RhumbLine Advisers Ltd Partnership

Item 5: Fees and Compensation

The fee for portfolio management services is calculated as a percentage of assets under
management in the Client’s account(s). The annual rate is generally within the range of .01%
and .25%, depending on the specific strategy or combination of investment strategies selected,
the size of the investment in each strategy, the overall size of the account or of the Client
relationship as a whole, the form of the investment (i.e., separate account or through a pooled
fund), extent of desired customization (e.g., the number and complexity of restrictions placed
on the investments), the desired reporting, and other factors.

RhumbLine has established a minimum annual fee for each strategy; however, all fees are
negotiable. Depending on the size of the investment, the minimum annual fee could be well in
excess of what the fee would be for larger accounts.

A minimum of $25,000,000 of assets under management is generally required for separately
managed accounts. In some circumstances, this minimum is negotiable.

RhumbLine, in its discretion, may agree to negotiate its fee rates and other terms.

Generally, RhumbLine calculates Client invoices quarterly in arrears based on the asset values
provided by the Client’s custodian. Unless otherwise specified by the Client in writing,
RhumbLine uses the average of the previous three month-end values to calculate the fee
charged. Large asset flows in an account i.e., contributions or withdrawals that have a $500 or
greater impact on the fee charged are prorated using the trade date of the flow, unless otherwise
specified by the Client. Fees for accounts that are established or terminated on a date other than
at the start or end of a quarter are prorated to reflect a partial period accordingly.

Investors in pooled investment funds managed by RhumbLine may elect to be billed for fees
directly or to authorize the fund’s custodian to pay fees to RhumbLine upon receipt of
instructions from RhumbLine (accompanied by the basis for computing the fee amount).

Other Costs Involved
In addition to RhumbLine’s investment advisory fees, Client accounts will bear additional fees
and expenses, including brokerage commissions, taxes, transaction fees, and other related
trading costs, custodial fees, funds transfer fees, and other fees and taxes on brokerage
accounts and securities transactions. Investors in pooled investment funds managed by
RhumbLine will also incur certain fund level administrative expenses.

Additional details on these fees are described below.

ETF Fees and Expenses
RhumbLine may invest in exchange-traded funds (ETFs) that generally track the performance of
the respective index strategy in a Client account, unless prohibited by the Client. Clients will
indirectly bear the fees and expenses paid by the ETFs to their service providers. These fees will
include management fees, custody and administration fees and expenses, and in some cases a
sales load or distribution fee. These fees and expenses are described in each ETF's prospectus.

RhumbLine Advisers LP               ADV Part 2A (Brochure)           IARD/CRD Number: 107151

RhumbLine does not receive any portion of any third party’s fees, commissions, or other
payments.

Brokerage and Custodial Fees
In addition to t h e advisory fees, the Client will also be responsible for all transaction,
brokerage, and custodial fees incurred as part of overall account management. Please see
Item 12 of this Brochure for important disclosures regarding RhumbLine’s brokerage
practices.

Fees in General
Fees are negotiable based upon certain criteria (e.g., size of total relationship, specific
strategies, anticipated future additional assets, etc.). The Client’s investment management
agreement will specify the fee arrangement in writing.

Account Termination
Clients may generally terminate their agreement by providing RhumbLine with a written
notice, f or such period as may be agreed upon, in writing, by the parties. Upon
termination of any account, any earned, unpaid fees will be due and payable. In general,
such fees are pro-rated to reflect a partial month or quarter, as applicable. In the event that
there are any prepaid, unearned fees, they will be promptly refunded to the Client.

Item 7: Types of Clients
RhumbLine advises and provides passive index management services to primarily institutional
clients including ERISA, Taft-Hartley, and municipal and state governmental pension plans,
nuclear decommissioning trusts, foundations, endowments, and other similar accounts.
RhumbLine provides passive index management to pooled investment vehicles offered to
ERISA plans and other institutional clients. RhumbLine also serves as a sub-advisor to
unaffiliated mutual funds, and other types of funds, and to clients of other investment
advisers.
RhumbLine’s pooled investment vehicles are generally available only to qualified employee
benefit plans and other institutional clients with a minimum of $5,000,000 in Plan assets.

The minimum account size for separately managed accounts generally is $25,000,000. A

RhumbLine Advisers LP                ADV Part 2A (Brochure)           IARD/CRD Number: 107151

minimum account size of $1,000,000 is required for investments in the pooled investment
vehicles managed. In some circumstances, the minimums are negotiable.