US Capital Wealth Advisors LLC

ITEM 5 – FEES AND COMPENSATION

How We Are Compensated

The Firm is primarily compensated through the asset-based fees charged to clients for advisory
services. The specific fees charged to a client generally range from 0.75% to 2.0%, are
negotiable and vary from client to client. Fee information is disclosed in the agreement executed
between the Firm and the client. The maximum allowed USCWA asset-based fee that a client
can be charged is 3% of the assets subject to the fee. USCWA’s Financial Advisers, with
supervisory oversight, are responsible for determining the rate charged to each client based on
factors such as total amount of assets involved in the relationship, selection of program and
services, any base rate charged for selected third-party advisory programs, and complexity and
mix of the portfolio. This results in accounts of similar type and make-up being charged different
fees. Different fees, including lower fees, are sometimes negotiated on a case-by-case basis with
clients. Accounts that have tiered fee schedules will have such schedules listed in the client
agreement. Employees of the Firm are sometimes charged reduced and/or no fees.

Clients receiving financial planning services will be charged a fixed fee separate and apart from
the asset-based fees described above. For general advisory services, clients can be billed a fixed
or an asset-based fee. There also are sometimes other charges related to services that are
provided and agreed to by the Client. Financial planning fees are generally determined based on
factors such as the complexity of the plan, the amount of time anticipated to develop the plan,
expectations of the client as well as various other factors. USCWA Financial Advisers receive a
portion of the asset-based fees and the financial planning fees charged by USCWA.

Page 10 of 48          U.S. Capital Wealth Advisors, LLC Form ADV Part 2A   Rev. March 30, 2026

Fee Payment Processes

Generally, clients will pay fees quarterly in advance through automatic deductions from their
accounts based on the total eligible assets under management (though the fee can be taken from
another account at USCWA or the client can request that fees be invoiced). Some accounts pay
fees on a monthly basis. Fee-based services on assets or accounts held away from the Firm’s
primary custodians will generally be invoiced and paid by check or authorized debits to one of the
client’s accounts with the Firm as agreed to with the client. Clients can choose either option.

USCWA’s advisory fees are generally calculated based on quarter-end valuations generally
provided by the custodian, though in some cases they are provided by an External Manager or
another outside source. In some cases where an updated valuation is not available, the cost basis
will be used. The advisory fee charged by the Firm will apply to all the client’s assets under
management (including assets managed by External Managers, private placements with limited
liquidity and assets purchased using margin), unless specifically excluded or provided for in the
client agreement. Fees are calculated by taking the total assets in a client’s accounts at quarter-
end, multiplying by the fee rate, dividing by 365, and multiplying by the number of days in the
quarter. Fee-based accounts opened in the mid-quarter will be assessed a pro-rated amount
based on the number of calendar days remaining in the quarter. This pro-rated fee will be charged
in the following quarter. If a client deposits or withdraws assets (cash and/or securities) with a
market value of one hundred-thousand dollars ($100,000) or more in an account on any given
day after the inception of a calendar quarter any additional amount will become subject to
additional fees, while any redeemed amount will result in a refund of fees. For some accounts
advisory fees are calculated based on the average daily balances. These fees are calculated by
taking the annual fee rate and multiplying it by the average daily balance for the month and
dividing that by twelve to determine the fee for the month. No calculations are made for additions
or subtractions from the account since these will be reflected in the average daily balance number.

Other types of fee arrangements are also be made with clients. These will be outlined in the
agreement between USCWA and the client.

If External Managers are utilized, there will usually be additional fees. The method for calculating
these fees, including whether they are paid in advance or arrears, what value they are based on,
and how they are paid will be disclosed separately.

Financial planning and other fixed fees are invoiced in accordance with the written agreement
with the client. Financial planning fees are typically paid at the beginning of the relationship and
annually thereafter as the client renews the service. There is also the option to pay the fees
monthly or quarterly.

Other Types of Fees and Expenses

Clients will be charged ticket or transaction charges and other administrative and service fees
based on the activity in their accounts. Such administrative and service fees include account-
related fees such as annual custody fees, mutual fund and ETF expenses, wire fees, IRA
maintenance and termination fees, transfer of account fees, mailgram fees, reorganization fees,
service fees, DRS and certificate related fees, legal transfer and return fees, fees related to ACH,
debit, and checking features, stop payment and bounced check fees, and trade extension fees.

Page 11 of 48          U.S. Capital Wealth Advisors, LLC Form ADV Part 2A   Rev. March 30, 2026

Some of these fees are directly passed on to clients from the custodian. In other cases, USCWA
imposes a charge or adds to the custodian’s charge. Your Financial Adviser does not share in any
revenue from these charges. See Item 12 Brokerage Practices for more information.

Clients will also be responsible for the following costs, which will often be priced into their
...

ITEM 7 – TYPES OF CLIENTS

The Firm offers investment advisory services to individuals, high net-worth individuals, family
offices, trusts, estates, charitable organizations, business entities, and retirement/profit-sharing
plans. All fee-based accounts opened with USCWA are considered Firm advisory accounts and
generally require an initial minimum portfolio value of $50,000, though the Firm, at its discretion,
will accept accounts below this minimum.

Page 14 of 48           U.S. Capital Wealth Advisors, LLC Form ADV Part 2A   Rev. March 30, 2026

Regarding when we provide advice to clients regarding their retirement plan account or individual
retirement account, we are fiduciaries within the meaning of Title 1 of the Employee Retirement
Income Security Act and/or the Internal Revenue Code, as applicable, which are laws governing
retirement accounts. The way we make money creates some conflicts with the client’s interests,
so we operate under a special rule that requires us to act in the client’s best interest and not put
our interest ahead of the interest of our clients.

Under these special provisions for retirement plan accounts and individual retirement accounts,
we must meet a professional standard of care when making investment recommendations (give
prudent advice); never put our financial interests ahead of clients when making
recommendations (give loyal advice); avoid misleading statements about conflicts of interest,
fees and investments; follow policies and procedures designed to ensure that we give advice
that is in client’s best interest; charge no more than is reasonable for our services; and give
client basic information about conflicts of interest.