Marcus Capital LLC

Item 5: Fees and Compensation
Advisory Fees
The client pays Marcus Capital, LLC for its investment management services based upon the client’s
assets under management. The advisory fees payable to Marcus Capital are an annual fee of 1% of
assets under management paid quarterly for all account sizes. Fees are paid in advance and are
calculated by multiplying the assets under management as of the last day of the prior quarter by the
relevant percent and dividing the amount by four (4). Some clients however, may pay a previously
agreed upon fixed quarterly fee. Daniel Marcus may offer a client the option of a fixed quarterly fee, in
lieu the 1% of assets under management fee, for accounts that do not require a high level of active
management. An account, for example, that does not require a high level of active management may
primarily have fixed income in the portfolio. All of our services, such as performance reports, financial
planning and consultations with our clients, are included in our standard Investment Advisory Fee.
Lower fees for comparable services may be available from other sources. All advisory fees are
negotiable.

Financial Planning Fees
Financial planning only clients pay Marcus Capital, LLC for its services based on fixed fees or hourly
fees and the final fee structure is outlined in the Financial Planning Agreement. As an example, the
estimated cost of a limited-scope engagement is $600 with the assumption it should take 2-4 hours to
complete. Fees may be significantly reduced, or waived, if we manage over $500,000 of your
investment portfolio account. Financial planning fees will be fully disclosed in a Financial Planning
Agreement/Letter of Engagement.

How We are Paid
Fees are payable quarterly, based on the valuation of assets under management as of the last day of the
prior quarterly period. Accounts opened in mid-quarter may be assessed at a pro-rated management
fee. Fees are deducted from client’s account(s) quarterly within thirty (30) days following the end of
the quarter. Clients also have the option to be billed for fees incurred in lieu of having the fees
deducted from their account.

Refunds of Advance Fees Paid
In the event of the termination of our services, any unearned portion of fees previously paid is prorated
and fully refundable. A client may terminate the Advisory Agreement with us by providing (30) days
advance written notice to us. In addition, the client may terminate the Advisory Agreement without
penalty for a period of five (5) business days after the date it is executed by the client. The client may
exercise this right by giving written notice to us within the required time period. In the event of
termination, the advisory fee due to us for the termination period shall be prorated and shall be based on
the latest valuation of the assets as of the effective date of termination. The advisory fee is exclusive of
transaction costs and other direct out-of-pocket costs incurred by Marcus Capital as a result of providing
the investment services to the client.

Other Fees You Should Understand
Portfolio Transaction Costs. We do not have custody of client assets. Therefore, each client may be
required to pay custodian fees. Clients will generally incur brokerage and other transaction costs in the
course of our management of their accounts. (See the section in this brochure entitled, “Brokerage
Practices” for a discussion of how we make brokerage decisions that affect client accounts.)

Mutual Fund and ETF (Exchange Traded Fund) Investments. To the extent we invest client assets in
shares of unaffiliated mutual or ETF funds, you will pay a direct management fee to us and indirect
management fees through the funds.

Item 7: Types of Clients

We may provide investment advisory services for a variety of clients including individuals, trusts,
pension and profit-sharing plans, charitable organizations and corporations.

Minimum Initial Account Balance
Our required minimum initial account balance is $500,000. At our discretion, we may accept balances
less than the required minimum to manage.