Rialto Wealth Management LLC

Item 5 Fees and Compensation

Asset Management Fees
The client will pay Rialto an annual management fee, payable quarterly in arrears, based on the
fair market value of portfolio assets of the account on the last business day of the quarter. New
account fees will be prorated from the inception of the account to the end of the first quarter.

 Assets Under Management:           Annual Fee:
 First $1 million                   0.90%
 Next $1 million                    0.75%
 Next $3 million                    0.55%
 Next $5 million                    0.35%
 Over $10 million                   0.20%

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Fees will be calculated on a blended tier schedule. For example, a $2,000,000 account fee would
be calculated annually as follows: ($1,000,000 x 0.90%) + ($1,000,000 x 0.75%) = $9,000 +
$7,500 = $16,500. These fees may be negotiated at the sole discretion of the Advisor. Asset
management fees will be directly deducted from the client account on a quarterly basis by the
qualified custodian. The client will give written authorization permitting the Advisor to be paid
directly from their account held by the custodian, and the custodian will send a statement at least
quarterly to the client.

Fixed Fees
Financial planning for investment management clients is included in the asset management fee.
For financial planning clients that are not investment management clients, Rialto will charge either
a one-time fee for comprehensive financial planning services, or an hourly rate, as contracted for
with client in advance. The typical cost of those services are $4,000 or $400 respectively but can
be altered based on complexity and scope. Fixed fees may be negotiated at the sole discretion of
the Advisor. Fixed fee-based clients are invoiced upon completion of work and delivery of the
financial plan. Invoices are due upon receipt and may be paid by check or wire.

Fees for Qualified Retirement Plan Consulting Services
Plan Sponsor will pay the Advisor, as compensation for its services, an annual consulting fee,
payable quarterly in arrears, based on the fair market value of the assets in the plan at the end of
each quarter.

 Plan Assets Under Management: Annual Fee:
 First $1 million              0.50%
 Over $1 million               0.20%

Fees will be calculated on a blended tier schedule. The consulting fee in the first quarter of the
Agreement shall be prorated from the inception date to the end of the quarter. The Advisor will
operate as a fee-only fiduciary on all qualified retirement plans. The direct payment to the advisor
will be determined by the plan document. Fees are negotiable at the sole discretion of the Advisor.

All fees paid to Rialto for investment management services are separate and distinct from the
expenses charged by mutual funds to their shareholders. These fees and expenses are described in
each fund’s prospectus. These fees will generally include a management fee and other fund
expenses. Client is responsible for all custodial and securities execution fees charged by the
custodian and executing broker-dealer. The Advisor’s fee is separate and distinct from the
custodian and execution fees.

At no time will Rialto accept or maintain custody of a client’s funds or securities except for
authorized fee deduction.

Rialto’s fees are not paid in advance.

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Neither Rialto nor its supervised persons accept compensation for the sale of securities or other
investment products, including asset-based sales charges or service fees from the sale of mutual
funds.

Item 7 Types of Clients

The Advisor will offer its services to individuals, pension and profit sharing plans, trusts, estates,
charitable organizations, corporations or other business entities.

The Advisor does not have any minimum requirements for opening or maintaining an account.