Peak Financial Advisors LLC

Item 5 – Fees and Compensation
Peak Financial Advisors is a fee only financial planning and asset management firm. Fee only means we are
compensated by the client. We do not sell any commissioned products. We are not affiliated with entities that sell
financial products or securities. No commissions or finder’s fees are accepted. We do not act as a custodian of client
assets. Custody of client assets is maintained by a third-party custodian. We place trades for clients under a limited
power of attorney granted by the client.

All fee arrangements are made in writing. We charge an annual percentage-based fee for portfolio management
services. The annual fee is based on the fair market value of the client’s account assets determined as of the last day of
each calendar quarter. Advisory fees are annualized and applied quarterly in advance. If you terminate services with
us, a prorated fee will be due for the number of days you were a client in the quarter. Unless negotiated in writing, the
annual fee schedule is as follows:

                                                Annual Fee Calculation
                                          1.00% on the first $1,000,000
                                  .75% on assets of $1,000,001 – $3,000,000, then
                                         .65% on assets above $3,000,001

We calculate our management fee against all assets in the investment account, unless specifically excluded. Our
fee calculations include cash balances invested in money market funds, short-term investment funds, ETFs,
mutual funds, the entire market value of margined assets and short positions (if any) and all other investment
holdings.

The account values used to calculate your management fee are obtained from pricing services we believe are
reliable. However, we cannot guarantee their accuracy or that securities may be bought or sold at those prices.
We rely on the most recent holding information made available through our aggregation software in relation to
reporting, trading and billing calculations. There may be differences in the values used by us in reporting, trading
and billing calculations. Any security(ies) that is/are excluded from billing will not be included in assets under
management for the purpose of determining our investment management fee.

At our discretion, we may agree to ‘household’ certain client accounts for purposes of fee calculation depending
on the client relationship and overall services provided. The exact services and fees will be agreed upon and
disclosed prior to services being provided. Fees and how they are charged are negotiable. At our discretion, we
can charge a lesser investment advisory fee, charge a flat fee, or waive a fee entirely based upon certain criteria,
including but not limited to: the client’s financial situation and circumstances, the amount of assets under
management and anticipated to be under management, account householding arrangements, the complexity of
the services provided, related accounts, account composition, grandfathered fee schedules, employees and family
members, courtesy accounts and negotiations with the client, etc. In some cases where the advisory relationship
changes and the scope of services rendered materially expands, fees may be adjusted as mutually agreed to and as
evidenced by a signed supplemental agreement.

             PEAK FINANCIAL AD VISORS LLC | 155 SOUTH MADISON STREET, #210 | DENVER, CO       80209                      6

We do not recommend the use of margin for the purpose of leveraging client assets to enhance performance.
Clients may, for other reasons, borrow against their securities and pay interest to Charles Schwab. Our
management fee is charged on the gross asset value of the account and is not reduced by the amount of the
margin loan in calculating our fee.

The use of margin or borrowing against your portfolio increases the risk of an adverse outcome. Charles Schwab
retains the right to require re-payment of the margin loan at any time, even if it results in selling securities at a
loss. They can do this without your consent. If you have a concern about margin and its implications on your
account, please contact us to discuss.

Deduction of Client Fees
Fees are generally deducted directly from the client’s account(s). When clients sign, initial and date their account
applications they are providing Charles Schwab & Co., Inc. with written authorization to have fees deducted from
their account(s) and paid to us. Charles Schwab & Co., Inc. sends our clients monthly statements showing all
disbursements for the account including the amount of the advisory fee, if deducted directly from the account.
Transaction fees charged by Charles Schwab & Co., Inc. will be charged directly to each client’s account. We do
not receive any portion of such commissions or fees from the custodian or from clients. Management fees
charged by us are separate and distinct from the fees and expenses charged by mutual funds, exchange traded
funds, annuities, private investments or investment company securities that may be recommended to clients. A
description of these fees and expenses are available in each investment company security’s prospectus.

The length of service is at the client’s discretion. The engagements outlined above can be cancelled by either party in
writing with 30 days notice. Any unused portion of fees collected in advance will be refunded within ten (10) business
days via bank check written directly to the client as outlined in the investment management agreement. Upon
termination we will have no obligation to recommend or take any action with regard to the securities, cash or other
investments in your accounts.

All contractual relationships entered into between Peak Financial Advisors and its clients are terminable at will without
penalty within the first five (5) business days of signing the Client Investment Management Agreement.
...

Item 7 – Types of Clients
We generally provide investment advice to the following types of clients:

    •   Individuals
    •   Trusts, estates or charitable organizations
    •   Small business entities