Novus Advisors LLC

Item 5 – Fees and Compensation

Clients should be aware that similar or comparable services may be available from other firms including
other investment management firms at a cost higher or lower than that available through Novus.

Asset Management Fee Schedule
Novus Advisors does not impose a minimum account balance for the opening of an account with the
Adviser. Novus is solely compensated for its investment advisory services by charging the client a
management fee based on the market value of the client’s assets under our management. The fee charged
is based upon the amount of money invested. Multiple accounts of immediately related family members
may be considered one consolidated account for billing purposes. Fees are billed monthly in advance
based upon the market value of the assets at the end of the preceding month. If the client’s relationship
with Novus begins or ends during a calendar month, the client’s fee will be prorated for the appropriate
number of days completed or remaining in the month and, where applicable, the client will be issued a
refund for the portion of his or her monthly fee paid in advance which was otherwise unearned.

Our fees are based upon the fee schedule set forth below:

                                AUM                                      Fee

                           Under $250,000                              1.25%

                       $250,001 to $1,000,000                          1.00%

                      $1,000,001 to $5,000,000                          .85%

                      $5,000,001 to $10,000,000                         .65%

                          Over $10,000,000                               .5%

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The fees shown above are annual fees. Novus may negotiate the amount of the client’s fee depending
upon circumstances including but not limited to account composition and complexity, other client,
employee or family relationships, etc. which may result in different fees being charged by Novus for client
accounts similar in composition and objectives. Novus employees and their family related accounts may
be charged a reduced fee, or no fee, for our services. No increase in the annual fee shall be effective
without prior written notification. Novus Advisors believes the advisory fee is reasonable considering the
fees charged by other investment advisers offering similar services/programs.

Outside Money Manager
Novus Advisors charges a reduced fee, in addition to the fee charged by the outside money manager.
Novus charges a fee of 0.50% - 0.85% based on the complexity of the client’s needs. The fee you will pay
will be disclosed on the executed advisory agreement. Please refer to the outside money manager’s ADV
Part 2 for a full description of their fees.

Retirement Plan Services Fees
For the retirement plan advisory business in which Novus participates described in the section on
ADVISORY BUSINESS above, Novus is paid a percentage of plan assets which generally ranges from 0.25%
to 1.10%. Novus’ fee is deducted from plan assets on a monthly basis by a third-party administrator and
is paid directly to Novus.

Payment of Fee
The client may pay his or her fee to Novus directly upon receipt of an invoice from Novus or the client may
authorize his or her custodian to directly debit Novus’ fee from his or her account or accounts upon
request. If the client chooses the latter method, his or her custodian will not confirm Novus’ fee but will
pay the amount based on the fee amount communicated to the custodian and send Novus’ fee directly
them. The Client will receive at least quarterly statements from the custodian which will show the amount
of the fee which has been sent to Novus. The client should confirm the accuracy of Novus’ fee calculation
upon receipt of the custodial statement.

Third-party Fees
Our fees do not include brokerage commissions, transaction fees, and other related costs and expenses.
You may incur certain charges imposed by custodians and other third parties. These include fees charged
by managers, 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. Mutual
funds, money market funds and exchange-traded funds (ETFs) also charge internal management fees,
which are disclosed in the fund’s prospectus. These fees may include, but are not limited to, a
management fee, upfront sales charges, and other fund expenses. Certain strategies offered by us may
involve investment in mutual funds and/or ETFs. Load and no-load mutual funds may pay annual
distribution charges, sometimes referred to as “12(b)(1) fees”. These 12(b)(1) fees come from fund assets,
and thus indirectly from clients’ assets.

We do not receive any compensation from these fees. All of these fees are in addition to the management
fee you pay us. You should review all fees charged to fully understand the total amount of fees you will

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pay. Services similar to those offered by us may be available elsewhere for more or less than the amounts
we charge. Our brokerage practices are discussed in more detail under Item 12 – Brokerage Practices.

Other Compensation
Employees of Novus are licensed to sell insurance products and may receive compensation in the form of
insurance commissions or similar fees as a result of the purchase or sale by clients of fixed-indexed
annuities or other products such as life, health, long-term care or disability insurance through Novus
Wealth Management, LLC which is affiliated with Novus through common ownership and which may also
receive compensation as a result of the purchase or sale by our clients of fixed-indexed annuities or other
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