Advisory Firm Description SFMG, LLC, (“SFMG” or “Firm” or “we” or “us”) has collectively been in business since 1992. SFMG Wealth Advisors is collectively owned by Managing Directors; Ryan Blair, Kevin Margolis, J. Taylor Nipp, and Shashin Shah. In addition, as of January 1, 2022, the Executive Committee members Crystal Billing, Garrett Cayet, and Melissa Hawkins, and employees Devin DeLapp, Tyler Floyd, Nick Gaumer, and Shannon Pope have become equity stakeholders as well. SFMG is a Dallas area wealth management firm comprised of professionals with a variety of unique backgrounds and experiences. Our mission is to deliver unbiased advice while building client loyalty through extraordinary personal service. Our team offers high-touch, personalized wealth management for individuals and families in a variety of life stages. We approach each client relationship from a planning perspective, integrating our comprehensive financial planning process with the management of your investment assets. We see this as an ongoing, dynamic relationship rather than a one-time event. Our aim is to provide advice that meets your needs and is demonstrated through our core values to:
• Passionately protect our clients’ best interest
• Maintain objectivity and transparency
• Provide exceptional client service
• Approach decisions with discipline and analytical rigor
• Promote a culture of collaboration, diversity, and opportunity
• Encourage innovation and ongoing improvement, and
• Proactively impact our community Our wealth advisors serve as fiduciaries offering custom wealth management services for successful individuals who in most cases already have a trusted group of advisors from various disciplines, such as: tax accountants, attorneys, and insurance agents. Our role is not to supplant these services, but to coordinate and support them. The team of wealth advisors helps you execute a plan that brings everything together under one cohesive umbrella. By focusing on the big picture, we assist you in making the fundamental decisions that will best put you on a path to achieving your individual goals. This unique approach to wealth management surrounds you with a dedicated team of skilled professionals that can simplify your life and integrate all of your financial professionals and decisions. Types of Advisory Services We provide personalized Wealth Management services, which are comprised of both Financial Planning and Investment Management. Under very limited circumstances, we may provide Financial Planning or Investment Management services on a standalone basis as negotiated by the client. Our clients retain absolute discretion over all such implementation decisions and are free to accept or reject any recommendations from SFMG and/or its representatives. As a fiduciary, we listen to you and place your interest above the interest of the firm. We believe that before quality advice can be offered, it is essential to understand your goals. By listening closely to your concerns and plans for the future, we seek to create a strategy that can help you achieve your goals. Our wealth advisors develop a clear roadmap that fully leverages your available resources and circumstances to reach your objectives. Our personalized, tailor-made approach includes:
• Identifying and confirming your personal financial goals through open and frequent communication.
• Providing information and education on any risks, obstacles, and opportunities.
• Limiting the number of clients with which our advisors can partner to optimize the level of service you deserve. We strive to keep you informed every step of the way. To that end, we provide regular reviews and reports of your overall financial situation as well as your portfolio. Our team is always available to answer any questions or concerns you may have. Periodic meetings between you and your wealth advisor ensure that your goals, risk tolerance and objectives are discussed and up to date. Our wealth management services could include the following based on your individual circumstances, but is not limited to:
• Portfolio Management, including the use of o Mutual funds o Exchange Traded Funds o Alternate investments o Private Equity o Private Credit o Individual Securities o Subadvisors
• Estate/Charitable Planning, including working with: o Estate attorneys o Charities and foundations

o Trustees
• Borrowing, including working with, or identifying: o Bankers o Mortgage brokers
• Taxes and Accounting, coordinating with: o CPAs o Tax attorneys o Third party retirement plan administrators
• Insurance, including working with or identifying: o Life and health companies o Insurance brokerage firms o Fringe benefit providers The scope of our planning services is customized based on the individual needs of our the client and could include the following:
• Net Worth/Cash Flow Statements We evaluate your current assets and liabilities, as well as all income and expenses. We also consider potential inheritances, salary changes, or major one-time expenses.
• Retirement Planning We utilize a sophisticated set of tools to measure and analyze various assumptions on retirement dates, savings rates, longevity expectations, and market conditions.
• Tax Planning We work in concert with your tax professional to identify any areas of opportunity that might impact your current and future tax situation.
• Insurance Planning We work with your insurance agents to review and coordinate coverage for homeowners, auto, liability, disability, life, health, and long-term care insurance.
• Estate Planning and Asset Protection We work with your attorney to provide a plan that seeks to protect and distribute your assets to heirs according to your wishes with the goal of minimizing taxes and expenses.
• Education Planning We advise you on how much to set aside and how to leverage the tax-advantaged education saving options.
• Business owners We assist you in evaluating employee benefits packages, succession planning strategies, and how to integrate the business’ value in your overall planning.
• Corporate Benefits We assist clients at the corporate executive level on how to integrate the exercise of stock options while seeking to minimize the tax implications. We also assist with the review and implementation of other corporate benefits.
• Charitable Planning We compare solutions ranging from donor-advised funds to private foundations. We then help you direct your giving through tools that seek to provide the maximum impact for your selected charitable causes and attempt to maximize your tax benefit. The process of constructing your investment portfolio takes into consideration your financial objectives, the timeline for reaching your goals, and the return expectations. Our advisors create a portfolio that considers tax and cash flow factors. Our goal is to provide you with a portfolio that is more responsive to market risks and aligns with your financial plan. Our investment management process is to:
• Determine your risk tolerance
• Establish your Investment Policy Statement (“IPS”)
• Invest your portfolio consistently with your IPS
• Make tactical changes reflecting economic and market conditions
• Review your portfolio’s quarterly performance
• Conduct periodic meetings with you to review your risk tolerance and objectives Please see the “Methods of Analysis, Investment Strategies and Risk of Loss” section below for more details. Tailored Advisory Services We tailor each financial plan and our investment management recommendations to you. You may restrict us from buying or selling particular investments in your portfolio. These restrictions may be changed at any time by notifying us in writing. Consultations In addition to financial planning and investment management, we provide individualized consultations on selective financial matters to clients. Clients are charged an hourly or fixed rate for this service. Refer to Item 5 for information regarding our consultation fees. Wrap Fees We do not participate in any wrap fee programs in which investment management and transaction fees are “wrapped” into one fee. Sub-Advisory Arrangements SFMG uses sub-advisors to assist and provide advisory services in the capacity of sub-advisor for certain clients to manage a portion of their assets in a manner consistent with the client’s financial circumstances, investment objectives and risk tolerance. Client Assets Under Management As of December 31, 2023, SFMG managed approximately $2,248,640,269 of client assets. Approximately $2,056,409,523 is managed on a discretionary basis, and approximately $192,230,745is managed on a non-discretionary basis.