PKS Investment Advisors LLC

Item 5 – Fees and Compensation
The specific manner in which fees are charged by PKSIA is established in a client’s written
agreement with PKSIA. Investment Management and Employee Benefit Plan clients will be
invoiced in advance at the beginning of each calendar quarter based upon the value (market
value based on independent third party sources or fair market value in the absence of market
value; client account balances on which PKSIA calculates fees may vary from account
custodial statements based on independent valuations and other accounting variances,
including mechanisms for including accrued interest in account statements) of the client’s
account at the end of the previous quarter. New accounts are charged a prorated fee for the
remainder of the quarter in which the account is incepted. Pro-rated fees for in-bound
accounts will be established on the first day of the month following the date assets transfer
into PKSIA and charged to the account shortly thereafter. PKSIA may also charge an hourly
fee for financial planning services.

For Investment Management and Employee Benefit Plan Services, PKSIA will request authority
from the client to receive quarterly payments directly from the client's account held by an
independent custodian. Clients may provide written limited authorization to PKSIA or its
designated service provider, Focus Partners Advisor Solutions to withdraw fees from the
account. Clients will receive custodial statements showing the advisory fees debited from their
account(s). Certain third-party administrators will calculate and debit PKSIA’s fee and remit
such fee to PKSIA.

A client agreement may be canceled at any time, by either party, for any reason upon receipt
of 30 days written notice. Upon termination of any account, any prepaid, unearned fees will be
promptly refunded.

PKSIA’s fees are exclusive of brokerage commissions, transaction fees, and other related costs
and expenses which shall be incurred by the client. Clients may incur certain charges imposed
by custodians, brokers, third party investment and other third parties such as fees charged by
managers, custodial fees, odd-lot differentials, transfer taxes, wire transfer and electronic fund
fees, and other fees and taxes on brokerage accounts and securities transactions. Mutual funds
and exchange traded funds also charge internal management fees, which are disclosed in a
fund’s prospectus. These fees will generally include a management fee and other fund
expenses. All fees paid to PKSIA for investment advisory services are separate and distinct
from the fees and expenses charged by mutual funds and ETFs to their shareholders.

Such charges, fees and commissions are exclusive of and in addition to PKSIA’s fee, and PKSIA
shall not receive any portion of these commissions, fees, and costs.

Please see Item 12 of this Brochure for additional information about PKSIA’s Brokerage
Practices.

Advisory Fees

Investment Management Services:

The standard annual fee for investment management services for new accounts will be
charged as a percentage of assets under management, not to exceed 1.25% annually. The fee
schedule applicable to Participant Directed 401Ks is set forth below.

Fees are negotiable based on family relations or individual circumstances including account
size, potential future account growth, business relationships and the level and scope of the
services requested. Individual accounts for immediate family members (such as husband,
wife and dependent children) are aggregated, and the fee is charged based on the total value
of all family members’ accounts.

Fixed income portfolios generally require a minimum AUM of $500,000 as to invest in
individual fixed income securities. Minimum account sizes may be negotiable under certain
circumstances.

PKSIA may provide financial planning services at an hourly rate of $300 per hour in
accordance with a written agreement signed in advance of services provided. PKSIA may also
receive compensation for providing educational seminars to non-clients.

Certain pre-existing Investment Management Services clients may be on a different fee
schedule.

PKSIA has contracted with Focus Partners Advisor Solutions for services including trade
processing, collection of management fees, record maintenance, report preparation,
marketing assistance, and research. PKSIA has also contracted with Focus Partners Advisor
Solutions for sub-advisory services with respect to clients’ fixed income accounts. PKSIA pays
a fee for Focus Partner Advisor Solutions’ services based on management fees paid to PKSIA
on accounts that use Focus Partners Advisor Solutions. The fee paid by PKSIA to Focus Partners
Advisor Solutions consists of a portion of the fee paid by clients to PKSIA and varies based on
the total client assets participating in Focus Partners Advisor Solutions through PKSIA (tiered
ranging from 20%-40%). These fees are not separately charged to advisory clients and the fee
indicated previously, not to exceed 1.25%, reflects the fees that advisory clients are charged.
The fee charged by PKSIA to its clients includes all sub-advisory fees charged by Focus
Partners Advisor Solutions.

Employee Participant Directed 401Ks:

Plan services are generally charged as a percentage of assets within the plan.

      Assets Under           Focus Partners        PKSIA’s Annual Fee            Total Fee
      Management            Advisor Solutions
                               Annual Fee
 On the first $1,000,000         0.20%                    0.70%                   0.90%
 On the next $4,000,000          0.15%                    0.45%                   0.60%
 On the next $5,000,000          0.08%                    0.25%                   0.33%
 On all amounts above            0.05%                    0.15%                   0.20%
 $10,000,000

Fees are negotiable based on individual circumstances including account size, potential
...

Item 7 – Types of Clients

PKSIA provides services to individuals, qualified retirement plans, trusts, charitable
organizations, corporations and small businesses.

Fixed income portfolios generally require a minimum AUM of $500,000 as to invest in
individual fixed income securities. Minimum account sizes may be negotiable under certain
circumstances.