Portfolio Advisory Group Inc

Item 5. Fees and Compensation

Unless otherwise negotiated, Portfolio Advisory Group charges the following fees for its
investment advisory services:

Assets Under Management                                       Annual Percentage

$1- $100,000                                                  1.00-2.00%

$100,001 - $1,000,000                                         0.75%-2.00%

Greater than $1,000,000                                       0.75%-1.50%

Fees may differ from the applicable schedule above due to particular circumstances of the client
or as otherwise negotiated with particular clients. As a result of this practice, Portfolio Advisory
Group may charge different fees to different clients receiving the same services. Clients should
note that advisory services similar to those rendered by our firm may be available from other

registered investment advisers for lower rates.

Unless otherwise negotiated, fees are charged quarterly, in arrears. The quarterly fee will be
calculated by multiplying the account’s asset value at the close of business the last day of the
calendar quarter by one-quarter of the annual fee.

Portfolio Advisory Group sends invoices for fees to the client detailing the account value on
which the fee is based, the agreed upon percentage fee(s), and the amount due. In accordance
with the instructions of the client, Portfolio Advisory Group will also send a copy of the invoice
to the custodian of the account and may withdraw fees directly from client accounts.

In addition to the advisory fees discussed in this Item, clients are responsible for any custodian
fees, mutual fund fees, exchange traded fund fees and brokerage commissions, markups,
markdowns and other sales charges and transaction fees resulting from transactions in their
managed accounts. (Please see Item 12 below for more information regarding our brokerage
practices.) All fees paid to Portfolio Advisory Group for services are separate and distinct from
these fees.

For its investment consulting and financial planning services, unless otherwise negotiated, our
firm charges an hourly fee of $200.00. Clients are billed monthly with fees due promptly after
receipt of the bill.

Investment advisory services, investment consulting services and financial planning services
may be terminated by the client at any time by delivering written notice of termination to our
firm, or by our firm thirty (30) days after delivering a written notice of termination to the client.
If a client terminates services within five (5) business days after signing a contract, the client will
not be charged any fees. If, at any other time, the client terminates the contract prior to the end of
the calendar quarter, a fee will be charged for the pro-rata portion the calendar quarter the
investment advisory services were provided or in the case of investment consulting services and
financial planning services, the hourly fee will be charged for any unpaid work conducted prior
to receipt of a written notice of termination.

Item 7. Types of Clients

Our firm provides investment advice to Individuals, IRA’s (individual retirement accounts) of
individuals, Pension and Profit Sharing Plans, including SEP-IRA’s and SIMPLE-IRA’s, Trusts,
Estates, Corporations and Charitable Organizations.

Portfolio Advisory Group does not impose a minimum account size for opening or maintaining
an account.