United Asset Strategies Inc

Fees and Compensation
Determining Aggregate Market Value of a Client Account

We typically base our fees on the aggregate market value (the “AMV”) of the client account on
the valuation date, which (1) for most accounts in which the fee is charged in advance, is the last
business day of the quarter immediately preceding the quarter in which the fee will be earned
and (2) for most accounts in which the fee is charged in arrears, is the last business day of the
quarter in which the fee is earned. The valuation date for some client accounts is not always the
end of a calendar quarter but in all cases is the end of a calendar month.

To establish AMV, we aggregate the value of cash holdings and (except as described below) the
market value of each security held in the account using prices provided by the account custodian
for the client account. These market values are displayed on Orion Portfolio Solutions, a software
product purchased from a third-party vendor (“Orion”), which receives the market values on a
daily basis directly from the account custodians. We often hold cash in accounts for strategic and

other purposes. In all cases, the value of cash holdings and other property is included in the AMV
of the account. In general, dividends, interest, and other distributions are reinvested when
received, which generally increases the AMV of the account and consequently our fees.

Account custodians generally value a security that is listed on a national securities exchange at
the last quoted sale price on the valuation date of the principal exchange on which the security
is listed. Account custodians generally value a security that is primarily traded on the Nasdaq
Global Market, the Nasdaq Global Select Market, or another recognized Nasdaq market by using
the Nasdaq Official Closing Price. If the Nasdaq Official Closing Price is not available, account
custodians generally value the security at the last sale price on the valuation date or, if there
were no sales on that day, at the mean between the bid and asked prices. Account custodians
generally value over-the-counter securities that are not principally traded on a Nasdaq market at
the most recent trade price. Account custodians generally value options and securities issued by
the U.S. government, such as Treasury bills, at the most recent bid price. If an account custodian
is unable to provide a value for a security held in a client account, we will establish the fair value
of the security in good faith. In establishing fair value, we have complete discretion to use one
or more pricing services, banks, and broker-dealers that we believe to be experienced in these
matters.

Client accounts may also hold fixed-income securities, including bonds with a range of trading
volumes. The market values for fixed-income securities are also provided to Orion by the account
custodians on a daily basis. Account custodians generally value fixed-income securities using
pricing services, including LSEG Data & Analytics, formerly known as Refinitiv, and
Intercontinental Exchange, Inc., also known as ICE. These pricing services employ proprietary
techniques in an effort to establish independent market values for a wide variety of fixed-income
securities.

Dividends and distributions paid with respect to securities and other property held in client
accounts are generally reinvested, thereby increasing the value of the client account and
consequently the advisory fees payable to UAS. Transactions in a client account and
reinvestment of dividends and distributions may also cause a client to incur federal, state, and
local tax liabilities. Lower advisory fees for comparable services of an investment manager may
be available from other sources.

Variance and Negotiation of Fees

In general, we maintain no schedule of client fees for the various types of services that we
provide. Instead, we establish our fees in our discretion with respect to each client relationship.
In all cases, however, the investment management agreement between UAS and the client
clearly reflects the actual fee to be billed and collected by UAS. This fee may be higher or lower
than the fees paid by other UAS clients.

New clients are frequently introduced to our investment management services through the
efforts of our personnel. In some cases, however, we have forged relationships with other
financial advisors, such as certified public accountants or estate-planning lawyers, who refer their

clients to us for investment management services. These other financial advisors often charge a
referral fee, but there is no standard referral fee charged by other financial advisors. In some
cases, the other financial advisor charges his or her client directly for the referral fee. In many
other cases, however, the other financial advisor has requested UAS to bill and collect the
combined fee and to remit the portion due to the other financial advisor. In a limited number of
cases, the other financial advisor bills and collects the combined fee and remits the portion due
to UAS.

In some cases, the AMV of several accounts owned by a client and his or her immediate family
are aggregated in determining our fee. This practice is sometimes called household grouping.
Fees charged when the AMV of several accounts are aggregated are typically lower than those
that we would charge if household grouping were not employed.

