Frisch Financial Group Inc

Item 5          Fees and Compensation

     A.         Fees Charged

     INVESTMENT ADVISORY SERVICES
     The client can determine to engage Frisch Financial to provide discretionary and/or non-discretionary investment
     advisory services on a negotiable basis. Frisch Financial’s annual investment advisory fee shall vary (up to 2.0%
     of the total assets placed under Frisch Financial’s management/advisement, subject to a quarterly minimum fee
     of $2,500, as set forth in Item 7 below) and shall be based upon various objective and subjective factors, including,
     but not limited to, the amount of the assets placed under Frisch Financial’s direct management, the amount of
     the assets placed under Frisch Financial’s advisement (assets that are generally managed directly by the client or
     by other investment professionals engaged by the client) for which Frisch Financial provides review/monitoring

services, but does not have trading authority, the complexity of the engagement, the level and scope of the overall
investment advisory services to be rendered, and the portion of the assets placed under Frisch Financial’s direct
management held as equities, fixed income and/or cash or cash equivalent assets. In some instances, Frisch
Financial will “household” a group of accounts for the purpose of determining an appropriate fee (for example,
a family). This is not done for every family, but only in limited circumstances where the firm believes it to be
appropriate. The values used for calculation of advisory fees are produced by the account custodian(s), and the
specific value used is the gross market value as of the last day of the previous quarter. In calculating the market
value of a client’s assets, assets allocated to cash or a cash proxy, such as a money market account, will be included
in the calculation of assets under management. Frisch Financial does bill on cash and margin. See also Fee
Differential disclosure in Item 4 above.

B. Fee Payment

In most cases, Frisch Financial’s advisory fees are deducted from the client’s custodial account. Both Frisch
Financial's Investment Advisory Agreement and the custodial/clearing agreement authorizes the custodian to debit
the account for the amount of Frisch Financial's investment advisory fee and to directly remit that management
fee to Frisch Financial in compliance with regulatory procedures. In the limited event that Frisch Financial bills
the client directly, payment is due upon receipt of Frisch Financial’s invoice. Frisch Financial shall deduct fees
and/or bill clients quarterly in advance, based upon the gross market value of the assets on the last business day of
the previous quarter. This means that we will divide your annual rate by four. This result will then be multiplied
by the asset value to achieve the quarterly fee. For example, 1% divided by four equals 0.25%. If your asset value is
$1 Million, your quarterly fee would be $2,500. Clients may direct which accounts from which fees may be
deducted. In the event a client account does not hold sufficient cash with which to pay advisory fees, Frisch
Financial will selectively sell securities in the relevant account in order to raise sufficient cash for the advisory
fees.
Note to new clients: The first billing period will include two payments of advisory fees. The first will be issued
at the normal billing cycle and will include a pro-rated fee, charged in arrears, based on the number of days in the
prior quarter during which the client had engaged Frisch Financial. The second will be charged in advance and
be for the coming quarter.

C. Other Fees

Custodians charge brokerage commissions and/or transaction fees for effecting certain securities transactions
(i.e. transaction fees are charged for certain no-load mutual funds, commissions are charged for individual equity
and fixed income securities transactions). Transactions fees the custodian charges may vary depending on type
of product and/or whether or not the client elects to receive paperless statements. In addition to Frisch
Financial’s investment management fee, brokerage commissions and/or transaction fees, clients will also incur,
relative to all mutual fund and exchange traded fund purchases, charges imposed at the fund level (e.g.
management fees and other fund expenses).

D. Pro-Rata Fees

Frisch Financial’s annual investment advisory fee shall be prorated and paid quarterly, in advance, based upon
the market value of the assets on the last business day of the previous quarter, with the exception of the first bill.
The first bill will be calculated based upon the number of days in the prior quarter during which the client had
engaged Frisch Financial. Frisch Financial uses third party software to determine the market value of client assets
when calculating fees. The applicable form of agreement between Frisch Financial and the client will continue in
effect until terminated by either party by written notice in accordance with the terms of such agreement. Upon
termination of the Investment Advisory Agreement, Frisch Financial will cease charging advisory fees and refund the pro-
rated portion of the advanced advisory fee paid based upon the number of days remaining in the billing quarter.

     E. Compensation for the Sale of Securities

     Neither Frisch Financial, nor its representatives accept compensation from the sale of securities or other
     investment products.

Item 7        Types of Clients

     Frisch Financial’s clients shall generally include individuals, high net worth individuals, business entities, trusts,
     estates, charitable organizations, and pension and profit-sharing plans. Frisch Financial generally requires a
     minimum asset level of $1,000,000 and a minimum quarterly fee of $2,500 for investment advisory services.
     Frisch Financial, in its sole discretion, may reduce its investment management fee and/or reduce or waive its
     minimum asset or fee requirement based upon certain criteria (i.e. dollar amount of assets to be managed, related
     accounts, account composition, etc.). Clients subject to the minimum quarterly fee are advised that they may
     receive similar services from a different adviser for lower costs.