN uses pricing information provided by the Primary Pricing
Source for fee billing purposes.

If, at the time of valuation, a price cannot be obtained for a specific security from the Primary
Pricing Source, a secondary source will be utilized for that specific security. Secondary source
information will be obtained as available in the following order for individual equity securities:
custodian price and Telemet America. Secondary source information for individual fixed income
securities will be obtained from the custodian.

When the Primary Pricing Source or Secondary Pricing Source are unable to render a price or
when CN’s portfolio managers strongly believe these sources do not provide a price reflective of
fair market value, CN’s Valuation Committee will determine a fair value for that security.

There are inherent conflicts of interest when CN values client accounts, as higher security
prices increase market values, thereby enhancing performance results and increasing fees. In
addition, because clients pay different fees based on differing fee schedules or the size of the
account, CN has an incentive to favor those accounts where it earns the highest fees. CN
maintains investment, trade allocation and account valuation (including fair valuation) policies
and procedures to address such conflicts of interest.

Item 7 - Types of Clients

CN makes its advisory services available to a wide variety of clients including institutional clients
including pension and profit sharing plans, charitable organizations, corporations and
government entities, as well as high net worth and other individuals, including those managed
through wrap programs and Model Platform Account arrangements.

CN manages the firm’s profit sharing plan, which is invested in the firm’s three equity strategies.
The profit sharing plan does not pay an advisory fee. The profit sharing plan is considered a
proprietary account due to the employees’ ownership stakes in the firm. CN also manages
accounts for the principal owner of CN and three non-controlling owners of CN. The accounts
do not pay an advisory fee and are considered proprietary accounts due to the CN owners
having primary financial interest in the accounts. To assist in mitigating potential conflicts of
interest, the accounts are traded after all Non-Restricted discretionary client accounts in the
trading order per CN’s Trade Aggregation/Rotation and Allocation Policy. Refer to Item 12 for
more information on CN’s trading order.

CN also manages a separate account for a family foundation and CN’s President serves as an
officer and director. This account is considered a client account, pays an investment
management fee, trades along with client accounts, and receives standard client reporting. CN’s
President has no financial interest in this account. CN maintains trading policies and procedures

designed to address conflicts of interest associated with this account. Please see Item 12 for
further disclosure of CN’s trading practices.

CN has a stated minimum account value of $1,000,000. CN’s participation in wrap fee programs
requires acceptance of account sizes less than the generally preferred minimum. Account
minimums are subject to negotiation.