Colman Knight Advisory Group LLC

Item 5: Fees and Compensation
As stated above, Colman Knight provides a broad range of project–based and comprehensive financial
planning and consulting services which may include tax-related and other non-investment related
matters. We charge a fixed fee for these services. Colman Knight’s financial planning and consulting
fees are negotiable, but generally range from $10,000 to $120,000 on a fixed fee basis depending upon
the level and scope of the services as well as the complexity of the client’s finances, anticipated effort
required for completion and anticipated value of the services to be rendered. In certain circumstances
an hourly rate of $400 may be charged instead of a fixed rate.

Prior to engaging Colman Knight to provide financial planning and/or consulting services, the client will
be required to enter into a written agreement with Colman Knight setting forth the terms and conditions
of the engagement and describing the scope of the services to be provided and the portion of that fee
that is due from the client prior to Colman Knight commencing services. For project-based engagements,
Colman Knight generally requires one-half of the financial planning/consulting fee payable upon entering
the written agreement. The balance is then due upon delivery of the financial plan or completion of the
agreed-upon services.

For comprehensive financial planning clients, Colman Knight generally charges an annual fee or retainer.
Clients normally pay that annual retainer in equal quarterly installments, in advance of the calendar
quarter for which services are to be performed. Either party may terminate the agreement by written
notice to the other. In the event the client terminates Colman Knight’s financial planning and/or consulting
services, the balance of Colman Knight’s unearned fees (if any) shall be refunded to the client. If
termination occurs within five business days of entering into an agreement for such services, the client
shall be entitled to a full refund.

The client may make additions to and withdrawals from the account at any time, subject to Colman
Knight’s right to terminate an account that falls below a level that it deems impracticable to manage.
However, while the client may make additions to and withdrawals from the account, Colman Knight’s fee
payable shall not be affected since it is not based on a percentage of assets under management but
rather a fixed annual retainer. Colman Knight designs its portfolios as long-term investments and assets
withdrawals may impair the achievement of a client’s investment objectives. Additions may be in cash or
securities, provided that Colman Knight reserves the right to decline to accept particular securities into a
client’s account.

Either party may terminate the agreement by written notice to the other. Clients or Colman Knight may
terminate their agreement by providing the other party with a 30-day written notice.

Colman Knight does not receive commissions or any other incentive fees from underlying managers that
we select or recommend. Our revenues are derived solely from the fees paid by our clients.

Other Costs Involved
In addition to the above fees, clients are responsible for paying any fees and expenses, such as
brokerage commissions, associated with effecting of securities trades for client’s investment portfolios.
These fees include:

     •   Management fees for mutual funds, closed-end funds, and ETFs. These are fees charged by
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Colman Knight Advisory Group, LLC               ADV Part 2A                     IARD/CRD Number: 119696

          the managers of the funds and are a portion of the expenses disclosed in the prospectus.
      •   Mutual fund loads (if applicable). These charges are paid to brokers as a form of commission.
      •   Brokerage costs, transaction and administrative fees charged by the client’s broker or
          custodian.

Additional details on these fees are described below.

Mutual Fund and ETF Fees and Expenses
If clients invest in mutual funds, closed-end funds, or exchange-traded funds (ETFs), clients will indirectly
bear the fees and expenses paid by the funds to their service providers. These fees will include
management fees, custody and administration fees and expenses, and in some cases a sales load or
distribution fee. These fees and expenses are described in each fund's prospectus.

Brokerage and Custodial Fees
In addition to advisory fees paid the client will also be responsible for all transaction, brokerage, and
custodial fees incurred as part of overall account management. Please see Item 12 of this Brochure for
important disclosures regarding the Advisor’s brokerage practices.

Fees in General
Fees are negotiable based upon certain criteria (i.e. anticipated future earning capacity, anticipated future
additional assets, dollar amount of assets to be managed, negotiations with client, etc.). The Client
agreement will specify the fee arrangement in writing.

Under no circumstances will Colman Knight earn fees in excess of $1,200 more than six months in
advance of services rendered.

Account Termination
In the event the client terminates Colman Knight’s financial planning and/or consulting services, the
balance of Colman Knight’s unearned fees (if any) shall be refunded to the client. If termination occurs
within five business days of entering into an agreement for such services, the client shall be entitled to a
full refund. Clients or Colman Knight may terminate their agreement by providing the other party with a
30-day written notice. Upon termination of any account, any earned, unpaid fees will be due and payable
or refunded to the client, as appropriate, in a timely manner. In general, such fees are pro-rated from the
date of termination to the end of the period to which the advance fee applied.

Item 7: Types of Clients
Colman Knight provides investment advisory and consulting services to individuals including high net
worth individuals, charitable organizations, and corporations. While we do not specify a minimum account
size or minimum annual fee for investment management services, we may determine that certain
prospective clients’ accounts are impracticable or inappropriate for us to manage.

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Colman Knight Advisory Group, LLC               ADV Part 2A                      IARD/CRD Number: 119696