Matheson & Rock Wealth Management LLC

Item 5: Fees and Compensation
Method of Compensation and Fee Schedule
 ASSET MANAGEMENT
 Matheson & Rock offers discretionary and non-discretionary direct asset management
 services to advisory Clients. Matheson & Rock charges an annual investment advisory fee
 based on the total assets under management as follows:

       Assets Under Management                 Annual Fee                Quarterly Fee
            $0 to $499,999                       1.00%                     .2500%
         $500,000 to $749,999                    0.75%                     .1875%
        $750,000 to $1,999,999                   0.50%                     .1250%
       $2,000,000 to $4,999,999                  0.40%                     .1000%
       $5,000,000 to $7,499,999                  0.35%                     .0875%
       $7,500,000 to $9,999,999                  0.30%                     .0750%
           Over $10,000,000                      0.25%                     .0625%
This is a tiered or breakpoint fee schedule, the entire portfolio is charged the same asset
management fee. For example, a Client with $750,000 under management would pay
$3,750 on an annual basis. $750,000 x .50% = $3,750.
The annual fee may be negotiable based on a number of factors, which include but are not
limited to “grandfathered” accounts, related accounts, and other structures that we may
consider in special situations. Accounts within the same household may be combined for a
reduced fee. Fees are billed quarterly in advance based on the amount of assets managed as
of the close of business on the last business day of each quarter. If margin is utilized, the
fees will be billed based on the net asset value of the account. Lower fees for comparable
services may be available from other sources. Clients may terminate their account within
five (5) business days of signing the Investment Advisory Agreement with no obligation
and without penalty. Clients may terminate advisory services with thirty (30) days written
notice. For accounts opened mid-billing period, the fees will be billed in the subsequent
quarter. For accounts closed mid-billing period, unearned fees will be refunded to the
Client. Client shall be given thirty (30) days prior written notice of any increase in fees. Any
increase in fees will be acknowledged in writing by both parties before any increase in said
fees occurs.
American Funds Service Company (AFS)
Fees for accounts held at AFS shall be an annual investment advisory fee based on the total
assets under management as follows:
       Assets Under Management                 Annual Fee                Quarterly Fee
            $0 to $499,999                       1.00%                     .2500%
         $500,000 to $749,999                    0.75%                     .1875%
        $750,000 to $1,999,999                   0.50%                     .1250%
       $2,000,000 to $4,999,999                  0.40%                     .1000%
       $5,000,000 to $7,499,999                  0.35%                     .0875%
       $7,500,000 to $9,999,999                  0.30%                     .0750%
           Over $10,000,000                      0.25%                     .0625%
This is a tiered or breakpoint fee schedule, the entire portfolio is charged the same asset
management fee. For example, a Client with $750,000 under management would pay
$3,750 on an annual basis. $750,000 x .50% = $3,750.

The fees will be billed quarterly in arrears. The fees will be calculated by AFS for each
quarter period ending the last business day of February, May, August and November and

shall be the product of (i) the average daily net asset value of Client assets invested in
shares of the Funds through the Program during the quarter; (ii) the number of days in the
quarter; and (iii) the rate agreed to by the parties divided by the number of days in the
year. The fee shall be paid within thirty (30) days following the end of the quarter for
which such fees are payable.
AFS shall deduct fees from Client accounts to pay Matheson & Rock.
Lower fees for comparable services may be available from other sources. Clients may
terminate their account within five (5) business days of signing the Investment Advisory
Agreement for a full refund. Clients may terminate advisory services with thirty (30) days
written notice. For accounts closed mid-quarter, Matheson & Rock will be entitled to a pro
rata fee for the days of service was provided in the final quarter. Client shall be given thirty
(30) days prior written notice of any increase in fees. Client will acknowledge, in writing,
any agreement of increase in said fees before any increase in fees occurs.

VARIABLE ANNUITY
The fees for these services will be based on a percentage of Assets Under Management and
will not exceed .50%. Fees will be disclosed prior to client signing the Investment Advisory
Agreement. Clients engaged in this service will not be charged a commission separately
from the fee mentioned above.
Matheson & Rock’s fees are billed quarterly in advance based on the amount of assets
managed as of the close of business on the last business day of the previous quarter.
Quarterly advisory fees will be deducted from Client’s annuity account.
The annual fee may be negotiable based on a number of factors, which include but are not
limited to “grandfathered” accounts, related accounts, and other structures that we may
consider in special situations. Accounts within the same household may be combined for a
reduced fee. Lower fees for comparable services may be available from other sources.
Clients may terminate their account within five (5) business days of signing the Investment
Advisory Agreement with no obligation and without penalty. Clients may terminate
advisory services with thirty (30) days written notice. Client will be entitled to a pro rata
refund for the days service was not provided in the final billing period. Client shall be given
...

Item 7: Types of Clients
Description
 Matheson & Rock generally provides investment advice to individuals and high net worth
 individuals and ERISA plans.
 Client relationships vary in scope and length of service.
Account Minimums
 Matheson & Rock does not require a minimum to open an account.