Catalina Capital Group LLC

Item 5: Fees and Compensation

    Lower fees for comparable services may be available from other sources.

A. Fee Schedule

Portfolio Management Fees

        Total Assets Under Management          Annual Fees
        All Assets                             Up to 1.50%

The advisory fee is calculated using the value of the assets in the account on the last
business day of the prior billing period.

These fees are generally negotiable and the final fee schedule is attached as Exhibit II of
the Investment Advisory Contract. Clients may terminate the agreement without penalty
for a full refund of CatalinaCap's fees within five business days of signing the Investment
Advisory Contract. Thereafter, clients may terminate the Investment Advisory Contract
immediately upon written notice.

Selection of Other Advisers Fees

        Total Assets Under Management          Annual Fees
        All Assets                             Up to 1.50%

CatalinaCap will receive its standard fee on top of the fee paid to the third-party adviser.
This relationship will be memorialized in each contract between CatalinaCap and each
third-party adviser. The fees will not exceed any limit imposed by any regulatory agency.

Financial Consulting Fees

   Hourly Fees

   The hourly fee for these services is $300 per hour. The fees are negotiable and the final
   fee schedule will be attached in the agreement.

   Clients may terminate the agreement without penalty, for full refund of Catalina Cap’s
   fees, within five business days of signing the agreement. Thereafter, clients may
   terminate the agreement with upon written notice.

Pension Consulting Services Fees

       Asset-Based Fees

               Total Assets Under Management          Annual Fee
               $0 - AND UP                            Up to 1.50%

       The advisory fee is calculated using the value of the assets in the account on the
       last business day of the prior billing period.

       Fixed Fees

       The rate for creating client pension consulting plans is up to $250,000.

These fees are generally negotiable and the final fee schedule is attached as Exhibit II of
the pension consulting agreement. Clients may terminate the agreement without penalty
for a full refund of CatalinaCap's fees within five business days of signing the pension
consulting agreement. Thereafter, clients may terminate the pension consulting
agreement immediately upon written notice.

B. Payment of Fees

Payment of Portfolio Management Fees

Asset-based portfolio management fees are withdrawn directly from the client's accounts
with client's written authorization on a quarterly basis, or may be invoiced and billed
directly to the client on a quarterly basis. Clients may select the method in which they are
billed. Fees are paid in advance.

Payment of Financial Consulting Fees

Hourly financial consulting fees can be paid by check or by wire. Fees are paid quarterly.

Payment of Pension Consulting Fees

Asset-based pension consulting fees are withdrawn directly from the client's accounts
with client's written authorization or may be invoiced and billed directly to the client,
clients may select the method in which they are billed. Fees are paid either monthly or
quarterly and are paid either in advance or arrears.

Fixed pension consulting fees are paid via check or wire. Fees are paid either monthly or
quarterly and are paid either in advance or arrears.

       Payment of Selection of Other Advisers Fees

       Fees for selection of third-party advisers may be invoiced and billed directly to the client.
       Fees are paid quarterly in arrears.

       C. Client Responsibility for Third Party Fees

       Clients are responsible for the payment of all third-party fees (i.e. custodian fees,
       brokerage fees, mutual fund fees, transaction fees, etc.). Those fees are separate and
       distinct from the fees and expenses charged by CatalinaCap. Please see Item 12 of this
       brochure regarding broker-dealer/custodian.

       D. Prepayment of Fees

       CatalinaCap collects certain fees in advance and certain fees in arrears, as indicated above.
       Refunds for fees paid in advance will be returned within fourteen days to the client via
       check, or return deposit back into the client’s account.

       For all asset-based fees paid in advance, the fee refunded will be equal to the balance of
       the fees collected in advance minus the daily rate* times the number of days elapsed in
       the billing period up to and including the day of termination. (*The daily rate is calculated
       by dividing the annual asset-based fee rate by 365.)

       Fixed fees that are collected in advance will be refunded based on the prorated amount of
       work completed at the point of termination.

       E. Outside Compensation for the Sale of Securities to Clients

       Neither CatalinaCap nor its supervised persons accept any compensation for the sale of
       investment products, including asset-based sales charges or service fees from the sale of
       mutual funds.

Item 7: Types of Clients

CatalinaCap generally provides advisory services to the following types of clients:

       ❖      Individuals
       ❖      High-Net-Worth Individuals
       ❖      Pension and Profit-Sharing Plans
       ❖      Corporations or Business Entities

There is no account minimum for any of CatalinaCap’s services.