Providence Capital Advisors LLC

Item 5 – Fees and Compensation

Asset Management Fee Schedule
Our minimum account opening balance is $1,500,000 to engage both financial planning and investment
management services and $500,000 for relationships limited to only investment management services.
These minimums are negotiable under certain circumstances. The fee charged is based upon the amount
of money you invest. Multiple accounts of immediately related family members, at the same mailing
address, may be considered one consolidated account for billing purposes. Fees are charged quarterly, in
advance. Payments are due on the first day of the quarter and are based on the ending balance of the
account under management for the preceding quarter and will be calculated as follows:

         Percentage           Portfolio Size (AUM)
         1.50%                Up to $500,000
         1.25%                $500,001 ‐ $1,000,000

         1.00%                $1,000,001‐$5,000,000
         0.75%                $5,000,001-$15,000,000
         .60%                 $15,000,001-$25,000,000
         .50%                 $25,000,0001 & Over

No increase in the annual fee shall be effective without prior written notification to you. We believe our
advisory fee is reasonable considering the fees charged by other investment advisers offering similar
services/programs.
In certain circumstances, advisory fees and account minimums may be negotiable based upon prior
relationships as well as related account holdings. Our fees will not be based upon a share of capital gains
or capital appreciation of the funds or any portion of your funds.
Your account at the custodian may also be charged for certain additional assets managed for you by us but
not held by the custodian (i.e. variable annuities, mutual funds, 401(k)s, alternative investments).

The fees we charge can be deducted directly from your account at the custodian. We will instruct the
custodian to deduct the fees from your account at the beginning of the quarter. This fee will show up as
a deduction on your next account statement from the custodian.

Company retirement plans with multiple employees as participants are charged a flat fee of up to 0.50%
annually. These fees are negotiable and disclosed in a separate fee schedule to the client.

Financial Planning
Our financial planning services are offered as a part of our investment management services to our
existing clients. As such, there is no additional fee for these services. However, under certain
circumstances in which the planning services become robust and complex, we may charge an hourly rate
of up to $300. In addition, we may charge a negotiated ongoing retainer fee for ongoing planning and
consulting. The minimum account balance is $1,500,000 to engage both financial planning and investment
management services. These minimums are negotiable under certain circumstances.

The Financial Planning Agreement will show the fee you will pay. In the event that you cancel the Financial
Planning Agreement, you will be responsible for the actual hours spent preparing the financial plan, up to
the cancellation date, at the agreed upon hourly rate. Upon termination of any account, any prepaid fees
that are in excess of the management services performed will be promptly refunded to you. Any fees that
are due, but have not been paid, will be billed to you and are due immediately.

Fees are due upon presentation of an investment plan or the rendering of services. An invoice will be
provided to you outlining the outstanding fees. Investment plans will be presented to you within 120 days
of the contract date, provided that all information needed to prepare the investment plan has been
promptly provided to us. The financial planning agreement will terminate once you receive the final plan.
Based upon your needs, we may also provide consultations throughout the year to advise and counsel
you about other financial issues. We can help you with transition planning, major transaction analysis,
coordinated with cash flow needs, retirement needs, estate planning needs, income tax planning, life and
disability insurance needs, investment needs, and college education planning.
Clients may terminate investment advisory services obtained from us, without penalty, upon written
notice within five (5) business days after entering into the advisory agreement with us. The client is
responsible for any fees and charges incurred by the client from third parties as a result of maintaining
the account such as transaction fees for any securities transactions executed and account maintenance
or custodial fees. Thereafter, the client may terminate advisory services upon thirty day’s written notice
delivered to and received by us. Clients who terminate investment advisory services during a quarter are
charged a prorated advisory fee based on the date of our receipt of client’s written notice to terminate.
Any earned but unpaid fees are immediately due and payable.

All recommendations developed by us are based upon our professional judgment. We cannot guarantee
the results of any of our recommendations.

Third Party Fees
Our fees do not include brokerage commissions, transaction fees, and other related costs and expenses.
You may incur certain charges imposed by custodians, third party investment companies and other third
parties. These include fees charged by managers, custodial fees, 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. Our primary focus is on managing investment portfolios using
individual securities; however, certain strategies offered by us may involve investment in mutual funds
and/or ETFs. Load and no-load mutual funds may pay annual distribution charges, sometimes referred to
as “12(b)(1) fees”. These 12(b)(1) fees come from fund assets, and thus indirectly from clients’ assets.
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