James J Burns & Company LLC

Item 5: Fees and Compensation
Please note, unless a client has received JJBCO’s disclosure brochure at least 48 hours prior to signing the
investment advisory contract, the investment advisory contract may be terminated by the client within
five (5) business days of signing the contract without incurring any advisory fees and without penalty. How
we are paid depends on the type of advisory service we are performing. Please review the fee and
compensation information below.

Investment Management Services
All of JJBCO’s professional activities and advisory billings shall be attributable to the provision to clients of
investment supervisory services. Specifically, JJBCO will provide asset management services to clients in
exchange for compensation based upon assets under management. No fee is based on capital gains or
capital appreciation of assets. No fee is payable more than six months in advance. Fees are negotiable
and payable quarterly in arrears as follows:

             Account Value                  Annual Advisory Fee                   Quarterly Billing
           Under $2,000,000                         1.25%                             0.3125%
        $2,000,001 and Above                        1.00%                              0.25%

Advisory fees are directly debited from client accounts. Accounts initiated or terminated during a calendar
quarter will be charged a pro-rated fee based on the amount of time remaining in the billing period. For
all accounts, fees are prorated for incoming capital flows that occur during the quarter. An account may
be terminated with written notice at least 30 calendar days in advance. Since fees are paid in arrears, no
rebate will be needed upon termination of the account.

Financial Planning Fixed Fee
Financial Planning will generally be offered on a fixed fee basis. The fixed fee will be agreed upon before
the start of any work. The fixed fee can range between $3,000 and $30,000 per annum based upon
complexity. The fee is negotiable. JJBCO will provide financial planning advice to clients based upon written
and oral presentations provided by clients as to determine specific needs. Half of this fee will be payable
upon initial engagement with the balance of the fee due and payable upon delivery and completion.
Payment may be made by check or debit/credit card. This service can be terminated at any time by the
client who shall be refunded any unearned fees. No fee is payable more than six months in advance.

Other Types of Fees and Expenses
JJBCO affects certain securities trades through “Prime Broker” which is a program that enables us to obtain
global access to global analysts. Trading costs may be more or less than those obtained through Schwab.
There is an additional charge of $25.00 on each Prime Broker trade.

Our fees are exclusive of brokerage commissions, transaction fees, and other related costs and expenses
that may be incurred by the client. Clients may incur certain charges imposed by custodians, brokers, and
other third parties such as custodial fees, deferred sales charges, odd-lot differentials, transfer taxes, wire
transfer and electronic fund fees, and other fees and taxes on brokerage accounts and securities
transactions. Mutual fund and exchange traded funds also charge internal management fees, which are
disclosed in a fund’s prospectus. Such charges, fees and commissions are exclusive of and in addition to
our fee, and we shall not receive any portion of these commissions, fees, and costs.
Item 12 further describes the factors that we consider in selecting or recommending broker-dealers for
client’s transactions and determining the reasonableness of their compensation (e.g., commissions).
We do not accept compensation for the sale of securities or other investment products including asset-
based sales charges or service fees from the sale of mutual funds.

Item 7: Types of Clients
We provide financial planning and portfolio management services to individuals, high net-worth
individuals, pension plans, profit sharing plans, trusts, estates, charitable organizations, corporations or
other businesses. Our minimum account size requirement is $1,000,000 but this may be waived at the
discretion of JJBCO.