Paladin Partners LLC

ITEM 5 - FEES AND COMPENSATION

Fees paid to Paladin are for Paladin’s advisory services only, and all advisory fees are negotiable. Such fees
do not include, for example, the fees charged by third parties such as third-party managers, or accountants
and attorneys providing the client with accounting and legal advice. Commissions on investment
transactions and other account fees will also be charged by brokerage firms in accordance with the standard
commission schedule of the client’s brokerage firm. See Item 12, Brokerage Practices.

Prospective clients should be aware that, in addition to Paladin's advisory fees, each mutual fund in which
a client's assets are invested may also charge its own advisory fees and other internal expenses which already
have been deducted from the fund's reported performance. Depending on the particular fund, a client may be
able to invest directly in the shares issued by the fund with or without incurring any sales or third-party
management fees. Fees for investment management services are, in many case, also deducted by the
custodian from the client’s managed account assets, depending on the terms of Paladin’s investment
advisory agreement with the client in other case, if the investment management agreement so provides,
Paladin will invoice the client on a quarterly basis for its services.

Clients receiving the same or similar services from Paladin may pay different fee rates, and similar advisory
services may be available from other investment advisers for fees that are higher or lower than the fees
charged by Paladin.

INVESTMENT ADVISORY SERVICE FEES
Fees charged by Paladin for its investment advisory services vary by service and are based upon an hourly
rate, flat fee, or asset-based fee, as more fully described below.

Hourly fees typically may apply to any service, other than management services, and vary from $175-$750
per hour depending upon the nature of the service and the scope of the project. Specifically, Paladin’s hourly
fees are as follows:

        Administrative services:                            $175 per hour
        Research services:                                  $275 per hour
        Consulting services:                                $425 per hour
        Analysis Level I (no subscription resources)        $600 per hour
        Analysis Level II (subscription resources)          $750 per hour

Hourly fees are due monthly, payable no later than the 10th of the month in which services are provided.

Flat fees may apply to any service other than investment management services, and are quoted in advance
and, like hourly rates, vary based upon the complexity of the project. Twenty-Five percent (25%) of the
total estimated hourly or flat fee is due in advance, with the balance due promptly after services are
completed. The advanced payment is non-refundable.

Due to the customized nature of planning work, fees for financial planning are quoted on a case-by-case
basis in advance. Quotations are usually based on an hourly rate. Fifty percent (50%) of the quoted fee is
usually required in advance of commencing work. The remaining fee is due upon delivery of the plan. At
Paladin's discretion, the client's fee may be discounted if, in addition to planning, the client chooses to sign
up for on-going account maintenance.

Asset-based fees are charged for management and performance review services. They vary from .50% -
1.0% of assets under management per year and are payable quarterly in advance. Specifically, Paladin’s asset-
based fees are as follows;

        $0 to $500,000                     1.0%
        $501,000 to $1,000,000             0.75%
        $1,000,0001 and above              0.50%

Asset-based fees are calculated on the market value of the assets in client’s account, including any balances
held in a money market fund. The initial fee is charged from the date of the agreement through the end of the
first calendar quarter. Thereafter, fees are payable quarterly based upon the market value of assets at the
end of the immediately preceding calendar quarter. Paladin may, in its discretion, aggregate accounts related
to client’s account for fee calculation purposes. Assets deposited to the account exceeding $20,000 during
any quarter are charged a prorated quarterly fee based upon the number of days remaining in the quarter from
the date of the deposit. No refund of fees paid or due for a particular calendar quarter will be made if assets
are withdrawn during a quarter. In the event of contract termination, the client agrees to pay Paladin all fees
earned to the date of termination, with any excess advance payment refunded. Clients authorize client’s
account custodian(s) to deduct, upon Paladin’s instruction, any and all fees when due from assets held in the
account. Client also authorizes Paladin to liquidate, without obtaining prior permission of the client, money
market funds and other securities in the account in amounts sufficient to cover Paladin’s fees.

It should be noted that Paladin's authority to liquidate money market funds and other securities in client
accounts, without prior client consent, to cover advisory fees creates a conflict of interest. Paladin has an
incentive to maintain or increase fee balances. Paladin addresses this conflict by deducting fees only in
amounts consistent with the agreed fee schedule, providing clients with advance notice of fee deductions,
and ensuring clients receive account statements directly from the qualified custodian at least quarterly so
they can verify all fee deductions.

Termination and Refund Policy: Either party to any of our investment advisory arrangements may
typically terminate the agreement at any time upon written notice to the other party. In the event a client
terminates an advisory agreement, fees are earned through the date of termination. For asset-based fee
...

ITEM 7 - TYPES OF CLIENTS

Paladin makes its investment advisory services available to a wide variety of clients including. but not limited
to, individuals, pension and profit-sharing plans, trusts, estates, charitable organizations, corporations and
other business entities.
Paladin does not require a minimum account size, or minimum fee as a condition to providing its services.
Paladin does, however, have the right to reject any prospective client engagement and terminate any existing
client engagement for any reason.