Richard Young Associates Ltd

Item 5: Fees and Compensation

   A. Richard Young Advisors. is compensated for advisory services by charging a quarterly portfolio
      management fee. Our management fees are negotiable and may be discounted and structured
      differently from the following standard annual fee schedule:

              The first $500,000                                    1.45 %
              The next $500,000                                     0.85 %
              The next $3,000,000                                   0.65 %
              Over $4,000,000                                       0.50 %

   B. Management fees are taken out of the client’s account with the client’s written authorization. By
      exception, the client may select to pay the management fee themselves by check. Management fees
      are paid quarterly.

   C. There are other types of fees or expenses clients may pay in connection with our advisory services,
      such as custodian fees, trading charges, or fund expenses. Clients may incur brokerage and other
      transaction costs, as set forth in the fund prospectus, paid by the funds but ultimately borne by the
      investor. Most advisory client accounts are held at our custodian, Schwab, where all trades are
      executed. Schwab charges a transaction fee for mutual funds. There are no charges for trading
      exchange listed stocks or ETFs, however they charge $9.99/trade for buying or selling the
      Dimensional mutual funds we often use. Other mutual funds can cost more to buy or sell although
      we do not often use any other family of mutual funds. Liquidating other mutual funds that have
      transferred into an account will be charged under Schwab’s normal mutual fund trading fee schedule.
      Like most custodians, Schwab does occasionally charge other incidental fees for special services like
      holding non-traded securities. However, these other incidental fees are not routinely incurred in our
      managed client accounts unless transferring out.

   D. The quarterly portfolio management fees are charged in advance at the beginning of each calendar
      quarter. The client has five (5) days within the signing of the advisory contract to terminate without
      penalty. Thereafter, if the advisory contract is terminated during the quarter, the unearned portion
      of the management fee will be prorated based on the number of days remaining in the quarter and
      refunded to the client. The client does not have to request this refund. management fee. If
      subsequent cumulative additions total 5 percent or more of the portfolio’s start-of-quarter value, all
      additions for the quarter will be subject to a prorated fee, calculated for the remainder of the quarter
      on each addition, which will be added to the following quarter’s management fee. This means that
      the cumulative additions subject to this prorated fee could end up being less than 5 percent when
      compared to other valuation dates during the quarter, including contribution dates.

   E. Our advisory firm does not typically accept commissions for the sale of securities or other
      investment products in our managed portfolios, including asset-based sales charges or service fees
      from the sale of mutual funds. As discussed above, we are compensated by a quarterly management
      fee and typically employ no-load mutual funds and ETFs in our investment strategy.

Item 7: Types of Clients

   Our firm provides investment advice to most types of client entities such as individuals, trusts,
   corporations, company retirement plans and pension plans. The vast majority of our clients are
   individuals. Our minimum managed asset level for a client relationship is $50,000. Our minimum
   account size is $1,000 per account. Exceptions are made to these levels on occasion.