Davidson Wealth Management LLC

Item 5: Fees and Compensation
Please note, unless a client has received the firm’s disclosure brochure at least 48 hours prior to signing
the investment advisory contract, the investment advisory contract may be terminated by the client
within five (5) business days of signing the contract without incurring any advisory fees. How we are paid
depends on the type of advisory service we are performing. Please review the fee and compensation
information below.

Asset Management Program
Our standard advisory fee is based on the market value of the assets under management and is calculated
as follows:
                     Account Value                        Maximum Annual Advisory Fee
                      $0 - $499,999                                   1.75%
                   $500,000 - $999,999                                1.50%
                 $1,000,000 - $2,999,999                              1.25%
                 $3,000,000 - $4,999,999                              1.00%
                  $5,000,000 and Above                                0.75%

The annual fees are negotiable and are pro-rated and paid in arrears or advance, depending on
investment platform, on a quarterly basis. No increase in the annual fee shall be effective without
agreement from the client by signing a new agreement or amendment to their current advisory
agreement.
Advisory fees are directly debited from client accounts. Accounts initiated or terminated during a
calendar quarter will be charged a pro-rated fee based on the amount of time remaining in the billing
period. An account may be terminated with notice. For accounts where fees are paid in arrears, no
rebate will be needed upon termination of the account. For accounts where fees are paid in advance, a
prorated refund will be processed.

Third-Party Advisory Services
When Davidson directs clients to Third-Party Managers, Davidson will be compensated via a fee share
from each of the advisors to which it directs clients. The fees shared will not exceed any limit imposed by
any regulatory agency. The Third-Party Manager will debit the client’s account for the advisory fee, and
will remit Davidson’s portion of the fee to Davidson.
Compensation in connection with Third-Party Advisory Services generally consists of five elements: i)
management and advisory fees shared by Third-Party Advisory Services, Davidson, and its Investment
Advisory Representatives; ii) transaction costs – if applicable – which may be paid to purchase and sell
such securities; iii) custody fees; iv) revenue sharing compensation paid to Osaic Wealth the securities
broker-dealer to which members of Davidson are associated with; and v) fees paid to Osaic Wealth for
administrative and supervisory services. In connection with some Third-Party Advisory Services, fees for
investment advisory services and brokerage execution are wrapped together as a single fee.
Please note that a complete description of the fees and charges associated with any of these
arrangements is available via the applicable Third-Party Advisory Service’s disclosure brochures,
investment advisory contracts, and account opening documents.
Davidson’s portion of the management and advisory fees may be negotiated based on assets under
management, the type of services requested and other factors that Davidson deems relevant to its
provision of the advisory services related to the program, however clients should be aware that Third-
Party Advisory Services may not be willing to negotiate their share of referenced fees, and Davidson is not
authorized to negotiate a Third-Party Advisor’s Fees.

Financial Planning Fee
Financial Planning will generally be offered on a fixed fee basis. In special circumstances it may be offered
on an hourly basis at a rate of $250.00 per hour, depending on the nature of the specified services. Fixed
fees will be determined on a case-by-case basis with the fee based on the complexity of the situation and
the needs of the client. The fixed fee will be agreed upon before the start of any work. The fixed fee can
range between $1,000.00 - $10,000.00. One-half of the estimated fee is due when the client provides the
data and executes a contract, and the balance is due when a written financial plan is presented. The
client may reject the plan at the time of presentation and receive a refund of the deposit. When the plan
is accepted, the client is requested to pay the balance due. Flat fees may be negotiated for consultation
or individual reports.

Other Types of Fees and Expenses
Mutual funds and ETFs invested in the account have their own internal fees which are separate and
distinct from the program account fees (for more information on these fees, see the applicable fund
prospectus). Davidson does not retain 12b-1 fees. Item 12 further describes the factors that we consider
in selecting or recommending broker-dealers for client’s transactions and determining the reasonableness
of their compensation (e.g., commissions).

Davidson generally provides investment advice on equity securities, debt securities, life insurance,
variable and fixed annuities, mutual fund shares, and limited partnerships. Financial plans may be
executed through Osaic Wealth. In this capacity Davidson’s representatives may earn a commission in
addition to any fees paid for the financial plan.

Item 7: Types of Clients
Individuals, pension plans, profit sharing plans, trusts, estates, charitable organizations, corporations and
other business entities. We do not have a minimum account size requirement.