Nest Investments LLC

ITEM 5: FEES AND COMPENSATION

Discussion of fees and other compensation provided below is general in nature. Fees and other
compensation that a Client pays are set forth in the Client’s relevant advisory agreement. Fees are
generally not negotiable.

Management Fees

As a general matter, the Adviser receives management fees pursuant to advisory contracts and other
agreements with Clients.

A Client will be charged a management fee of not more than 1.25% of assets under management for the
Program. For the purpose of calculating the management fee, the average daily balance of assets under
management during the previous month is utilized.

For annuities, a Client will be charged a management fee of not more than 1.25% of the account value of
the annuity. Fee deductions for the annuity products are generally considered distributions from the
annuity which may affect the annuity contract terms and may have tax consequences. Clients are
encouraged to consult with a tax professional regarding any tax ramifications related to the annuity.
These fees are deducted directly from the account by the annuity provider quarterly.

The Adviser bills all Clients (other than annuities as noted above) on a monthly basis in arrears. When a
new account is opened, a pro-rated invoice is generated based on the number of days in the month. Fees
are deducted directly from the account.

Transaction-Based Compensation and Brokerage Fees and Expenses

The Adviser does not receive any transaction-based compensation.

The Adviser utilizes the services of broker-dealers to effect portfolio transactions and each Client may
incur brokerage, custodial, and other transaction costs. Clients do not pay these brokerage and
transaction costs to the Adviser. For additional information regarding brokerage practices, please see

ITEM 7: TYPES OF CLIENTS

The Adviser offers the Program to individuals, corporations, trusts, estates, non-for-profit organizations
and retirement plans. No account shall be subject to the Employee Retirement Income Security Act of
1974, as amended (“ERISA”). No account shall be subject to any legal investment laws applicable to banks,
savings institutions, trustees, fiduciaries or insurance companies, or any other similar entities, under any
other federal or state law or similar legal restrictions, except to the extent expressly identified by the
Adviser. If the Adviser reasonably believes that a Client is, or has become, subject to such laws, Adviser
shall be entitled to terminate agreements with Client, or instruct broker-dealers or custodians to change
an investment strategy. The Adviser shall not be acting as a “fiduciary” (as defined under ERISA), to any
Client or account.

The Adviser typically requires accounts to be at least $1,000 or greater in size, but the Adviser may waive
these minimums under certain circumstances at its discretion.

Each Client’s account is managed in accordance with the terms of the advisory contract with such Client
and the Client’s investment objectives, strategies and guidelines. A potential client who interacts with the
Adviser’s online website, web-based program, and/or a computer kiosk does not, by itself, create an
advisory relationship between such person and the Adviser. The Client must agree to the terms of the
Program and the advisory contract.

The Program is substantially offered electronically and through the internet. Clients will open their
account, create an investment profile, and sign all contracts, acknowledgements, and other documents
electronically.