Mench Financial Inc

Item 5         Fees and Compensation
                        MODEL PORTFOLIO MANAGEMENT FEES

Our annual fees for Model Portfolio Management Services are based upon a percentage of
assets under management and generally range from 0.10% to 1.00%.

Clients are invoiced in arrears at the end of each calendar quarter based upon the value
(market value or fair market value in the absence of market value, plus any credit balance or
minus any debit balance), of the client’s account at the end of the previous quarter.

A minimum of $50,000 of assets under management is required for this service. This account
size may be negotiable under certain circumstances. Mench Financial, Inc. may group certain
related client accounts for the purposes of achieving the minimum account size and determining
the annualized fee.

Limited Negotiability of Advisory Fees: Although Mench Financial, Inc. has established the
aforementioned fee schedule(s), we retain the discretion to negotiate alternative fees on a
client-by-client basis. Client facts, circumstances and needs are considered in determining the
fee schedule. These include the complexity of the client, assets to be placed under
management, anticipated future additional assets; related accounts; portfolio style, account
composition, reports, among other factors. The specific annual fee schedule is identified in the
contract between the adviser and each client.

Discounts, not generally available to our advisory clients, may be offered to family members and
friends of associated persons of our firm.

                                  GENERAL INFORMATION

Termination of the Advisory Relationship: A client agreement may be canceled at any time,
by either party, for any reason upon receipt of 5 days written notice. Upon termination of any
account, any prepaid, unearned fees will be promptly refunded.

Mutual Fund Fees: All fees paid to Mench Financial, Inc. for investment advisory services are
separate and distinct from the fees and expenses charged by mutual funds and/or ETFs to their
shareholders. These fees and expenses are described in each fund’s prospectus. These fees
will generally include a management fee, other fund expenses, and a possible distribution fee.
If the fund also imposes sales charges, a client may pay an initial or deferred sales charge. A
client could invest in a mutual fund directly, without our services. In that case, the client would
not receive the services provided by our firm which are designed, among other things, to assist
the client in determining which mutual fund or funds are most appropriate to each client’s
financial condition and objectives. Accordingly, the client should review both the fees charged

by the funds and our fees to fully understand the total amount of fees to be paid by the client
and to thereby evaluate the advisory services being provided.

Wrap Fee Programs and Separately Managed Account Fees: Clients participating in
separately managed account programs may be charged various program fees in addition to the
advisory fee charged by our firm. Such fees may include the investment advisory fees of the
independent advisers, which may be charged as part of a wrap fee arrangement. In a wrap fee
arrangement, clients pay a single fee for advisory, brokerage and custodial services. Client’s
portfolio transactions may be executed without commission charge in a wrap fee arrangement.
In evaluating such an arrangement, the client should also consider that, depending upon the
level of the wrap fee charged by the broker-dealer, the amount of portfolio activity in the client’s
account, and other factors, the wrap fee may or may not exceed the aggregate cost of such
services if they were to be provided separately. We will review with clients any separate
program fees that may be charged to clients.

Additional Fees and Expenses: In addition to our advisory fees, clients are also responsible
for the fees and expenses charged by custodians and imposed by broker dealers, including, but
not limited to, any transaction charges imposed by a broker dealer with which an independent
investment manager effects transactions for the client’s account(s). Please refer to the
“Brokerage Practices” section (Item 12) of this Form ADV for additional information.

Grandfathering of Minimum Account Requirements: Pre-existing advisory clients are
subject to Mench Financial, Inc.’s minimum account requirements and advisory fees in effect at
the time the client entered into the advisory relationship. Therefore, our firm’s minimum account
requirements will differ among clients.

ERISA Accounts: Mench Financial, Inc. is deemed to be a fiduciary to advisory clients that
are employee benefit plans or individual retirement accounts (IRAs) pursuant to the Employee
Retirement Income and Securities Act (“ERISA”), and regulations under the Internal Revenue
Code of 1986 (the “Code”), respectively. As such, our firm is subject to specific duties and
obligations under ERISA and the Internal Revenue Code that include among other things,
restrictions concerning certain forms of compensation. To avoid engaging in prohibited
transactions, Mench Financial, Inc. may only charge fees for investment advice about products
for which our firm and/or our related persons do not receive any commissions or 12b-1 fees, or
conversely, investment advice about products for which our firm and/or our related persons
receive commissions or 12b-1 fees, however, only when such fees are used to offset Mench
Financial, Inc.’s advisory fees.

Advisory Fees in General: Clients should note that similar advisory services may (or may
not) be available from other registered (or unregistered) investment advisers for similar or lower
fees.

Limited Prepayment of Fees: Under no circumstances do we require or solicit payment of
fees in excess of $1200 more than six months in advance of services rendered.

Item 7         Types of Clients
Mench Financial, Inc. provides advisory services to the following types of clients:

•      Individuals (other than high net worth individuals)

•      High net worth individuals

•      Pension and profit sharing plans (other than plan participants)

•      Charitable organizations

•      Corporations or other businesses not listed above