Capstone Financial Group Inc

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 a written
agreement with the Advisor.

A. Fees for Advisory Services
Wealth Management Services
Investment advisory fees are paid monthly, in arrears, pursuant to the terms of the agreement. Investment advisory
fees are based on the market value of assets under management at the end of the calendar month. Investment
advisory fees range from 0.25% to 1.00% annually based on several factors, including: the complexity of the
services to be provided, the level of assets to be managed, and the overall relationship with the Advisor.
Relationships with multiple objectives, specific reporting requirements, portfolio restrictions and other complexities
may be charged a higher fee.

The investment advisory fee in the first month of service is prorated from the inception date of the account[s] to the
end of the first month. 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 Advisor. All securities held in accounts managed by
CFG will be independently valued by the designated Custodian. CFG will not have the authority or responsibility to
value portfolio securities.

The Advisor’s fee is exclusive of, and in addition to, brokerage fees, transaction fees, and other related costs and
expenses, which may be incurred by the Client. However, the Advisor shall not receive any portion of these
commissions, fees, and costs.

Retirement Plan Advisory Services
Fees for retirement plan advisory services are charged an annual asset-based fee of up to 1.00% and are billed
in arrears, pursuant to the terms of the retirement plan advisory agreement. Retirement plan advisory fees are
based on the market value of assets under management at the end of the prior month. Fees may be negotiable
depending on the size and complexity of the Plan.

B. Fee Billing
Wealth Management Services

                                             Capstone Financial Group, Inc.
                                     13919 Quail Pointe Drive, Oklahoma City, OK 73134
                                        Phone: (405) 848-4646 * Fax: (405) 608-0839
                                                   www.capfinancial.com

Investment advisory 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 respective month end date. The amount due is calculated by applying the
monthly rate (annual rate divided by 12) to the total assets under management with CFG at the end of each month.
Clients will be provided with a statement, at least quarterly, from the Custodian reflecting deduction of the
investment advisory fee. It is the responsibility of the Client to verify the accuracy of these fees as listed on the
Custodian’s brokerage statement as the Custodian does not assume this responsibility. Clients provide written
authorization permitting CFG to be paid directly from their account[s] held by the Custodian as part of the
investment advisory agreement and separate account forms provided by the Custodian.

Retirement Plan Advisory Services
Retirement plan advisory fees may be directly invoiced to the Plan Sponsor or deducted from the assets of the
Plan, depending on the terms of the retirement plan advisory agreement.

C. Other Fees and Expenses
Clients may incur certain fees or charges imposed by third parties, other than CFG, in connection with
investments made on behalf of the Client’s account[s]. The Advisor's recommended Custodian does not charge
securities transaction fees for ETF and equity trades in a Client's account, provided that the account meets the
terms and conditions of the Custodian's brokerage requirements. However, the Custodian typically charges for
mutual funds and other types of investments. The Client is responsible for all custody and securities execution
fees charged by the Custodian. The fees charged by CFG are separate and distinct from these custody and
execution fees.

In addition, all fees paid to CFG for investment advisory services are separate and distinct from the expenses
charged by mutual funds and exchange-traded funds to their shareholders, if applicable. These fees and
expenses are described in each fund’s prospectus. These fees and expenses will generally be used to pay
management fees for the funds, other fund expenses, account administration (e.g., custody, brokerage and
account reporting), and a possible distribution fee. A Client could invest in these products directly, without the
services of CFG, but would not receive the services provided by CFG which are designed, among other things, to
assist the Client in determining which products or services are most appropriate for each Client’s financial
situation and objectives. Accordingly, the Client should review both the fees charged by the fund[s] and the fees
charged by CFG to fully understand the total fees to be paid. Additionally, as noted above, the Advisor will select
share classes which do not have trading costs, but do have higher internal expense ratios than institutional share
classes. Please refer to Item 12 – Brokerage Practices for additional information.

D. Advance Payment of Fees and Termination
Wealth Management Services
CFG is compensated for its services at the end of the month after investment advisory services are rendered. Either
party may terminate the investment advisory agreement, at any time, by providing advance written notice to the
other party. The Client may also terminate the investment advisory agreement within five (5) business days of
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Item 7 – Types of Clients

CFG offers investment advisory services to individuals, high net worth individuals, corporations, pensions and
profit-sharing plans. The amount of each type of Client is available on CFG’s Form ADV Part 1A. CFG generally
does not impose a minimum relationship size.