Lockerman Financial Group Inc

Item 5: Fees & Compensation

Compensation for Our Advisory Services:

Financial Planning & Consulting:

Our firm charges on a flat or recurring flat fee basis for financial planning and consulting services.
The total estimated fee, as well as the ultimate fee charged, is based on the scope and complexity of
our engagement with the client. The maximum flat fees will not exceed $125,000. The maximum
recurring flat fee will not exceed $125,000 annually. Additional fees will apply for business owners
and investment real estate owners. The fee-paying arrangements will be determined on a case-by-
case basis and will be detailed in the signed consulting agreement.

Our firm will not require a retainer exceeding $1,200 for this service when services cannot be
rendered within 6 months. Financial Planning fees described above do not include the fees you will
incur for other professionals (i.e. personal attorney, independent Investment Adviser, or accountant)
in connection with the financial planning process.

Investment Management:

The maximum annual fee charged for this service will not exceed 1.00%. Fees to be assessed will be
outlined in the advisory agreement to be signed by the Client. Annualized fees are billed on a pro-
rata basis monthly in advance based on the value of the account(s) on the last day of the previous
month. Fees are negotiable and will be deducted from client account(s). Adjustments will be made
for deposits and withdrawals during the billing cycle. Unless otherwise noted in writing, our firm
bills on cash. In rare cases, our firm will agree to directly invoice. As part of this process, Clients
understand the following:

    a) The client’s independent custodian sends statements at least quarterly showing the market
       values for each security included in the Assets and all account disbursements, including the
       amount of the advisory fees paid to our firm;
    b) Clients will provide authorization permitting our firm to be directly paid by these terms. Our
       firm will send an invoice directly to the custodian; and
    c) If our firm sends a copy of our invoice to the client, a legend urging the comparison of
       information provided in our statement with those from the qualified custodian will be
       included.

ADV Part 2A – Firm Brochure                    Page 6                         Lockerman Financial Group, Inc.

Clients utilizing Third-Party Managers will be charged a fee by that manager in addition to our firm’s
fee discussed above. Our firm will debit fees for our service as disclosed in the executed advisory
agreement between the client and our firm. Certain Third-Party Managers may bill their fees
quarterly. This billing practice will be described in the Third-Party Manager’s disclosure documents
that are provided to Clients. The Third-Party Managers we recommend will not directly charge you
a higher fee than they would have charged without us introducing you to them. Third-Party Managers
establish and maintain their own separate billing processes over which we have no control. They will
directly bill you and describe how this works in their separate written disclosure documents.

Other Types of Fees & Expenses

Clients will incur transaction fees for trades executed by their chosen custodian, either based on a
percentage of the dollar amount of assets in the account(s) or via individual transaction charges.
These transaction fees are separate from our firm’s advisory fees and will be disclosed by the chosen
custodian.

Our firm has an arrangement with Fidelity Brokerage Services LLC ("Fidelity") through which
Fidelity provides our firm with Fidelity’s "platform" services. The platform services include, among
others, brokerage, custodial, administrative support, record keeping and related services that are
intended to support intermediaries like our firm in conducting business and in serving the best
interests of their clients but that may benefit our firm.

Fidelity eliminated transaction fees for certain securities, including U.S. listed equities, exchange-
traded funds, and exchange-traded notes for clients who opt into electronic delivery of statements or
maintain at least $1 million in assets at Fidelity, where the order or allocation to any individual
account is under 10,000 shares; buy-to-close orders placed online for options priced $0.00 to $0.65;
and certain mutual funds. Commission-free pricing applies only if the trade is placed online through
a Fidelity-supported order management system and the securities are custodied at Fidelity. Trades
that do not meet these criteria and trades for other security types will be subject to transaction fees
charged by Fidelity. The transaction fees charged by Fidelity may be higher or lower than those
charged by other custodians and broker-dealers. Clients will also pay fees for trades executed away
from Fidelity, custody fees for certain securities, and certain other fees depending on the specifics of
the trade.

Our firm also utilizes the services of Charles Schwab & Co., Inc. (“Schwab”). Schwab does not charge
transaction fees for U.S. listed equities and exchange traded funds.

Additionally, clients may pay charges imposed directly by a mutual fund, index fund, or exchange
traded fund, which shall be disclosed in the fund’s prospectus (e.g., fund management fees and other
fund expenses), distribution fees, surrender charges, variable annuity fees, IRA and qualified
retirement plan fees, mark-ups and mark-downs, spreads paid to market makers, wire transfer fees
and other fees and taxes on brokerage accounts and securities transactions. Our firm does not receive
a portion of these fees.

Termination & Refunds

Either party may terminate the advisory agreement signed with our firm for Investment Management
services in writing at any time. Upon notice of termination our firm will process a pro-rata refund of
the unearned portion of the advisory fees charged in advance.
...

Item 7: Types of Clients & Account Requirements

Our firm has the following types of clients:
   • Individuals and High Net Worth Individuals;
   • Trusts, Estates or Charitable Organizations;

Our firm generally requires a minimum relationship size of $500,000 to open and maintain an
account for Investment Management service or otherwise will generally charge a minimum fee of
$5,000 annually for our Financial Planning & Consulting service.

Clients who opt into electronic delivery of statements or maintain at least $1 million in assets at
Fidelity will not be charged transaction fees for U.S. listed equities and exchange traded funds.