TC Financial Management Co Inc

Item 5 – Fees and Compensation

A. Fees Charged

TCF provides continuous advice to clients regarding the investment of funds based on individual needs and
objectives. All individuals will be required to execute an agreement with TCF outlining the services to be
performed, as well as the fees for those services. Clients are under no obligation at any time to engage or to
continue to engage, TCF for investment services. If clients do not receive a copy of this brochure at least 48
hours prior to the execution of an agreement, clients may terminate the agreement within the first five (5)
business days without penalty.

TCF’s standard advisory fee is based on the market value of the assets under management and is calculated as
follows:
                          Account Value                                    Annual Advisory Fee
                         First $0 - $250,000                                        1.%
                Amounts over $250,000 - $499,999                                   .75%
                Amounts over $500,000 - $999,999                                  .625%
                     Amounts over $1,000,000                                       .50%

The fee is payable quarterly in advance and is based on the gross asset value as of the last market day of the
previous quarter. The advisory fee is a tiered fee and is calculated by assessing the percentage rates using the
predefined levels of assets as shown in the above chart and applying the fee to the gross asset value as of the last
market day of the previous quarter. No increase in the annual fee shall be effective without agreement from the
Client by signing a new agreement or amendment to their current advisory agreement.

The first fee payment is due upon execution of the Investment Advisory Agreement and will be assessed pro-rata
in the event the agreement is executed at any time other than the first business day of a calendar quarter. The
pro-rata calculation will begin on the first day of the calendar month that follows the execution of the Investment
Advisory Agreement (for example, if the Investment Advisory Agreement is executed in January, pro-rata billing
will begin February 1st).

Advisory fees are directly debited from client accounts. Clients may obtain a refund of a pre-paid fee if the advisory
contract is terminated before the end of the billing period, based on the amount of time remaining in the billing
period.

Ongoing Financial Planning
Ongoing Financial Planning services are included in the quarterly fee.

B.      Fee Payment

TCF’s client advisory agreement authorizes the custodian of the client’s account to debit the account for the
amount of TCF’s investment management fee and to directly remit that management fee to TCF in accordance
with required SEC procedures. To implement that procedure, the client will provide written authorization
permitting the advisory fees be deducted from their account held at the custodian. The custodian will send, at
least quarterly, to client a statement reflecting the fee paid to TCF.

 All asset management fees will be calculated on a quarterly basis, in advance, and the value used will be the gross
asset value as of the last market day of the previous quarter. The “gross” asset value relates to the limited number
of clients who, at their own election, choose to have margin accounts, which may increase the amount of assets
through borrowing. This means that if your annual fee is 1.00%, then each quarter we will multiply the value of
your account by 1.00%, then divide 4 to calculate our fee. Additionally, to the extent there is cash in a client’s
account, it will be included in the value for the purpose of calculating fees.

C.      Other Fees

There are a number of other fees that can be associated with holding and investing in securities. You will be
responsible for fees including transaction fees for the purchase or sale of a mutual fund or Exchange Traded Fund,
or commissions for the purchase or sale of a stock. Expenses of a fund will not be included in management fees,
as they are deducted from the value of the shares by the mutual fund manager. For complete discussion of
expenses related to each mutual fund, you should read a copy of the prospectus issued by that fund. TCF can
provide or direct you to a copy of the prospectus for any fund that we recommend to you.

D.    Pro-rata fees

If a client engages TCF to provide asset management services during a billing quarter, the fees for that quarter
will be pro-rated according to the number of days left until the next quarter. Likewise, if a client terminates
services during a quarter, the client will receive a refund for fees collected in advance but related to services that
would have been provided from the date of termination through the end of the billing quarter. Advisory service
contracts may be terminated on 30 days’ notice by either client or TCF. If contract is terminated, the unearned
portion of any prepaid fee will be refunded to client. TCF will calculate the total fee that would be due for the
quarter, divide the fee by the number of days in the quarter to arrive at a daily rate, count the number of days
the client was or will be a client during that quarter (as applicable) and multiply that number by the daily rate.
TCF will cease to perform services, including processing trades and distributions, upon termination. Assets not
transferred from terminated accounts within 30 (thirty) days of termination may be “de-linked”, meaning they
will no longer be visible to TCF and will become a retail account with the custodian.

Item 7 – Types of Clients

TCF provides portfolio management services to individuals, and trusts and estates.