Foresight Global Investors Inc

Item 5 Fees and Compensation

Asset Management Fees
Pursuant to an investment advisory contract signed by each client, the client will pay Foresight
Global an annual management fee shown in the table below, payable quarterly in arrears, based on
the value of portfolio assets of the account on the last business day of the preceding quarter. New
account fees will be prorated from the inception of the account to the end of the first month.

                              Assets Under
                                                      % Per Annum
                              Management
                              First US$15 Million           1.00
                              Next US$10 Million            0.85
                              Next US$50 Million            0.70
                              Next US$75 Million            0.55
                              Thereafter                    0.50

These fees may be negotiated at the sole discretion of the Advisor. Asset management fees will
be directly deducted from the client account on a quarterly basis by the qualified custodian. The
client will give written authorization permitting the Advisor to be paid directly from their account
held by the custodian and the custodian will send a statement at least quarterly statement to the
client showing all transaction activity during the period. Where it is not practical to deduct fees
directly from the client account, client will be sent an invoice on a quarterly basis for any
outstanding advisory fees due.

Client is responsible for all custodial and securities execution fees charged by the custodian and
executing broker-dealer. The Advisor’s fee is separate and distinct from the custodian and
execution fees.

Neither Foresight Global nor its supervised persons accepts compensation for the sale of securities
or other investment products, including asset-based sales charges or service fees from the sale of
mutual funds.

Item 7 Types of Clients

The Advisor will offer its services to individuals, banks or thrift institutions, pension and profit
sharing plans, trusts, estates, charitable organizations, corporations and other business entities.

Foresight Global Investors, Inc.             Page 6

The Advisor’s cumulative minimum account requirement for opening and maintaining an account
is $250,000. However, the Advisor may, at its sole discretion, accept accounts with a lower value.