In determining the appropriate fee, we may also take consider whether the client has requested
a special account structure or has atypical objectives. Fees for accounts with special structures
or atypical objectives are generally higher than those that we would charge if a special structure
or atypical objective were not involved. Lower fees may be charged when we are acting primarily
as a subadvisor to another financial advisor and have little or no direct interaction with the clients
of that financial advisor. While these are two examples of the criteria that we may use to
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Types of Clients
We furnish investment management services to individuals, pension and profit-sharing plans,
trusts, estates, charitable organizations, corporations, partnerships, and other business entities.
We generally require that clients maintain a minimum of $500,000 in AMV in Discretionary
Money-Management Services accounts. For these purposes, we aggregate all accounts that are
under the common ownership or control of a client, such as IRAs, business accounts, and Uniform
Gifts to Minors Act accounts. The AMV in accounts held by immediate family members of a client
may also be aggregated for purposes of meeting the minimum account size. We reserve the right
to increase or decrease the minimum account size that we accept.

We strive to understand the identities of clients and prospective clients and the business reasons
for any transactions in which we engage on behalf of our clients. We do not directly or indirectly

conduct business with any person or entity whose identity and source of funds have not been
verified to the satisfaction of the account custodian.

            Methods of Analysis, Investment Strategies, and Risk of Loss
Investment Strategy

UAS believes that the single most important investment principle is diversification. A properly
diversified portfolio can provide the checks and balances needed to protect a client in most
investment climates. We are committed to client service and prudent, disciplined, daily money
management.

An important component of our services is our assessment of the suitability of a particular
investment for a client. Our decisions about the securities that we purchase or recommend for
each client are based on our evaluation of the investment objectives of the client and any
investment restrictions that the client has imposed in the investment management agreement.
Investing in securities always involves risk of loss that a client should be prepared to bear.

Our investment strategy includes the objective of a broad degree of issuer diversification.
Generally, our clients authorize us to invest their assets primarily in publicly traded securities and
shares of mutual funds and ETFs. The securities held in client accounts include, among other
things, exchange-listed securities, securities traded over the counter, securities of foreign issuers,
common stock, preferred stock, warrants, corporate debt securities, commercial paper,
certificates of deposit, municipal securities, shares of mutual funds, U.S. government securities,
options contracts on securities, futures contracts on tangibles and intangibles, partnership
interests, and limited liability company interests. Most client accounts have a cash component.

We engage in long-term and short-term holding of securities, trading, margin transactions, and
option buying and writing. We consider holding securities for at least a year as a long-term
strategy. Accounts in which securities are sold within thirty days are considered to be involved
in trading. Frequent trading may affect investment performance, particularly through increased
brokerage and other transaction costs and taxes. Dependent on client objectives, we may buy
or write covered or uncovered options and engage in spreading strategies and straddles. We
may also use stop or limit sell orders, which generally are orders to sell securities when a certain
price is reached. These orders are designed to limit losses on a position in a particular security.
We may provide investment advice relating to limited partnership interests in real estate and
other industries and in venture capital opportunities. We may also provide advice relating to the
structuring of account ownership, including using grantor trusts, tenancies-in-common, joint
tenancies, and co-tenancies.

Our general approach to managing equity portfolios is to seek to identify investments with an
asymmetrical risk-to-reward profile. For clients who have engaged us to provide Discretionary
Money-Management Services, we develop a customized portfolio—combined with strategic

asset-allocation principles—to help the client to achieve his or her financial goals. The portion of
client accounts that is allocated to equities consists of three or four components:

   Core holdings generally account for approximately 25% of the equity component. The core
   holdings in a portfolio consist of common stocks and preferred stocks that have been selected
   using fundamental, bottom-up analysis with an emphasis on value and intermediate-term
   growth. Our research includes a combination of quantitative and financial-statement analysis
   performed by UAS personnel, technical analysis, and independent analyst research. Core
   positions held long are generally held for one to three years. This portion of the portfolio is
   implemented based on the valuation of the underlying securities.

   Core ETFs generally account for approximately 25% of the equity component but may
   comprise up to 50% of the equity component at any time. The core ETF portfolio will
   generally be correlated to the S&P 500® index as a benchmark, and the portfolio may be
   modified to include increased exposure to international securities, precious metals, small-
   capitalization issuers, and real-estate issuers (such as real-estate investment trusts). This
   portion of the portfolio will not have automatic stop or limit sell orders in place.

   Opportunistic and non-core positions generally account for up to 50% of the equity
   component. Opportunistic and non-core positions are general shorter term in nature, with a
   duration that typically ranges from a few weeks to twenty-four months, depending on current
   market conditions. Opportunistic and non-core positions may enable us to take advantage
   of industry and sector trends, momentum plays, and swing-trading opportunities that may
   arise as a result of economic and world events. While the quality of our internal research is
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