Kercheville Advisors LLC

Item 5 – Fees and Compensation

PORTFOLIO MANAGEMENT PROGRAM FEE SCHEDULE

  Account Balances                          Annual Charge
  $0 to $250,000                            2.00%
  $250,001 - $500,000                       1.50%
  $500,001 - $1,000,000                     1.25%
  Over $1,000,001                           1.00%

We have a minimum managed account size of $250,000; however, our account minimum and fees charged
are negotiable in situations deemed appropriate by us in our sole discretion.

The annual asset-based fee is paid quarterly in advance. When an account is opened, the asset-based fee
may be billed for the remainder of the current billing period on a pro rata daily basis and is based on the
initial contribution and remaining days in the quarter. Thereafter, the quarterly asset-based fee is paid in
advance based on the account asset value on the last business day of the previous calendar quarter.

In the event that an additional deposit is made to an advisor account during a billing period after the fee
calculation, the advisor in their sole discretion may recalculate the advisory fees charged for that billing
period and process a second advisory fee charge on a pro-rata basis, in arrears, on the additional deposits.

Portfolio Management fees will be billed in one of two ways:
    (1) Fees will be directly deducted from your account at the custodian quarterly. We will send the
        qualified custodian notice of the amount of the fee to be deducted from your account.

        The custodian will send to you a monthly account statement that shows the amount of our advisory
        fee. We will verify that the custodian sends Account statements at least on a quarterly basis.

    (2) Fees will be directly invoiced on a quarterly basis, and it will be payable within five days of the due
        date.

Additional Types of Fees or Expenses:
You are hereby advised that all fees paid to us for investment advisory services are separate and distinct
from the fees and expenses charged by mutual funds (described in each fund's prospectus) to their
shareholders. These fees will generally include a management fee and other fund expenses. Further, there
are transaction charges involved with purchasing or selling of securities. We do not share in any portion of
the brokerage fees/transaction charges imposed by the custodian holding the client funds or securities. You
should review all fees charged by mutual funds, us, and others to fully understand the total amount of fees
to be paid by you.

Termination:
Either party can terminate the Client Services Agreement at any time and for any reason, upon thirty (30)
days written notice to the other party. Refunds or any pre-paid fees are given on a prorated basis, based
on the number of days remaining in a quarter at the point of termination.

Upon notice of termination, we will await further instructions from you as to what steps you request to
liquidate and/or transfer the portfolio and remit the proceeds. Upon instructions received, we will instruct
broker dealers, and others to liquidate and/or transfer the portfolio and remit proceeds back to you or a
designated third party. If no specific instructions are given, we shall honor our basic fiduciary responsibility
to preserve capital.

FINANCIAL PLANNING AND RETIREMENT PLAN FEE SCHEDULE
Our financial planning and consulting fees depend on the scope, complexity, and work performed by our
Firm. Financial planning and consulting fees are charged through a fixed fee or an hourly rate. Fixed fees
vary and do not exceed $3,000 per plan and hourly rates also vary and do not exceed $250 per hour. Fees
depend upon the degree to which specialized knowledge and experience must be used and the complexity
of the plan. Prior to any engagement, we will state the fixed fee or hourly rate to be used and make an

estimate of the amount of time necessary to complete the analysis. We can modify the estimate if you
subsequently change the scope or nature of the analysis. Our financial planning fee does not include taxes,
preparation of legal documents, or any costs associated with investments (i.e., surrender charges, sales
charges, administration fees, etc.).

One half of the Fee is due and payable upon execution of the Client Services Agreement by the Client with
the balance due and payable immediately upon receipt of the Financial Plan.

Termination: The Client Services Agreement shall remain in effect until terminated in writing by either party.
Upon termination of the Client Services Agreement, we will have no obligation to take any action with regard
to your account(s). The client remains responsible for all work performed by us up to the termination date
and at the end of such notice period, the client must pay any balance due or receive a refund of any amounts
paid by the client minus any expenses incurred by us.

PENSION CONSULTING SERVICES FEE SCHEDULE
The compensation arrangement for these services will be based on the same provisions as disclosed above
in the portfolio management section and will not exceed 2% of assets under management. Our advisory
fees for these customized services will be negotiated with the plan sponsor or named fiduciary on a case
by case basis. The exact fee will be specified in the advisory contract. Depending on the arrangements
made at the time of the engagement, the fees can either be paid in advance or quarterly in arrears.

Additional Types of Fees or Expenses:
Our fees are exclusive of brokerage commissions, transaction fees, and other related costs and expenses
which shall be incurred by the Client. Clients will incur certain charges imposed by your custodian, brokers,
third party managers, custodial fees, deferred sales charges, odd-lot differentials, transfer taxes, wire
transfer and electronic funds and exchanged traded funds also charge internal management fees, which
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Item 7 – Types of Clients

Client Base:
Our customer base consists of individuals, pension and profit-sharing plans, trusts, estates, charitable
organizations, investment companies, corporations, and other business entities. These are the types of
clients that we service, but we may not have all these types as current clients.

Conditions for Account Management:
We have imposed a minimum account size of $250,000 in assets to be managed by us. We will aggregate
related accounts in the same household to meet account minimums. We can make exceptions to this
minimum from time to time based on individual factors.

We reserve the right to negotiate the financial planning and consulting fees.