JPS Advisors LLC

Item 5 Fees and Compensation

ADVISORY FEES

The following information describes how JPS is compensated for the advisory services we provide
to our Clients. The specific manner in which fees are charged and the compensation we receive
may differ between Clients depending upon the individual Investment Management Agreement or
Financial Planning Agreement with each Client. JPS reserves the right to negotiate our
compensation with Clients depending on the scope of our advisory relationship, and we may charge
higher or lower fees than are available from other firms for comparable services. JPS has the
general discretion to waive all or a portion of our fees.

JPS Advisors LLC                                                                                     6
Form ADV Part 2A

Investment Management Fees. In consideration for providing investment management services,
pursuant to the terms of the Investment Management Agreement with the Client, JPS charges an
annualized fee of 1.0% based on the Client’s assets under management (“AUM”), taken monthly
in arrears. These fees are subject to specific negotiations with each particular Client.

The management fee will be deducted from the Client’s account by the qualified custodian,
Interactive Brokers, LLC (“Interactive Brokers”). All fees will be supported by an invoice to the
Client itemizing the fee.

Financial Planning Fee. In consideration for providing financial planning services and pursuant to
the Financial Planning Agreement with the Client, JPS charges a fixed fee of $500 for our financial
planning and consulting services.

Payment arrangements for our financial planning and consulting services are determined on a
caseby-case basis. Our financial planning fees may be billed separately as a unique service, or, in
most cases for our ongoing Clients, integrated with our investment management fees and deducted
from the Client’s managed account(s). We also have discretion to completely waive the planning
fees for certain Clients based on the amount of the Client’s assets already managed by our firm
which would justify a fee waiver.

Additional Fees and Expenses. Clients will incur transaction charges and/or brokerage fees when
purchasing or selling securities. These charges and fees are typically imposed by the broker-dealer
or qualified custodian through which account transactions are executed. For more information on
our brokerage practices, please refer to Item 12 (Brokerage Practices) of this Brochure.

The fees that Clients pay to our Firm for investment advisory services are separate and distinct
from the fees and expenses charged by mutual funds and/or exchange traded funds (described in
each fund’s prospectus) to their shareholders. The fees charged directly by mutual funds and
exchange traded funds will typically include a management fee and other fund expenses.

To fully understand the total costs associated with their investment portfolio, Clients should review
all the fees charged by mutual funds, exchange traded funds, our Firm and others.

Termination. When a client has not received the brochure documents at least 48 hours prior to
signing an agreement, the client may cancel the agreement within five business days of signing the
Investment Management Agreement and/or Financial Planning Agreement, without penalty.

The Investment Management Agreement or Financial Planning Agreement with our Clients may
be terminated by either party at any time upon thirty (30) days written notice. Upon termination of
our status as the Client’s investment adviser/financial planner, JPS will not take any further action
with respect to the Client’s account(s) or financial plan. Clients receiving investment management
services will be responsible for instructing Interactive Brokers and monitoring their account for
the final disposition of assets.

JPS Advisors LLC                                                                                   7
Form ADV Part 2A

Refunds. Upon receipt of a proper notice of termination from the Client, as described in the
Investment Management Agreement and Financial Planning Agreement, any earned unpaid fees
will be billed on a pro-rata basis based on the amount of work performed by us up to the point of
termination. Any prepaid unearned fees will be promptly refunded based on the number of days
remaining in the quarter after the termination date.

Brokerage Commissions. JPS does not receive brokerage commissions from the sale of securities
or other investment products. Our compensation for recommending securities and investment
products is limited to the advisory fees described above.

Any material conflicts of interest between Clients and JPS or our employees are reasonably
disclosed in this Brochure. If at any time, additional material conflicts of interest develop, JPS will
provide our Clients with written notification of those material conflicts of interest or an updated
Brochure.

TYPES OF CLIENTS

JPS offers investment advisory services to a diversified group of Clients including individuals,
high net worth individuals, trusts, estates, pension and profit-sharing plans (other than plan
participants), charitable/non-profit organizations, corporations and other business entities, and
managed investment pools (e.g., hedge funds). Client relationships may vary in scope and length
of service.

JPS Advisors LLC                                                                                     8
Form ADV Part 2A

ACCOUNT REQUIREMENTS

JPS generally requires a minimum account balance of $50,000 for our investment management
services. JPS will aggregate accounts that originate from the same household when assessing the
minimum account balance. However, JPS in its sole discretion may waive or lower our minimum
account balance requirement based on various criteria (i.e., anticipated future additional assets to
be managed, related accounts, account composition, negotiations with the Client, etc.).