McDonald Financial Services LLC

Item 5 – Fees and Compensation
The following paragraphs detail the fee structure and compensation methodology for services provided by the
Advisor. Each Client engaging the Advisor for services described herein shall be required to enter into a written
agreement with the Advisor.

A. Fees for Advisory Services
Asset Management
The specific manner in which fees are charged by the firm is established in the client’s written agreement. The
custodian calculates and deducts the advisory fee quarterly in advance based upon a percentage (%) of the market
value as of the final day of the quarter prior to the fee calculation.

Advisory fees are negotiable up to 2% based on a facts and circumstances but generally follow the below fee
schedule.
                              Assets Under Management ($) Annual Rate (%)
                                        0 to 500,000                Up to 2.00%
                                    500,001 to 1,000,000            Up to 1.75%
                                   1,000,001 to 5,000,000           Up to 1.50%
                                    More than 5,000,000             Up to 1.00%

More specifically, fees are based on the scope and complexity of the services to be provided, the amount of assets
to be managed and, the overall relationship as well as the amount of time and expertise required to provide
services. Relationships with multiple objectives, specific reporting requirements, portfolio restrictions and other
complexities are likely to have a higher fee than less complicated accounts.

If the advisory agreement is terminated before the end of the quarterly period, clients are entitled to a pro-rated
refund of any pre-paid quarterly advisory fee based on the number of days remaining in the quarter after the
termination date, which will be processed automatically by the custodian.

Unless a client has received the firm’s disclosure brochure at least 48 hours prior to signing the investment
advisory contract, clients may terminate the agreement without penalty for a full refund of Invista Advisors’s fees
within five business days of signing the Investment Advisory Contract. Thereafter, clients may terminate the
Investment Advisory Contract generally with 30 days' written notice.

Mutual Fund Share Class Disclosure and Fiduciary Duty (12b-1 Fees)
Section 206 of the Investment Advisers Act of 1940 (“Advisers Act”) imposes a fiduciary duty to act in a
client’s best interests and specifically prohibits investment advisers, directly or indirectly, from engaging in any
transaction, practice, or course of business which operates as a fraud or deceit upon any client or prospective
client.

 ADV 2A Firm Disclosure Brochure

However, the fiduciary duty to which advisers are subject is not specifically defined in the Advisers Act or the
Commission rules but reflects a Congressional recognition “of the delicate fiduciary nature of an investment
advisory relationship” as well as a Congressional intent to eliminate, or at least expose, all conflicts of interest
which might incline an investment adviser, consciously or unconsciously, to render advice which was not
disinterested.

When selecting a mutual fund for a client’s advisory account, the investment advisor representative has a
fiduciary duty to select the share class that helps manage the overall fee structure of the account. The overall
fee structure includes such fees as:

   •   Asset Management Fees
   •   Expense ratio, which includes 12b-1 fees, generally .25% for A shares.
   •   Trade Ticket Charges
   •   A Shares include 12b-1 fees but there are no ticket charges.
   •   I Shares do not include 12b-1 fees there are ticket charges.

The more beneficial share class depends on an analysis of ticket charges and expected 12b-1 fees. Investing in
a 12b-1 fee paying share class can be less expensive for a client than investing in the I Share class with a lower
expense ratio if the ticket charges on the lower-cost share class exceed the amount of ongoing 12b-1 fees.

   •   Mutual funds normally offer multiple share classes, including lower-cost share classes that do not charge
       12b-1 fees and are therefore less expensive.

   •   Investment adviser representative invest client funds in 12b-1 fee paying share classes even when a
       lower-cost share class is available as appropriate to account for the overall fee structure of the account.

   •   A Share mutual funds do not always have an otherwise equivalent I Share alternative.

   •   Not all investors will qualify for I Shares, which can have a higher minimum investment amount.

Depending on the anticipated trading volume, and the asset management fee that that is determined based on
account size, complexity and time requirements, investment advisor representatives have a fiduciary duty to
determine the mutual fund share class that is in the best interest of each client as part of the overall fee analysis.

Financial Planning
Financial Planning fees are generally fixed based on an estimated number of hours but in some cases financial
planning may be offered on an actual hourly basis.

 ADV 2A Firm Disclosure Brochure

Financial planning fees are payable by check to McDonald Financial Services, LLC based on a fixed fee range
from $500 to $5,000 depending on the complexities involved. Clients will be able to negotiate and accept the fee
amount prior to an obligation to pay for the services.

Hourly Consulting Fees
The hourly consulting fee will be based on the type of services to be provided, experience and expertise, and the
sophistication and bargaining power of the client. Individual complexities will determine the fixed fee charged
based on the number of hours estimated to complete the plan but not billed based on actual hours. A higher or
lower fee may apply under extenuating circumstances and requires approval by the Chief Compliance Officer.
...

Item 7 – Types of Clients
Invista Advisors generally provides advice for individuals and high net worth individuals as well as trusts and
pension plans. However, the advisory services offered by Invista Advisors are also available to banks and thrift
institutions, estates, charitable organizations as well as state and municipal government entities and corporations
as such opportunities may arise.