del Mar Wealth Management Inc

Item 5 Fees and Compensation
Portfolio Management Services
Our fee for portfolio management services is based on a percentage of your assets we manage and is
set forth in the following blended tiered fee schedule:

Assets Under Management                      Annual Fee
First $500,000                               1.50%
$500,001 - $5,000,000                        1.00%
Over $5,000,000                              0.90%

Our annual portfolio management fee is billed and payable quarterly in advance based on the value of
your account on the last business day of the previous quarter. If the portfolio management agreement
is executed at any time other than the first day of a calendar quarter, our fees will apply on a pro rata
basis, which means that the advisory fee is payable in proportion to the number of days in the quarter
for which you are a client. Our advisory fee is negotiable depending on individual client circumstances.
Upon client request, we reserve the right to negotiate other fee paying arrangements.

At our discretion, we may combine the account values of family members living in the same household
to determine the applicable advisory fee. For example, we may combine account values for you and
your minor children, joint accounts with your spouse, and other types of related accounts. Combining
account values may increase the asset total, which may result in your paying a reduced advisory fee
based on the available breakpoints in our fee schedule stated above.

Unless we agree to invoice you directly, in which case payment is due upon receipt of the invoice, we
will deduct our fee directly from your account through the qualified custodian holding your funds and
securities. We will deduct our advisory fee only when the following requirements are met:

    • You provide our firm with written authorization permitting the fees to be paid directly from your
      account held by the qualified custodian.
    • We send you a fee statement showing the amount of the fee, the value of the assets on which
      the fee is based, the period covered by the fee, and the specific manner in which the fee was
      calculated.
    • The qualified custodian agrees to send you at least a quarterly statement indicating all amounts
      dispersed from your account including the amount of the advisory fee paid directly to our firm.

You may terminate the portfolio management agreement upon 30-days' written notice to our firm. You
will incur a pro rata charge for services rendered prior to the termination of the portfolio management
agreement, which means you will incur advisory fees only in proportion to the number of days in the
quarter for which you are a client. If you have prepaid advisory fees that we have not yet earned, you
will receive a prorated refund of those fees. We encourage you to reconcile the statements you receive
from our firm and the qualified custodian. If you find any inconsistent information within the statements,
please call our main office number located on the cover page of this brochure.

Existing clients may be under a different fee schedule that was in existence at the time they joined our
firm. Our fees are negotiable at our discretion.

How Our Fees are Calculated
If you have an account balance of $750,000, you are billed 1.5% per year on the first $500,000 and
1.0% per year on the remaining $250,000. Here are the calculations for a sample account for a
calendar quarter with 90 calendar days:

$500,000 X 1.5% /365 = $20.55 x 90 days = $1849.50
$250,000 x 1% / 365 = $6.85 x 90 days = $616.50

The total Portfolio Management fee deducted for the quarter will be: $1849.50 + $616.50 = $2466.00

Financial Planning Services
We do not charge separately for financial planning services for clients that engage us for Portfolio
Management Services. It is included in your Portfolio Management Services' fee.

We charge either an hourly fee or fixed fee for financial planning and consulting services for clients not
engaged in our Portfolio Management Services. Our hourly fee is billed at $300, and our fixed fee may
range up to $10,000. These fees are negotiable depending on the scope and complexity of the plan,
your situation, and your financial objectives. An estimate of the total time/cost will be determined at the
start of the advisory relationship.

Our hourly fee is generally associated with general consulting or project-based services, and it
is typically due upon services rendered. Our fixed fee, however, is typically associated with our on-
going financial planning services where we prepare a customized financial plan for you and providing
on-going financial planning and consulting assistance. The fixed fee payment is typically payable in
monthly or quarterly installments. All terms of our engagement, including our advisory fee and payment
arrangements, will be clearly stated in the advisory agreement that you sign with our firm.

You may terminate the financial planning agreement by providing written notice to our firm. You will
incur a pro rata charge for services rendered prior to the termination of the agreement. If you have pre-
paid advisory fees that we have not yet earned, you will receive a prorated refund of those fees based
on the work performed.

Selection of Other Advisers
We do not charge you a separate fee for the selection of other advisers. We do not share in the
advisory fee you pay directly to the TPMM. The advisory fee you pay to the TPMM is established and
payable in accordance with the brochure provided by each TPMM to whom you are referred. These
fees may or may not be negotiable. You should review the recommended TPMM's brochure for
information on its fees and services.

You may be required to sign an agreement directly with the recommended TPMM. You may terminate
your relationship with the TPMM according to the terms of your agreement with the TPMM. You should
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Item 7 Types of Clients
We offer investment advisory services to individuals, high net worth individuals, corporations or other
businesses.

In general, we do not require a minimum dollar amount to open and maintain an advisory account;
however, we have the right to terminate your account if it falls below a minimum size which, in our sole
opinion, is too small to manage effectively.