Smart Portfolios LLC

Item 5 – Fees and Compensation

Smart Portfolios’ fees are typically paid quarterly in advance by applying one quarter of the
annual rate shown below to the account balance at the end of the previous quarter. The fee
for accounts initiated or terminated during a calendar quarter is pro-rated. To the extent that
aggregate Client deposits of $10,000 or aggregate withdrawals of $1,000 occur during a
particular billing period, a prorated adjustment will be added or subtracted from the
following quarter’s calculated fee to compensate for the change in the amount of Client assets
under management during the previous quarter. Clients who terminate receive a refund of
the portion of the fee, calculated based on the number of days remaining in the quarter at
the time of termination, within thirty days of termination.

Account fees may be deducted from Clients’ assets or billed directly, depending on the
custodian of the assets or type of account. Clients may not select the method of payment.

For Retail Services:
Tiered annual rate:
 Total AUM                     Management Fee
 First $1mm                    1.50%
 Next $1mm                     1.20%
 Next $2mm                     1.00%
 Next $2mm                     0.90%
 Next $1mm                     0.80%
 Next $1mm                     0.70%
 > $8mm                        Negotiable

Fee Dispersion
Smart Portfolios, in its discretion, may charge a lesser investment advisory fee, charge a flat
fee, waive its fee entirely, or charge fee on a different interval, based upon certain criteria
(i.e., anticipated future earning capacity, anticipated future additional assets, dollar amount
of assets to be managed, related accounts, account composition, complexity of the
engagement, anticipated services to be rendered, grandfathered fee schedules, employees
and family members, courtesy accounts, competition, negotiations with client, etc.). As a
result of the above, similarly situated clients could pay different fees. In addition, similar
advisory services may be available from other investment advisers for similar or lower fees.

Back-office Management Fees
Smart Portfolios may pass along the fees charged by its back-office solution (services offered
by Orion and ByAllAccounts). These fees vary based upon the Client’s assets under
management, but typically amount to approximately $3.00 per month per account.

Clients prior to January 1, 2019 are grandfathered in with no additional costs. Smart
Portfolios may, in its sole discretion, waive or negotiate fees.

Other Fees and Expenses:
In addition to Smart Portfolios’ fees, Clients pay custodial and other fees, costs, and expenses
to their custodian. In addition to the advisory fee paid to Smart Portfolios, Clients may pay
either a commission or transaction fee to their custodian, which includes execution, custodial
fees and other costs and expenses pursuant to a separate agreement with the custodian.
Clients may incur certain other charges imposed by custodians, brokers, third party
investment and other third parties such as fees charged by managers, custodial fees, deferred
sales charges, odd-lot differentials, transfer taxes, wire transfer and electronic fund fees, and
other fees and taxes on brokerage accounts and securities transactions. Mutual funds and
exchange traded funds (ETFs) also charge internal management fees, which are disclosed in
a fund’s prospectus. Such charges, fees and commissions are in addition to Smart Portfolios’
fee, and Smart Portfolios does not receive any portion of these commissions, fees and costs.
See Item 12 for further discussion regarding brokerage.

Item 7 – Types of Clients

Smart Portfolios provides investment management and financial planning to retail Clients.

Smart Portfolios requires a minimum initial investment of $100,000 per Client.                The
minimum is not applicable to accounts held with insurance companies, TIAA/CREF or
custodied with Goldman Sachs (formerly FolioFn). Smart Portfolios may, at its discretion,
reduce the minimum investment requirements.