CIM Investment Management Inc

Item 5 - Fees and Compensation

      Fee Schedule

              Our fee for investment management services is based on a percentage of your assets we
      manage (annualized) and is set forth below. In addition, we manage accounts on a fixed fee basis
      negotiated in writing in the advisory agreement. These fees are payable either quarterly in
      advance or in arrears as negotiated with each client. Our minimum account size is $1.0 Million,
      but in our sole discretion we may accept lesser account sizes.

              Balanced, Fixed-Income, and Equity annual fee schedule:

                1.00% of the first $1,000,000
                0.75% of the next $4,000,000
                0.40% of the next $10,000,000
                0.25% thereafter

      The foregoing fee schedule is negotiable. The terms and conditions of the services provided, and
      fees charged are agreed upon in writing by both you and CIM and are described in the advisory
      agreement. CIM’s standard form of agreement provides that either party may terminate the
      agreement upon 30 days prior written notice. Accounts initiated or terminated during a calendar
      quarter will be charged a pro-rated fee. In the case of fees billed in advance, we will prorate the
      advisory fees earned through the termination date and send you a reimbursement for the
      advisory fees overpaid in advance.

      Additionally, we may charge hourly fees for our services, negotiated on a case-by-case basis with
      individual clients.

      Fee Payment Options

      As indicated in our advisory agreement with you, there are two main options you may select to
      pay for our services:

          1. Direct debiting (preferred): at the inception of the relationship and each quarter
             thereafter, we will submit a quarterly invoice to your custodian in the amount of the fee
             due and payable to us as described in the advisory agreement. You must authorize in
             writing the payment of fees directly from your account(s). The custodian does not
             validate or check our fee, nor the calculation on the assets on which the fee is based.
             They will “deduct” the fee from your account(s) or, if you have more than one account,
             from the account you have designated to pay our advisory fees.

              2. Pay-by-check: At the inception of the account and each quarter thereafter, we will issue
                  you an invoice for our services and you will pay us by check or wire transfer, due within
                  15 days of the date of the invoice.

      Additional Fees and Payments

      In addition to our advisory fee shown above, you are responsible for paying other fees associated
      with advisory services for your account. These fees may include but are not limited to:

               Brokerage commissions;
               Exchange fees;
               Transaction fees;
               SEC fees;
               Advisory fees and administrative fees charged by Mutual Funds (MF), and Exchange
                Traded Funds (ETFs);
               Advisory fees charged by sub-advisers (if any are used for your account);
               Custodial Fees;
               Deferred sales charges (on MF or annuities);
               Odd-Lot differentials;
               Deferred sales charges (charged by MFs);
               Transfer taxes;
               Wire transfer and electronic fund processing fees;
               Commissions or mark-ups / mark-downs on security transactions;

      In addition, employees do not receive (directly or indirectly) any compensation from the sale of
      securities or investments that are purchased or sold for your account or to which we provide
      consulting expertise / services.

      Additional information about brokerage costs and services is provided in “Item 12: Brokerage
      Practices.”

Item 7 - Types of Clients

       We offer investment advisory services to:
           Municipal pension plans
           Taft-Hartley plans
           Corporate pension and profit-sharing plans
           Trusts, estates, foundations, and charitable plans
           Insurance company funds
           Not for profit entities
           Other types of funds and portfolios

       Our minimum account size is $1.0 Million but in our sole discretion we may accept lesser account
       sizes.