IBN Asset Management LLC

Item 5 Fees and Compensation

Portfolio Management Services
Our fee for portfolio management services is based on a percentage of the assets in your account (asset-
based fee) or a flat fee not to exceed 50 bps. Your fee will be individually negotiated based on the
complexity of the account, past relationships, size of the relationship, and potential future relationships.
Your negotiated fee will be disclosed in your investment management agreement.

Our annual portfolio management fee is billed and payable, quarterly in arrears, based on the balance at
the end of the billing period or the agreed upon fixed rate. If the portfolio management agreement is
executed at any time other than the first day of a calendar quarter, our asset-based fees will apply on a
pro rata basis, which means that the advisory fee is payable in proportion to the number of days in the
quarter for which you are a client. Our flat fee will be charged in full if the portfolio management
agreement is executed in the first half of the quarter and waived if the account is opened in the second
half of the quarter. Our advisory fee is negotiable, depending on individual client circumstances.

We will either invoice you directly for payment or deduct our fee directly from your account through the
qualified custodian holding your funds and securities. We will deduct our advisory fee only when the
following requirements are met:

   •   You provide our firm with written authorization permitting the fees to be paid directly from your
       account held by the qualified custodian.
   •   We send the qualified custodian an invoice or statement of the amount of the fee to be deducted
       from each account.
   •   We send you an invoice showing the amount of the fee, the value of the assets on which the fee
       is based, the time covered by the fee, and the specific way the fee was calculated.
   •   The qualified custodian agrees to send you a statement, at least quarterly, indicating all amounts
       disbursed from your account including the amount of the advisory fee paid directly to our firm.

We encourage you to reconcile our invoices with the statement(s) you receive from the qualified
custodian. If you find any inconsistent information between our invoice and the statement(s) you receive
from the qualified custodian, call our main office number located on the cover page of this brochure.

You may terminate the portfolio management agreement upon 30 days written notice. You will incur a pro
rata charge for services rendered prior to the termination of the portfolio management agreement, which
means you will incur advisory fees only in proportion to the number of days in the quarter for which you
are a client.

Consulting Services
For consulting services, we generally charge either a fixed fee or a fee based on the percentage of your
assets not to exceed 50 bps. The fee will be individually negotiated with you based on the level and
duration of services provided. The fee will be detailed in our Consulting Services Agreement that we will
sign with you.

Compensation for the Sale of Securities or Other Investment Products
IBNAM has an agreement with Goldman Sachs Trust, an open-end management investment company
that includes the Goldman Sachs Money Market Funds and is advised by Goldman Sachs Investment
Management (“GSIM”), pursuant to which we can offer certain Golman Sachs money market funds
through Goldman Sachs’ Mosaic platform. As part of this arrangement, GSIM pays IBNAM a percentage
of revenue based on total IBNAM client assets invested in eligible money market funds. Under the
agreement, GSIM pays IBNAM up to 25 basis points (or $.25 for every $100 every year, depending on
the specific money market share class and total amount of assets in client accounts). The fee ranges

from 0 – 25 bps based on the share class and is paid to IBNAM monthly based on the average balance
in the applicable fund. In addition, regardless of the fund share class, IBNAM will receive 5 basis points
based upon the average client balance in these funds quarterly in addition to the 0 – 25 bps (so there
are potentially two separate fees paid to IBNAM – one monthly and one quarterly for a combined
maximum of 30 basis points). Because these fees are based on assets under management, as IBNAM’s
total assets grow in these money market funds the greater the compensation IBNAM will receive.

This compensation arrangement should be considered when a client considers opening an account at
IBNAM and investing in one of these funds. This arrangement gives rise to conflicts of interest as
IBNAM has an incentive to steer client assets to GSIM advised money market funds that generate
such revenue rather than into other money market funds that do not. Notwithstanding this conflict,
IBNAM believes that this arrangement does not interfere with its provision of advice to clients as we do
not currently charge an advisory fee on these assets. In addition, IBNAM has procedures in place to
periodically review client accounts for adherence to client investment objectives, adherence to
applicable federal securities laws, and to ensure that client assets are invested in what we believe are
the best available money market funds for the strategies we are implementing and monitoring. We will
invest client assets into the Fund(s) that we feel is most advantageous to our clients, regardless of
additional fee revenues. Please speak with your representative for more detailed information on this
arrangement and the specific fund-class arrangements.

Persons providing investment advice on behalf of our firm could receive compensation with the Goldman
Sachs Trust revenue-sharing agreement for the purchase and sale of Goldman Sachs money market
funds. Compensation earned by these persons in their capacities as investment advisor representatives
is in-lieu of compensation to our advisory fee. This practice of investing in Goldman Sachs money market
...

Item 7 Types of Clients
We offer investment advisory services to state or municipal government entities, municipal government
entity’s conduit borrowers, and corporations.

In general, we do not require a minimum dollar amount to open and maintain an advisory account;
however, we have the right to terminate your account if it falls below a minimum size which, in our sole
opinion, is too small to manage effectively.