Redstone Advisors Inc

Item 5 – Fees and Compensation
As a manager of capital from individuals, corporations, retirement plans, and charitable
organizations, we enter into an investment management contract with each client
detailing investment parameters, account objectives, and fees to be paid.   Fees may be
subject to negotiation. Clients pay fees quarterly unless they elect to pay a flat fee,
which may be paid monthly or quarterly.         Advisory fees are charged quarterly in
arrears.    Fees are calculated by taking the daily average market value for the quarter,
assigning the applicable rate, and then dividing by four to arrive at a quarterly fee
amount.

The annual rates are:

                0.50% on the first $5,000,000
                0.40% on the next $5,000,000;
                0.30% on the balance.
The specific manner in which fees are charged is established in each client’s investment
management agreement.         Multiple accounts may be aggregated or householded for
fee calculation based on client relationship, at Redstone’s discretion. Clients should
note that similar advisory services may (or may not) be available from other registered
(or unregistered) investment advisers for similar or lower fees.

Generally, advisory clients are subject to the minimum account requirements and
advisory fees in effect at the time the client entered into the advisory relationship.
Therefore, our minimum account requirements and fees will differ among clients.

If a client elects to have its fees deducted directly from its account, it must provide
written instructions to its Custodian, and the Custodian will require us to send our fee
statement to the client and the Custodian simultaneously.       The client may elect to not
have its fees deducted from its account, in which event we will send the client an
invoice.

Clients may be responsible for paying transaction costs related to certain security
types.     Please refer to Item 12 of this Brochure for further information pertaining to

Item 7 – Types of Clients
Redstone provides investment advice to individuals, trusts, corporations, retirement
plans and charitable organizations.

As a general guideline, we require a minimum beginning account value of $1,000,000 to
establish an advisory relationship.