L & S Advisors Inc

ITEM 5 - FEES AND COMPENSATION
Fee Schedule

Investment Management Services
L&S charges advisory fees for investment management services based on a percentage of the client’s
total assets under management. Fees are billed at a rate of 0.25% to 1.50% annually based on the size of
the client’s portfolio, and the scope and complexity of the services provided.

Some accounts, including employee accounts, are under different fee schedules honoring prior
agreements. Fee rates are negotiable based on a number of factors which include, but are not limited to
“grandfathered” accounts, account size, related accounts, accounts referred to us from unaffiliated
broker-dealers, and other structures that we may consider in special situations. Cash balances and
balances subject to currently outstanding margin loans are included for fee calculation purposes.

We also manage some family and related accounts with fees waived or at a reduced charge. For
additions or withdrawals to existing accounts, L&S will review at the end of each quarter the net flow of
all additions and withdrawals on an existing account (“Net Flow”). If the Net Flow is in excess of
$1,000,000 (plus/minus) and represents an addition or withdrawal in excess of 50% of Total Assets
Under Management at Quarter-End of previous quarter (“Excessive Net Flow”), the account will be
billed or rebated accordingly. Such rebate or additional bill amount will be calculated using the
difference in the average capital value during the Excessive Net Flow quarter and the amount billed in

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the beginning quarter. Additions and withdrawals made to a new client’s account during its initial
quarter are not subject to the above “Net Flow” adjustments.

Participant Account Management
L&S’ management fees for held-away accounts (see description in Item 4 – Advisory Business, above) will
be charged to the client either by (1) debiting another client brokerage account also managed by L&S; or
(2) direct invoice. L&S receives no compensation from Pontera for using their platform; however, we pay
a fee to Pontera for use of the service. Clients do not pay an additional fee for use of this service.

Sub‐Advisory Relationships
L&S receives annual fees through third party sub-advisory programs. Fee amounts may vary based upon
the program, minimum investment requirements, and asset levels. The fees we receive for providing
investment management services do not include other fees charged by the third-party adviser to the
client. Fees under these programs may be billed in arrears or advance, and L&S may be paid by the
third-party adviser or directly by the client, depending on the program. Clients using L&S as a sub-
adviser through third party adviser may terminate our management services per the terms in the
agreement, which vary by program.

Financial Planning
We charge $500 per hour for financial planning services with a $2,500 minimum fee for all plans;
however, some or all of the fees may be waived for clients that engage us for investment management
services. The total fees will be based on an estimate of the overall hours needed to complete the plan
according to the nature and complexity of the plan, report, or analysis and both parties will agree to our
fees in advance of L&S providing any services.

Retirement Plan Services
Retirement Plan Services fees are charged to the company/plan sponsor or the participant. L&S charges
for its consultation services on “as an agreed upon basis” based upon the scope of the services to be
provided and advisory fees for both Plan Level Discretionary Investment Management Services and Plan
Level Non-Discretionary Investment Advisory Services based on a percentage of the market value of the
plan assets under L&S’ management. Fees are billed at a rate of 0.25% to 1.50% annually based on the
size of the plan, and the scope and complexity of the services provided.

Fees for services provided by L&S to plan clients are specified in either an L&S Consulting Agreement or
L&S Advisory Agreement and may be further specified in a Third-Party Service Provider Agreement
between the client’s chosen trust company (custodian) and the plan sponsor whereby L&S acts as the
third party service provider. Other third party service providers, such as accountants, attorneys or other
consultants may also enter into Third Party Service Provider Agreements with the plan for fees which
L&S does not participate in.

Billing Method

Investment Management Services
L&S’ advisory fees are payable quarterly in advance at the beginning of each calendar quarter. We
charge one fourth of the annual fee each quarter based on the market value of the client’s portfolio as

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of the last business day of the prior calendar quarter. The formula used for the calculation is as follows:
(Annual Rate) x (Total Assets Under Management at Quarter-End) / 4. Fees billed on assets held in client
accounts that receive valuations less than quarterly will be calculated using the most recent pricing data
available through the product sponsor and/or the client’s custodian.

For new client accounts, the first payment is a pro-rata calculation that takes into consideration the
number of days remaining in the quarter and the initial value of the portfolio on the day account
management begins. We consider account management to begin when L&S conducts the first
transaction in the account or the beginning of the following calendar month, whichever is sooner. The
formula used to calculate the initial advisory fee would be as follows: (Result of Quarterly Calculation) x
(Days Remaining in Quarter) / (Total Number of Days in Quarter). For advisory fee calculation purposes,
a calendar quarter is a period beginning on January 1, April 1, July 1, or October 1 and ending on the day
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ITEM 7 - TYPES OF CLIENTS
L&S provides advisory services to individuals, high net worth individuals, trusts and estates, charitable
organizations, businesses, retirement plans and retirement plan fiduciaries, and participants of
retirement accounts including individual retirement accounts (IRAs), 401(k)s, 403(b)s, and profit sharing
plans.