Parallel Advisors LLC

Item 5   Fees and Compensation

A.       Investment Advisory Services

         The Registrant’s annual investment advisory fee shall be based upon a percentage (%) of the market
         value of the assets placed under the Registrant’s management. The terms and conditions of the
         engagement shall generally be set forth in the Financial Planning and Investment Advisory Services
         Agreement. The Registrant’s annual investment advisory fee is negotiable but is generally tiered and
         blended between 0.30% and 1.25% as follows:
                          Market Value of Portfolio                            % of Assets
                          From $1 to $250,000                                  1.25%
                          From $250,001 to $2,000,000                          1.00%
                          From $2,000,001 to $4,000,000                        0.85%
                          From $4,000,001 to $6,000,000                        0.70%
                          From $6,000,001 to $10,000,000                       0.60%
                          From $10,000,001 to $25,000,000                      0.50%
                          Above $25,000,001                                    0.30%
         The Registrant generally requires an annual minimum fee of $7,500 for its investment advisory services.
         Therefore, should a client maintain less than $688,000 in assets under the Registrant’s management, the
         client’s fee for investment advisory services would be in excess of the above stated fee schedule.
         Notwithstanding the above, at no time shall the Registrant’s effective investment advisory fee exceed
         2.00% of the client’s assets under management.

         The Registrant’s investment advisory fee is negotiable at Registrant’s discretion, depending upon
         objective and subjective factors including but not limited to: the amount of assets to be managed;
         portfolio composition; the scope and complexity of the engagement; the anticipated number of meetings
         and servicing needs; related accounts; future earning capacity; anticipated future additional assets; the
         professional(s) rendering the service(s); prior relationships with the Registrant and/or its representatives,

150 SPEAR ST, SUITE 1600, SAN FRANCISCO, CA 94105     •   (866) 627-6984   •     PARALLELADVISORS.COM      •   PAGE 12

                                                                      FORM ADV PART 2A - PARALLEL ADVISORS, LLC

         and negotiations with the client. As a result of these factors, similarly situated clients could pay different
         fees, the services to be provided by the Registrant to any particular client could be available from other
         advisers at lower fees, and certain clients may have fees different than those specifically set forth above.

         Retirement Plan Services

         The Registrant provides pension consulting services, pursuant to which it assists sponsors of self-
         directed retirement plans with the selection and/or monitoring of investment alternatives (generally open-
         end mutual funds) from which plan participants shall choose in self-directing the investments for their
         individual plan retirement accounts. The terms and conditions of the engagement shall generally be set
         forth in the Retirement Plan Services Agreement between the Registrant and the plan sponsor. The
         Registrant’s annual advisory fee is negotiable but is generally between 0.15% and 0.70% as follows:
                          Market Value of Portfolio                             % of Assets
                          From $1 to $1,000,000                                 0.70%
                          From $1,000,001 to $3,000,000                         0.50%
                          From $3,000,001 to $5,000,000                         0.35%
                          From $5,000,001 to $10,000,000                        0.25%
                          Above $10,000,001                                     0.15%
         * The Registrant generally requires an annual minimum fee of $5,000 for its retirement plan services.
         Therefore, should a client maintain less than $714,286 in assets under the Registrant’s management, the
         client’s fee for investment advisory services would be in excess of the above stated fee schedule.
         Notwithstanding the above, at no time shall the Registrant’s effective investment advisory fee exceed
         2.00% of the client’s assets under management.

         Financial Planning and Consulting Services (Stand-alone)

         The Registrant may provide financial planning and/or consulting services (including investment and non-
         investment related matters, including estate planning, insurance planning, etc.) on a stand-alone fee
         basis. Registrant’s planning and consulting fees are negotiable, but generally range up to $1,000 on an
         hourly rate basis, depending upon the level and scope of the service(s) required and the professional(s)
         rendering the service(s).

         Tax Preparation Services

         The Registrant’s hourly fee for tax preparation services is negotiable but is generally provided at $310
         per hour, subject to a minimum fee of $3,000. Tax preparation services may be offered on a flat fee basis
         at the Registrant’s sole discretion. At the outset of the engagement, the Registrant will provide an
         estimated cost for the completion of the project based upon the scope and complexity of the services
         required.

B.       Clients may elect to have the Registrant’s advisory fees deducted from their custodial account. Both
         Registrant's Investment Advisory Agreement and the custodial/clearing agreement may authorize the
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Item 7   Types of Clients

         The Registrant’s clients shall generally include individuals, business entities, pension and profit sharing
         plans, trusts, estates, and charitable organizations.