Kensington Financial Group Inc

Item 5 Fees and Compensation
Portfolio Management Services

Our annual fee for portfolio management services is equal to 1.00% of the market value of your assets
under our management. Assets in each of your account(s) are included in the fee assessment unless
specifically identified in writing for exclusion.

There is no minimum annual fee for any account. Kensington may, at its discretion, make exceptions to
the foregoing or negotiate special fee arrangements where Kensington deems it appropriate under the
circumstances.

Portfolio management fees are generally payable quarterly, in arrears, based on the balance at the
end of billing period.

If the portfolio management agreement is executed at any time other than the first day of a calendar
quarter, our 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 advisory fee is
negotiable, depending on individual client circumstances.

We will send you an invoice for the payment of our advisory fee, or we will deduct our fee directly from
your account through the qualified custodian holding your funds and securities. We will deduct our
advisory fee only when you have given our firm written authorization permitting the fees to be paid
directly from your account. Further, the qualified custodian will deliver an account statement to you at
least quarterly. These account statements will show all disbursements from your account. You should
review all statements for accuracy.

If you have any questions about the statements(s) you receive from the qualified custodian, call our
main office number located on the cover page of this brochure.

Either Kensington or the client may terminate their Investment Advisory Agreement at any time, subject
to any written notice requirements in the agreement. In the event of termination, any paid but unearned
fees will be promptly refunded to the client based on the number of days that the account was
managed, and any fees due to Kensington from the client will be invoiced or deducted from the client's
account prior to termination.

Additional Fees and Expenses

As part of Kensington's investment advisory services to you, we may invest, or recommend that you
invest, in mutual funds and exchange traded funds. The fees that you pay to our firm for investment
advisory services are separate and distinct from the fees and expenses charged by mutual funds or
exchange traded funds (described in each fund's prospectus) to their shareholders. These fees will
generally include a management fee and other fund expenses. You will also incur transaction charges
and/or brokerage fees when purchasing or selling securities. These charges and fees are typically
imposed by the broker-dealer or custodian through whom your account transactions are executed. We
do not share in any portion of the brokerage fees/transaction charges imposed by the broker-dealer or
custodian. To fully understand the total cost you will incur, you should review all the fees charged by
mutual funds, exchange traded funds, our firm, and others. For information on our brokerage practices,
refer to the Brokerage Practices section of this brochure.

Other Compensation

Certain individuals of Kensington are licensed to sell insurance in North Carolina and are entitled to
receive commissions or other remuneration on the sale of insurance products. As such, these
individuals will be able to effect insurance transactions and will receive separate, yet customary
compensation. To protect client interests, Kensington's policy is to disclose all forms of compensation
before any such transaction is executed. Under no circumstance will the client pay both a commission
to these individuals and a management fee to Kensington on the same pool of assets.

This practice presents a conflict of interest because persons providing investment advice on behalf of
our firm who are insurance agents have an incentive to recommend insurance products to you for the
purpose of generating commissions rather than solely based on your needs. You are under no
obligation, contractually or otherwise, to purchase insurance products through any person affiliated
with our firm.

Item 7 Types of Clients
Kensington offers its investment advisory services to individuals (other than high net worth individuals),
high net worth individuals and pension and profit-sharing plans (but not the plan participants).

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.