Pointer Financial Advisors LLC

Item 5. Fees & Compensation

Advisory Fees

Pointer Financial Advisors offers investment management and Wealth Management services for
an annual fee (“management fee”) based on the amount of assets under the Firm’s
management based on a fee schedule reflected in the client’s advisory agreement. This
management fee varies among clients and can be up to 1.25% of assets under management
per year, depending upon, among other things, the size of a client’s portfolio. The Firm may
charge clients an equivalent or lower rate for assets advised by the Firm that are held away
from the primary custodian.

Pointer Financial Advisors can, in its sole discretion, negotiate to charge lesser fees based upon
certain criteria, such as the overall scope of services to be provided to the client, anticipated
future earning capacity, anticipated future additional assets, dollar amount of assets to be
managed, related accounts, account composition, pre-existing/legacy client relationship,
account retention, and pro bono activities.

The management fee is charged quarterly in advance based upon the market value of the
assets being managed as of the last day of the previous quarter. If an engagement commences
on a day other than the first day of a quarter, advisory fees are prorated for such quarter based
on the number of days during such quarter for which advisory services were rendered by the
Firm to the client. If an engagement terminates on a day other than the last day of a quarter,
unearned fees are prorated for such quarter based on the number of days during the quarter for
which advisory services were rendered, and any unearned fees are refunded to the client.

Direct Fee Debit

Clients provide the Firm with the authority to directly debit their accounts for payment of its
investment management/wealth management fees. The Financial Institutions that act as the
qualified custodian for client accounts, from which the Firm retains the authority to directly
deduct fees, have agreed to send statements to clients not less than quarterly detailing all
account transactions, including any amounts paid to Pointer Financial Advisors.

Additional Fees and Expenses
In addition to the management fees paid to Pointer Financial Advisors, clients also incur certain
charges imposed by third parties, such as Independent Managers, fund managers, broker-
dealers, custodians, trust companies, banks, and other financial institutions (collectively
“Financial Institutions”). These additional charges include, among others, securities brokerage
commissions; mark-ups and mark-downs on transactions in fixed-income securities; other
transaction costs; custodial fees; reporting charges; charges imposed directly by a mutual fund
or ETF in a client’s account, as disclosed in the fund’s prospectus (e.g., fund management fees,
distribution fees, and other fund expenses); 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.

Types of Clients

Pointer Financial Advisors offers investment management services to individuals, corporate
entities, plan assets, trusts, estates, charitable organizations and family businesses.

Minimum Account Requirements

As a condition for starting and maintaining an investment advisory relationship with the Firm, the
Firm generally imposes a minimum annual fee of $4,000 for services. The Firm, in its sole
discretion, can elect to waive this minimum annual fee requirement. For example, the Firm may
waive the minimum for clients that appear to have significant potential for increasing your assets
under our advisement.