JMK & Associates LLC

Item 5 – Fees and Compensation
Investment Management
Fees are paid quarterly in advance and will generally not exceed 2% of assets under management unless the
scope, complexity, amount of time or expertise required warrant a higher fee. The account custodian
calculates the advisory fee based on the prior quarter end value, multiplied by the advisory fee divided by 360
and then multiplied by 90. The fee is deducted based on a separate written authorization between the custodian
and the Client.

   •    Clients will receive quarterly statements from the Custodian that provides details of the advisory fees.

   •    The investment advisory fee in the first period of service is pro-rated from the inception date of the
        account[s] to the end of the first quarter.

   •    If the advisory agreement is terminated before the end of the quarterly period, Client is entitled to a
        pro-rated refund of any pre-paid quarterly advisory fee based on the number of days remaining in the
        quarter after the termination date.

   •    Asset management fees are exclusive of and in addition to, brokerage fees, transaction fees, and
        other related costs and expenses.

   •    The firm will not have the authority or responsibility to value portfolio securities.

Financial Planning
Financial planning is not billed separately but within the scope of the larger advisory relationship.

Mutual Fund Share Class Disclosures
JMK & Associates, LLC strives to select the lowest cost share class available; however, certain mutual fund
share classes charge a 12b-1 fee that generally amounts to an additional .25% expense ratio or more. The
purpose of 12b-1 fees, as approved by the SEC, are to cover marketing expenses and shareholder services such
as support services and “other expenses” such as legal, accounting and the administrative functions of the
custodian. When selecting a mutual fund, Investment Advisor Representatives have a fiduciary duty to choose

ADV 2A – Firm Disclosure Brochure

the share class that helps manage the overall fee structure of the account. The entire fee structure includes
such fees as the asset management fee, the expense ratio and ticket charges.

   •    Mutual funds typically offer multiple share classes, including lower-cost share classes that do not
        charge 12b-1 fees and are therefore usually less expensive.

   •    Investment Advisor Representatives will consider investing Client funds in 12b-1 fee-paying share
        classes even when a lower-cost share class is available as appropriate to account for the overall fee
        structure and tax considerations as well as attributes of a fund not available for lesser fees.

Compensation for Sales of Securities
JMK & Associates, LLC does not receive commission compensation for advisory services.

Cash Holdings
Cash balances invested in LPL’s multi-bank insured cash account (ICA) program are invested in Federal
Deposit Insurance Corporation (FDIC) insured deposit accounts at one or more banks or other participating
depository institutions. However, clients receive the same interest rate across all ICA deposit accounts taken in
the aggregate based on a percentage of the average daily deposit balance. LPL receives a fee from the
institutions participating in the ICA program based on the value of advisory assets held in the ICA
program. This fee could be higher than the interest rate received by clients and/or could reduce the rate a client
could receive elsewhere.

Other Fees and Expenses
Clients will incur transaction charges for trades executed in their accounts unless they open a wrap fee account.
These transaction fees are separate from asset management fees. Clients will also pay the following separately
incurred expenses, which we do not receive any part of: charges imposed directly by a mutual fund, index
fund, or exchange traded fund which shall be disclosed in the fund’s prospectus (i.e., fund management fees
and other fund expenses).

If a Client’s assets are invested in mutual funds or other pooled investment products, Clients should be aware
that there will be two layers of advisory fees and expenses for those assets. Client will pay an advisory fee to
the fund manager and other expenses as a shareholder of the fund. Client will also pay Advisor the advisory fee
with respect to those assets. Most of the mutual funds available in the program may be purchased directly.
Therefore, Clients could generally avoid the second layer of fees by not using the management services of JMK
& Associates, LLC and by making their own investment decisions. Further information regarding fees
assessed by a mutual fund is available in the appropriate prospectus.

ADV 2A – Firm Disclosure Brochure

Broker/Dealer Affiliation
Certain investment adviser representatives of JMK & Associates, LLC are also associated with LPL Financial
as broker-dealer registered representatives (“Dually Registered Persons”). In their capacity as registered
representatives of LPL Financial, certain Dually Registered Persons may earn commissions for the sale of
securities or investment products that they recommend for brokerage clients. They do not earn commissions
on the sale of securities or investment products recommended or purchased in advisory accounts through JMK
& Associates, LLC. Clients have the option of purchasing many of the securities and investment products we
make available to you through another broker-dealer or investment adviser. However, when purchasing these
securities and investment products away from JMK & Associates, LLC, you will not receive the benefit of the
advice and other services we provide.

Termination
A contract between JMK & Associates, LLC and a Client may be cancelled at any time, by either party, by
written notice to the other party. Clients will be given this brochure form ADV Part 2A, forty-eight hours in
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Item 7 – Types of Clients
The advisory services offered by JMK & Associates, LLC are generally provided to individuals, high net
worth individuals, pension & profit-sharing plans and corporations.