East Coast Wealth Management Inc

Item 5: Fees and Compensation

A. Fee Schedule

Investment Management Fees
The client can determine to engage ECWM to provide discretionary and/or non-
discretionary investment advisory services on a negotiable fee basis. ECWM’s annual
investment advisory fee shall be based upon a percentage (%) of the market value of assets
placed under ECWM’s management, according to the standard fee schedule below:

            Total Assets Under Management                             Annual Fee*

                      First $1,000,000                                   1.25%

                 $1,000,001 - $1,500,000                                 1.10%

                 $1,500,001 - $2,000,000                                 1.00%

                 $2,000,001 - $2,500,000                                 0.95%

                 $2,500,001 - $3,000,000                                 0.90%

                 $3,000,001 - $3,500,000                                 0.85%

                    Above $3,500,000                                    0.825%

*To illustrate, a client subject to this fee schedule with $1,250,000 assets under management would incur an
annual fee of 1.25% on the first $1,000,000 and 1.10% on the remaining $250,000.

The above fees are standard fees. ECWM, in its sole discretion, may charge a lesser
investment advisory fee, charge a fixed fee, and/or charge a flat fee rate based upon
certain criteria (i.e. anticipated future earning capacity, anticipated future additional
assets, dollar amount of assets to be managed, related accounts, account composition,
prior fee schedules, competition, negotiations with client, etc.). As result of the above,
similarly situated clients could pay different fees. In addition, similar advisory services
may be available from other investment advisers for similar or lower fees.

Fees are paid quarterly or monthly, in arrears or in advance, as dictated by the terms of
the client’s Investment Advisory Agreement. For clients who are billed in arrears, fees are
calculated based on account values as of the last day of the billing period. For those who
are billed in advance, fees are calculated based on account values as of the first day of the
billing period. Clients may terminate their contracts with written notice. For accounts in
which fees are charged in arrears, no refund policy is necessary, but a final fee will apply,
prorated through the effective date of termination. For accounts charged in advance, upon
termination ECWM shall refund the pro-rated portion of the advanced fee paid based
upon the number of days remaining in the billing period. Please Note: If client assets are
received during a billing period, the deposited assets will be included in the fee
calculation for that billing period on a prorated basis from the day the assets are received.
No fee adjustments are made for account withdrawals made during a billing period.

The Clients may terminate their accounts without penalty within 5 business days of
signing the advisory contract. Advisory fees are withdrawn directly from the client’s
accounts with client written authorization.

Selection of Other Advisors Fees
ECWM directs clients to independent third-party advisers: Edelman Financial Engines or
Brinker Capital. ECWM is compensated via a fee schedule with the advisors to which it
directs those clients. This relationship, as well as the specific fees to be retained by ECWM
and the third-party manager, are disclosed to the client prior to or at the time of
engagement of the third-party manager. The total fees charged will not exceed any limit
imposed by any regulatory agency.

These fees are paid quarterly in arrears and clients may terminate their contracts in
writing. Because fees are charged in arrears, no refund policy is necessary, but a final fee
will apply, prorated through the effective date of termination.

Financial Planning and Consulting Fees
ECWM may charge a fixed fee for financial planning and consulting fees. Depending
upon the complexity of the situation and the needs of the client, the fee for these services
ranges between $250 to $2,500. Clients may also opt for an hourly fee of $325.00 per hour.
The fees are negotiable and the final fee schedule will be attached to the Financial Planning
Agreement. Fixed fees are paid fifty percent in advance, but never more than six months in
advance, with the remainder due upon presentation of the plan. Clients may terminate
their contracts without penalty within five business days of signing the advisory contract.
If the client wants to cancel, after five business days, any fees paid in advance will be
refunded based on the prorated amount of work completed at the point of termination at
a rate of $325.00 per hour.

B. Payment of Fees

Payment of Investment Management Fees
Clients may elect to have ECWM’s advisory fees deducted from their advisory account.
Both ECWM’s Investment Advisory Agreement and the custodial/clearing agreement may

authorize the custodian to debit the account for the amount of ECWM’s investment
advisory fee and to directly remit that management fee to ECWM in compliance with
regulatory procedures. In the limited event that ECWM bills the client directly, payment
is due upon receipt of ECWM’s invoice. ECWM shall deduct fees and/or bill clients
quarterly or monthly, in arrears or in advance, as dictated by the client’s Investment
Advisory Agreement. For clients who are billed in arrears, fees are calculated based on
account values as of the last day of the billing period. For those who are billed in advance,
fees are calculated based on account values as of the first day of the billing period. Please
Note: If client assets are received during a billing period, the deposited assets will be
included in the fee calculation for that billing period from the day the assets are received.

Payment of Financial Planning Fees
Hourly and Fixed Financial Planning fees are paid via check with one half of the total
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Item 7: Types of Clients

    ECWM generally provides investment advice and/or management supervisory services
    to the following types of Clients:

       ❖   Individuals
       ❖   High-Net-Worth Individuals
       ❖   Trusts and Estates
       ❖   Corporations and Business Entities
       ❖   Profit Sharing/401(k) Plans

    Minimum Account Size

    ECWM does not impose a minimum portfolio size or minimum annual fee. Certain
    Independent Managers may, however, impose more restrictive account requirements and
    varying billing practices than ECWM. In such instances, ECWM may alter its
    corresponding account requirements and/or billing practices to accommodate those of
    the Independent Investment Managers.