E & G Advisors LP

Item 5 – Fees and Compensation

 The client pays E & G for its investment management services based upon the client’s assets under
 management. The advisory fees payable to E & G are an annual fee range from .30% to 1.50% of
 assets under management, payable quarterly. Fees are calculated by multiplying the assets under
 management by the relevant percentage and dividing such product by four. Fees are payable
 quarterly, in advance and such fees may be deducted from client's account(s) within 30 days
 following the beginning of the quarter for which said fees will be incurred. All advisory fees are
 negotiable. Fees for the initial quarter will be adjusted pro-rata based upon the number of
 calendar days remaining in the calendar quarter that the Agreement goes into effect and will
 normally be collected on the first full quarterly billing. Fees are calculated on an incremental
 basis and are subject to change with 30 days written notice. Notwithstanding the above, certain
 clients of E & G with pre-existing relationships may initially be charged fees which are less
 than those set out above. With regards to employee related accounts, the quarterly fees may be
 less, depending upon a number of factors, including portfolio size, length of employment
 and relationship to the employee. E & G may enter into fixed fee arrangements with certain
 clients at the discretion of the Chief Executive Officer.

 E & G’s fees do not include brokerage commissions, transaction fees, and other related costs and
 expenses. You may incur certain charges imposed by custodians and other third parties. These
 include fees charged by managers, custodial fees, deferred sales charges, odd-lot differentials,
 transfer taxes, wire transfer and electronic fund fees, commissions and other fees and taxes on
 brokerage accounts and securities transactions. Exchange-traded funds (ETFs) also charge internal
 management fees, which are disclosed in the fund’s prospectus. These fees may include, but are
 not limited to, a management fee, upfront sales charges, and other expenses. We do not receive
 any compensation from these fees. All of these fees are in addition to the management fee you pay
 us. You should review all fees charged to fully understand the total amount of fees you will pay.
 Services similar to those offered by us may be available elsewhere for more or less than the
 amounts we charge. Our brokerage practices are discussed in more detail under Item 12 –

Item 7 – Types of Clients

E & G provides portfolio management services to individuals, family limited partnerships, trusts,
estates, corporations and charitable organizations. We have no minimum account opening balance.