Portfolio LLC

Item 5 − Fees and Compensation

When a custodian lowers their costs, we do not pass along the lower fees to you.

This creates a benefit for us because we retain a higher portion of the overall fee charged by our
firm to your account (s). Similarly, if the custodian raises their fees, including trading or execution,
we will not pass along those increased costs to you. Because we benefit from lower overall
custodian and execution fees, we have an incentive to seek the lowest cost custodian platform
available. Since our recommend custodian-broker/dealer, Charles Schwab, does not charge fees to
trade domestic equities and ETFs, the custodial costs for trading our core portfolios are minimal to
non-existent.

Please know, lowest cost is not the sole determining factor for choosing a custodian broker/dealer
for our wrap fee program. We analyze a variety of different factors when evaluating brokerage
arrangements and overall best execution taking into account the totality of the situation and our
fiduciary duty to clients. Please refer to Item 12 – Brokerage Practices for more information.

Program fees are divided and billed quarterly in arrears. Quarterly fees shall be calculated based on
the ending quarterly balance adjusted for contributions and distributions, not adjusted by any
margin debit. Fees are generally deducted directly from a client’s account.

Clients must provide qualified custodian with written authorization to have fees deducted from the
account and paid to PLLC. The custodian will send client statements detailing account activity for
the prior period including a description of all disbursements for the account including the amount
of PLLC’s fee deducted directly from the account. At the discretion of PLLC, clients can request to
pay fees directly upon receipt of their billing statement.

Other Fees

Wrap Fee Program fees charged by PLLC are separate and distinct from the fees and expenses
charged by investment company securities that are recommended to clients. We do not buy mutual
funds that charge 12-B1 fees. A description of mutual fund expense ratios is available in each
investment company security’s prospectus.

Financial Consulting Services (Expert Witness) to Legal Counsel. The hourly rate for Financial
Consulting Services is $500 per hour, plus applicable New Mexico gross receipts tax. The hourly
rates apply to all Financial Consulting Services, including, but not limited to, telephone calls and
conferences, factual investigation and research, drafting reports, analyses, letters and other
documents, travel time, time in meetings, time in depositions and other discovery proceedings, and
time in hearings and other case---related proceedings. These services are only provided and
designed for expert witness services to legal counsel.

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Item 7 − Types of Clients

PLLC provides investment supervisory and management services to a wide variety of clients
including individuals, high net-worth individuals, family offices, pension and profit-sharing plans,
trusts, estates, charitable organizations, and corporations or other business entities. PLLC currently
has a $1,500,000 asset minimum.