Renaud & Company LLC

Item 5 – Fees and Compensation

Investment Management Services

Clients are generally charged an asset based fee for investment management services. Fees
and the assets they apply to are always disclosed to the client before entering into any
advisory services contract. Assets that are generally subject to the management fee include
all cash and securities in the managed accounts but exclude any fixed annuities for which
Renaud may have received commission income directly from the correspondent insurance
company.

Fees are payable quarterly after the end of the period of service based on the balance of the
account at the end of the quarter and are automatically deducted from the account with the
client’s authorization. In limited instances, clients may be billed separately in lieu of direct
fee deduction.

Renaud's fee is 1.0% of assets under management per account. However, fees may be
negotiable in limited situations.

An investment advisory contract may be canceled by either party by giving written notice.
Upon cancellation, fees are prorated for the period of time that services were utilized.

Some accounts may incur incidental fees or charges (such as custodial fees. transaction
charges, etc.) which are fully disclosed to the client if applicable.

Renaud may also receive separate compensation for the sale of fixed annuities or other
insurance products which may be recommended in client accounts. This practice presents
a potential conflict of interest in that in some instances it may give us an incentive to
recommend products based on compensation received rather than on a client’s needs. To
address conflicts that may arise, we a) disclose to clients that Renaud may receive
compensation for fixed annuities or other insurance products that is separate from and in
addition to Renaud’s advisory fee, b) only make recommendations that we feel are suitable
and appropriate for the client, c) make a good faith determination that any additional
compensation paid to Renaud is reasonable, and d) inform clients that they are under no
obligation to use Renaud for the purchase of insurance or other products.

Financial plans are billed at a rate of $200 per hour. One half of the estimated fee is due
upon signing of a contract with the remainder due at completion of services.

Item 7 – Types of Clients

Renaud generally works with small businesses, individuals and their families to help them
reach their investment goals.

The firm has not set a minimum investment amount, however we reserve the right to
decline certain accounts if we feel a relationship would not be beneficial or economical to
the client.