Milestone Investment Advisors LLC

5. FEES AND COMPENSATION
       A. PORTFOLIO MANAGEMENT SERVICES
Fees for Milestone Portfolio Management Services are based upon a percentage of the value of
assets under management according to the following schedule:
                                Range of Value of
                            Assets Under Management         Annual Fee
                                 First $1,000,000             1.00%
                                 Next $2,000,000               .60%
                                Over $3,000,000                .40%
Fees for Portfolio Management Services are generally payable quarterly in arrears after the
services are rendered (see exception in the next paragraph). The market value of assets is
determined as of March 31st, June 30th, September 30th, and December 31st or through the date of
contract termination for billing purposes. The minimum annual fee is $2,500. Fees are deducted
directly from client accounts in cases where written authorization to do so is provided in advance.
Due to fee schedule changes over time, and negotiated fees in some cases, fees may vary from
client to client. Fees are calculated on tiers of assets in the account. As an example, let’s assume
an account with $2.5 million. The annual fee is calculated as follows: 1.00% on the first $1 million
($10,000) plus 0.60% on the next $1,500,000 ($9,000). The total fee is $19,000 on $2.5 million
for a blended rate of 0.76%.
Clients receiving the services of a separate account manager are billed quarterly. Whether the fee
is billed in advance or arrears may vary with the separate account manager. The market value of
assets is determined as of March 31st, June 30th, September 30th and December 31st or through the
date of contract termination for billing purposes. Those assets are typically charged a lower asset-
based fee by Milestone and therefore won’t necessarily comport with the fee schedule.
Certain securities may be identified by a client as "non-discretionary". Although Milestone
includes non-discretionary assets in both the Portfolio Appraisal and Portfolio Performance pages
of the Investment Management Report and also considers them with determining client’s overall
asset allocation and compliance with the underlying Investment Policy Statement, Milestone does
not take ongoing responsibility for proactively researching or individually monitoring non-
discretionary assets. Upon request, Milestone will provide client with any published information
Milestone may have on non-discretionary assets and, at client’s directive, will implement
transactions with these investments. Non-discretionary assets are billed at the reduced rate of
0.20% per annum.
Clients should be aware that in addition to Milestone's fee, each security in which a client's assets
are invested (see Item 8.B) may also charge its own advisory fees and other expenses (disclosed
via prospectus). Because Milestone bills clients an advisory fee based on the total valuation of the
portfolio, clients pay two levels of advisory fees for management of their assets, one directly to

Milestone and another indirectly through management fees assessed by the investments held in the
portfolio.
Clients may also incur certain additional charges imposed by custodians/brokers. These include
brokerage commissions, transaction fees, custodial fees, deferred sales charges, odd-lot
differentials, transfer taxes, wire transfer and electronic fund fees, and other fees and taxes on
brokerage accounts and securities transactions. Such charges are exclusive of and in addition to
Milestone’s fee and we do not receive any portion of them. Please see Item 12 for more
information.
       B. FINANCIAL CONSULTING SERVICES
Financial Consulting Services are provided at an hourly rate of $300.
Total hourly charges vary depending on a number of factors, including the type of services
requested, nature of issues a client wishes to have analyzed, the detail in which the client wishes
to have results presented, and the number and length of meetings needed to explain the conclusions
and recommendations. The hourly rate may be negotiated.
The client will be given an estimate of the total fee at the signing of the consulting agreement.
Generally, one-half of the estimated fee is due at commencement of the project. A final bill is sent
to each client after services are completed. If the consulting agreement is terminated, all hourly
rate fees paid in advance are refunded to the client after subtracting fees earned by Milestone for
time spent in performing services.
       C. 401(K) RETIREMENT PLAN CONSULTING
Clients agree to pay Milestone an annual fee based upon total assets in client’s plan in
accordance with the following fee schedule:
Total Value of Assets                 Tiered Annual Fee              Quarterly Fee
$1 to $1,000,000                             .60%                       .15%
$1,000,001 to $2,000,000                     .40%                       .10%
$2,000,001 to $5,000,000                     .20%                       .05%
$5,000,001 and over                          .15%                       .0375%
The fees specified above are payable quarterly in arrears (after services have been provided). Fees
are calculated on the value of the account assets on the last business day of the previous quarter.
Fees may be paid by the client or withdrawn directly from the plan assets by prior authorization of
the client. The minimum annual fee for these services is $500. Fees are calculated on tiers of assets
in the account. As an example, let’s assume an account with $1.8 million. The annual fee is
calculated as follows: 0.60% on the first $1 million ($6,000) plus 0.40% on the next $800,000
($3,200). The total fee is $9,200 on $1.8 million for a blended rate of 0.51%.
       D. TERMINATION OF SERVICES AND ACCOUNTS
A client may terminate these services for any reason within the first five (5) business days after
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7. TYPES OF CLIENTS
Milestone’s services are offered to individuals, high net worth individuals, charities, pension and
profit-sharing plans and corporations or other business entities. While Milestone does not require
a minimum portfolio size, as stated in Item 5.A, it does require a minimum management annual
fee of $2,500.