Modernist Financial LLC

ITEM 5 – FEES AND COMPENSATION

The following paragraphs detail the fee structure and compensation methodology for services provided by the
Advisor. Each Client who retains Modernist for advisory services shall enter into one or more advisory
agreements with the Advisor that detail the responsibilities of Modernist and the Client.

A. Fees for Advisory Services

Investment Management Services
Investment advisory fees are paid quarterly, in advance of each calendar quarter, pursuant to the terms of the
investment advisory agreement. Investment advisory fees are based on the market value of assets under
management at the end of each quarter. Certain clients are billed according to legacy fee arrangements that
differ from the fee schedule listed below.

Investment advisory fees are based on the fee schedules below:

       Minimum Tier Amount                      Maximum Tier Amount           Modernist Financial Fee (%)
                $0                                   $5,000,000                         1.25%
            $5,000,000                               $8,000,000                         0.75%
            $8,000,000                              $10,000,000                         0.50%
           $10,000,000                              $15,000,000                         0.35%
           $15,000,000                              $20,000,000                         0.25%
           $20,000,000                               and above              Please see UHNW Fee Schedule

UHNW Fee Schedule:

 Minimum Tier Amount                     Maximum Tier Amount               Modernist Financial Fee (%)
              $0                                $20,000,000                            0.60%
         $20,000,000                            $50,000,000                            0.30%
         $50,000,000                            $100,000,000                           0.25%
        $100,000,000                            $200,000,000                           0.20%

Our minimum fee for financial planning is $36,000 per year. This may be waived at the advisor’s discretion.
The investment advisory fees paid by clients with assets over $3,000,000 covers our minimum financial
planning fee for these services, as well as investment management services (selection in alignment with
financial plan, ongoing maintenance, cash management, billing, reporting, etc.).

The investment advisory fee in the first quarter of service is prorated from the inception date of the
account[s] to the end of the first quarter. Fees may be negotiable at the sole discretion of the Advisor. The
Client’s fees will take into consideration the aggregate assets under management with the Advisor. All
securities held in accounts managed by Modernist will be independently valued by the Custodian for
reporting, billing and other purposes. The Advisor will conduct periodic reviews of the Custodian’s valuations
to ensure accurate billing.

Use of Independent Managers
As noted in Item 4, the Advisor may implement all or a portion of a Client’s investment portfolio utilizing one
or more Independent Managers. To eliminate any conflict of interest, the Advisor does not earn any
compensation from an Independent Manager. The Advisor will only earn its investment advisory fee as
described above. The Advisor will allocate a portion of the advisory fee collected to the Independent Manager
pursuant to the terms of the executed agreement between the Advisor and the Independent Manager. The
Modernist Financial, LLC
707 SW Washington Street, Suite 910, Portland, OR 97205
Phone: 971-544-7417

total blended fee, including the Advisor’s fee and the Independent Manager’s fee, will not exceed 2.00%
annually.

Personal Financial Planning Services
If a Client has assets under management exceeding $3,000,000, the financial planning fee will often be waived,
unless their financial planning needs warrant a higher fee. If a Client has assets under management below
$3,000,000, the financial planning fee will be negotiated based on the nature and complexity of the Client’s
needs. The typical range is an annual fee of $2,000-$36,000 (billed monthly).

The fee will be presented and agreed upon before an engagement with a new Client is commenced. Some
clients may have different fee schedules based on their legacy relationship with the firm or other factors.

Business Financial Planning Services
The Client will pay Advisor for a block of time (at a rate of $75 to $500 per hour, depending on which staff
members are supporting the work) to be utilized on Business Financial Planning. The block of time is estimated
based on the nature and complexity of the services to be provided and the overall relationship with the Advisor.
The Advisor will provide the Client with an estimate for total hours and overall costs prior to engaging the
Advisor for these services. The Advisor will track the time spent and communicate updates to the Client
periodically.

Additional Information on Fees
The Advisor’s fee is exclusive of, and in addition to, brokerage fees, transaction fees, and other related costs
and expenses, which may be incurred by the Client. However, the Advisor shall not receive any portion of these
commissions, fees, and costs.

B. Fee Billing
Investment Management Services
Client understands and acknowledges that he or she will pay certain fees to Advisor (detailed in the table
above), which are referred to as “Advisory Fees.” Such fees are automatically deducted from Client’s Account.
These fees will be payable quarterly in advance and upon deposit of any additional funds or securities in Client’s
Account. The initial fees are due at the commencement of the next monthly billing cycle. Such fees will be
prorated based on the number of days remaining in the quarter. Subsequent fees are due and will be assessed
at the beginning of each calendar quarter based on the gross value of Client’s Account assets (securities, cash,
...

ITEM 7 – TYPES OF CLIENTS

Modernist offers financial planning and investment advisory services to individuals, families, trusts, estates,
and small businesses. The amount of each type of Client is available on the Advisor's Form ADV Part 1A. These
amounts may change over time and are updated at least annually by the Advisor.

Modernist generally requires a minimum relationship size of $3,000,000 to effectively implement its
investment process. This minimum relationship size may be negotiable and reduced or waived at the sole
discretion of the Advisor.