HC Advisors LLC

Item 5 Fees and Compensation
ADVISORY FEES DESCRIPTION AND BILLING PROCEDURES
The fees charged are calculated as described below and are not charged on the basis of a share of
capital gains upon, or capital appreciation of, the funds, or any portion of the funds of an advisory
client.

Portfolio Management Services
On an annual basis, the fees for portfolio management services, subject to negotiation, are generally
based on a maximum of 0.375% per quarter (1.5% per annum) of the assets under management. The
management fee is paid quarterly in advance, on the first business day of each calendar quarter,
based on the net asset value of the Account on the last day of the previous quarter. Fees will be
assessed pro-rata in the event the portfolio management agreement is executed at any time other than
the first day of a calendar quarter.

As an alternative, some clients may pay for portfolio management/advisory services via a negotiated
flat fee. This fee may vary from client to client based on the complexity of their account(s) and/or time
that must be allocated to carry out advisory services on their behalf. The flat rate fee can range from
$100 to $25,000 per quarter.

At its discretion, HC Advisors may allow the accounts of members of the same household to be
aggregated for purposes of determining the advisory fee. HC Advisors may allow such aggregation, for
example, where HC Advisors services accounts on behalf of minor children of current Clients,

individual and joint accounts for a spouse, and other types of related accounts. This consolidation
practice is designed to allow Clients the benefit of an increased asset total, which could potentially
cause the accounts to be assessed a reduced advisory fee based on the breakpoints available in HC
Advisors’ fee schedule as stated above. A minimum portfolio size and minimum annual fees may
apply, at the discretion of HC Advisors. However, under certain circumstances, portfolio size minimums
and fees are negotiable.

The payment of fees will be debited from the Client’s account in accordance with the IA Agreement
and are paid by the qualified custodian holding the Client’s funds and securities. Payment of portfolio
management fees will be made directly from the Client account by the custodian provided that the
following requirements are met:

    • The Client provides written authorization permitting the fees to be paid directly from the Client’s
      account held by the custodian. The Firm does not have access to Client funds for payment of
      fees without Client consent in writing. Under certain circumstances and upon request by the
      Client, a direct bill/invoice will be sent to the Client.
    • The custodian agrees to provide the Client a statement, at least quarterly, indicating all
      amounts dispersed from the account including the amount of the advisory fee paid directly to
      the Firm.

Portfolio Management fees and services are separate and distinct from Financial Planning fees and
services.

Third Party Money Managers
Advisory fees are billed in accordance with the third-party money manager’s fee structure.

Under this arrangement, the Clients pay the third-party money managers the program fees including
the advisory fees, as disclosed in the advisory agreements and Form ADV Part 2A for services
performed in connection with the third-party money manager’s products or services. Typically, those
fees are payable quarterly either in advance or arrears. As outlined in each IA with a third-party money
manager, the fees typically will be deducted directly from the Client’s account.

The final fee is determined in conjunction with the program selected, the size of the account, and the
services covered. The final fee and other charges exclusive of fees such as, brokerage, clearance,
custody, and administrative services will be fully disclosed in the third-party money manager’s advisory
contract.

Financial Planning and Consulting Services
HC Advisors charges either an hourly fee of $150 to $480 or a fixed fee ranging from $1,500 - $4,000
for broad-based financial planning services, depending on the scope and complexity of the plan, the
Client’s situation, and the Client’s objectives. The fee is negotiable depending on the scope and
complexity of the plan, the Client’s situation and financial objectives. An estimate of the total time/cost
will be determined at the start of the advisory relationship. In limited circumstances, the time/cost could
potentially exceed the initial estimate. In such cases, the Firm will notify the Client and may request
that the Client approve the additional fee.

For modular and/or consultative financial planning services, HC Advisors charges an hourly fee of
$350. The hourly fee is negotiable depending on the scope and complexity of the plan, the Client’s
situation and objectives. An estimate of the total time/cost will be determined at the start of the
advisory relationship. In limited circumstances, the time/cost could potentially exceed the initial
estimate. In such cases, the Firm will notify the Client and may request that the Client approve the
additional fee.

HC Advisors may waive or lower financial planning fees where the Client has engaged HC Advisors for
other advisory services. Clients are not obligated to implement the financial plan through any of the
Firm’s other investment advisory services. Further, Clients may act on recommendations by placing
securities transaction with any brokerage firm. All financial planning and consulting fees are due upon
completion of services.

Other Fees and Payments
There may be additional fees or charges that result from the maintenance of your account. These fees
are imposed by third parties, such as broker-dealers, custodians, trust companies, banks and other
financial institutions in connection with investments made through your account, including but not
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Item 7 Types of Clients
HC Advisors offers personalized investment advisory services to individuals, pension and profit-sharing
plans, trusts, estates, charitable organizations, corporations, and other business entities.

In general, the minimum account size will be $250,000 or a minimum annual fee of $3,750 to open and
maintain a portfolio management account. HC Advisors may waive this minimum account size at its
discretion. For example, the Firm may waive the minimum if the Client appears to have significant
potential for increasing his/her assets under management. HC Advisors may also combine account
values for Clients and their minor children, joint accounts with the Clients and their spouses, and other
types of related accounts to meet the stated minimum.