HB Wealth Management LLC

Item 5 – Fees and Compensation

Fees for Wealth Management Services

HB’s fee for providing Wealth Management Services (includes but not limited to
investment management and financial planning) depends on several factors. The two
main factors are (1) the scope, complexity, and frequency of the services to be provided,
and (2) the value of the investment capital placed under HB’s management. HB generally

imposes a minimum annual fee of $12,500 for its services but may negotiate a fee below
the annual minimum, or tiered schedule, where circumstances warrant. HB may request
reimbursement of the out-of-pocket expenses it incurs in providing services to its clients.

HB’s compensation for Wealth Management Services is calculated and payable in
accordance with the agreed upon fee schedule. The fee schedule is applied by HB to the
market value of assets, which includes cash, cash equivalents, accrued interest and
dividends, (in some cases excluding margin balances; in other cases the margin balances
are not excluded) of the client's accounts as reasonably determined by HB at the end of
the preceding calendar quarter. Fees are paid in advance at the beginning of each
calendar quarter. If Wealth Management Services begin after the start of a quarter, fees
will be prorated accordingly. If a client terminates their advisory agreement during the
quarter, HB will refund the prorated amount of the fee that was paid in advance. HB
deducts fees from client accounts as described in the client agreement. In some cases,
the firm will allow a client to pay by check instead of the account fee deduction. HB
occasionally provides financial services to clients on an hourly rate basis.

HB's current standard fee schedule for Financial Planning and Investment Management
Services is listed below. In some cases, with financial planning clients, there may be an
agreed upon fixed annual minimum fee which would cause the total fees charged as a
percentage of investment capital under management to exceed the tiered fee schedule
below. HB’s fees are negotiable. In addition, legacy clients pay legacy fee rates that differ
from HB’s fee rates. Accordingly, a number of current clients have fee schedules that
differ from the standard fee schedule.

Financial Planning and Investment Management Services

Market Value of Portfolio                  Annual Fee

First $ 1,000,000                          1.250%

Next $ 4,000,000                           1.000%

Next $ 5,000,000                           0.750%

Next $ 20,000,000                          0.625%

Over $ 30,000,000                          0.500%

HB's current standard fee schedule for Investment Management Services is listed below.
In some cases, with Investment Management only clients, there may be an agreed upon

fixed annual minimum fee which would cause the total fees charged as a percentage of
investment capital under management to exceed the tiered fee schedule below. HB’s
fees are negotiable. In addition, legacy clients pay legacy fee rates that differ from HB’s
fee rates. Accordingly, a number of current clients have fee schedules that differ from the
standard fee schedule.

HB’s fees for Investment Management Services include the fees HB charges for
investments in affiliated and unaffiliated private investment funds.

Investment Management Services

Market Value of Portfolio                    Annual Fee

First $ 1,000,000                            1.250%

Next $ 1,000,000                             1.000%

Next $ 3,000,000                             0.750%

Next $ 5,000,000                             0.625%

Over $ 10,000,000                            0.500%

Payment of fees may be paid directly to HB by the client, or payment of fees may be made
by the independent custodian holding the client's investments.

When payment is to be made by the custodian:

(1) The client provides written authorization permitting the fees to be paid directly from the
client's account held by the custodian;

(2) HB provides the custodian with the amount of the fee;

(3) HB sends to the client an invoice that shows the amount of the fee, the value of the
client's assets upon which the fee is based, and the specific manner in which the fee is
calculated;

(4) The custodian discloses to the client that it is the client's responsibility to verify the
accuracy of the fee calculation, and that the custodian has not determined whether the
calculation is properly made; and

(5) The custodian sends to the client an account statement that shows all amounts
disbursed from the client's account.

HB’s fees are exclusive of brokerage commissions, transaction fees, and other costs and
expenses which shall be incurred by the client in connection with investing their assets.
Clients may incur certain charges imposed by custodians, brokers, third party investment
managers and other third parties such as margin interest, trade away fees, management
fees, custodial fees, deferred sales charges, odd-lot differentials, transfer taxes, wire
transfer and electronic fund fees, other fees and taxes on brokerage accounts and
securities transactions, and separate custody fees for maintaining Alternative
Investments in taxable or retirement accounts. Mutual funds, exchange traded funds and
private investment funds also charge internal management fees, which are disclosed in
the fund’s prospectus or offering memorandum. Such charges, fees and commissions are
exclusive of and in addition to HB’s fee. We advise each client to read the appropriate
prospectus for mutual funds & ETF’s in addition to the Operating Agreement and Offering
Memorandum of Private Investment Partnerships for a list of expenses.

Private Investment Funds – Expense Allocation

Where permitted by applicable fund governing documents, HB may allocate to the fund a
portion of internal expenses, including compensation of employees performing services
...

Item 7 – Types of Clients

HB provides portfolio management services to individuals, high net worth individuals,
corporate pension and profit-sharing plans, charitable institutions, foundations,
endowments, private investment funds, trusts, and a registered investment company.