Goelzer Investment Management Inc

ITEM 5 – Fees & Compensation

All clients are required to enter into a written advisory agreement or financial planning agreement
prior to the establishment of an investment advisory relationship. Goelzer offers its Investment
Advisory Services based upon a percentage of assets under management, hourly charges, a fixed
fee, or a combination of those forms of compensation (as outlined below). Investment advisory
fees are divided into quarterly installments and are payable in advance of each quarter based on
market values as of March 31, June 30, September 30, and December 31.

Investment Advisory Fees

For Goelzer’s private clients, advisory fees are generally charged according to a standard fee
schedule, with fees ranging from approximately .5% to 1.5% of assets under management and a
standard annual minimum fee of $10,000. For Goelzer’s institutional clients, our standard fees
range from .10% to .75%. Goelzer may, in its sole discretion, reduce or waive the minimum fee
under certain circumstances.

In addition, the client will incur costs, such as brokerage, custodial, and ancillary costs charged by
their broker and/or custodian as well as transaction costs depending on their broker/dealer. For the
client accounts that are invested in mutual funds and exchange traded funds, the client also will
bear any direct shareholder charges of the mutual fund and will indirectly bear internal mutual
fund fees and expenses.

Consulting Services

Fees for Consulting Services may be based upon a percentage of assets under management with a
standard fee schedule beginning at .50% of the first $1,000,000 of assets under advisement, hourly
charges, a fixed fee, or a combination of those forms of compensation. Fixed fees and hourly
charges are determined by the duration and complexity of the arrangement among other factors.
Consulting Services fees are divided into quarterly installments and are payable in advance of each
quarter as of March 31, June 30, September 30, and December 31.

Goelzer Investment Management, Inc. – Form ADV Part 2A Brochure                              8

Financial Planning Fees

Goelzer will charge a flat fee to clients who engage Goelzer to prepare a financial plan but who do
not utilize any of Goelzer’s other services. The fee is determined based on the scope of the financial
plan, complexity of the client’s financial situation, the length of the engagement, and other factors.
At the end of the engagement, if appropriate, the clients paying a flat fee for a financial plan may
enter into an advisory agreement for Goelzer to provide management services.

Additional Fee Information & Disclosures

All advisory fees are negotiable. As such, in certain cases, investment advisory fees may be
modified based on a pre-existing or employee relationship, the nature of services to be provided,
types of investments, portfolio makeup, size of the account, the complexity of the client’s situation,
and/or other competitive factors. Investment advisory fees and services to be provided are
determined at the time of engagement.

Fees will be deducted directly from client custodial accounts. If a client opens an account during
a quarter, fees for that quarter are pro-rated to the end of that quarter. Note that the custodian does
not verify advisory fees; therefore, clients are encouraged to direct any questions regarding fees to
their advisor at Goelzer directly and are advised to carefully review each statement received by the
custodian firm to ensure accuracy.

Private fund valuations are used in the calculation of client fees. This valuation is calculated by
the most recent valuation which may be different than the fee calculation date.

The aforementioned advisory fees do not include fees or expenses paid to other service providers
(if applicable on accounts). Clients are strongly encouraged to read any offering document or
prospectus for additional information.

Goelzer employs both Chartered Financial Analysts® and CERTIFIED FINANCIAL
PLANNERS®. Other professional financial designations that Goelzer employees hold are
Chartered Financial Consultant®, Chartered Alternative Investment Analyst®, Certified Private
Wealth Advisor®, and Certified Divorce Financial Analyst®. Goelzer and its employees provide
services on a fee-only basis, and neither Goelzer nor any related parties receive sales-related
compensation from any other source. Employees may receive periodic bonuses based on
performance of their job duties, including performance of Goelzer strategies as compared against
the appropriate benchmark as well as referral compensation for successfully referring and opening
accounts with Goelzer. Performance bonuses are calculated according to compensation plans and
the percentage of job performance goals the employee met during the prior year. Certain
employees may receive incentive compensation related to new or retained clients. This practice
has no effect on the amount of fees paid by a client.

Goelzer will not enter into an investment advisory relationship with any prospective client whose
investment objectives may be considered incompatible with Goelzer’s basic investment

Goelzer Investment Management, Inc. – Form ADV Part 2A Brochure                               9

philosophy or strategies or where the prospective client seeks to impose unduly restrictive
investment guidelines.

Fees will not be based upon a share of capital gains or capital appreciation of the funds of any
portion of a client’s account (known as “performance fees”). Goelzer reserves the right to modify
fees with at least 30 days’ advance written notice.

The fees associated with Goelzer’s services may be higher or lower than at other financial
institutions. Clients are encouraged to discuss any questions that may arise regarding services and
fees throughout the course of our engagement. Additionally, clients are welcome to utilize a
broker/dealer of their choice for execution of securities transactions.
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ITEM 7 – Types of Clients

Investment Advisory Services are generally provided to individuals, high net worth and ultra-high
net worth individuals, families, institutions, and institutional investors. These may include
accounts for taxable investment accounts, retirement plans, pension and profit-sharing plans,
trusts, estates, charitable organizations, corporations, partnerships, or other business entities.

Goelzer Investment Management, Inc. – Form ADV Part 2A Brochure                            10

If an account is subject to the Employee Retirement Income Security Act of 1974, as amended,
(“ERISA”), the plan sponsor or investment committee is typically a named fiduciary with respect
to the control or advice of the assets in the Account and Goelzer acknowledges that it is a fiduciary
within the meaning of the Act. Goelzer requests that the client agrees to obtain and maintain a
bond satisfying the requirements of Section 412 of ERISA and to include Goelzer, and Goelzer’s
principals, agents, and employees under those insured under that bond and will deliver to Goelzer
a copy of the governing plan documents. If the account assets for which Goelzer provides services
represent only a portion of the assets of an employee benefit plan, the client will remain responsible
for determining an appropriate overall diversification policy for the assets of such plan. Goelzer
will maintain appropriate bonding and insurance for the types of clients it has.

Goelzer typically requires a minimum investment account size of $1,000,000. This minimum may
be reduced at Goelzer’s discretion.