Bankers Life Advisory Services Inc

Item 5 – Fees and Compensation

    Portfolio Management Services

    The annual fee for Portfolio Management Services ranges from 0.50% to 2.5%. Fees are
    negotiable. Pershing will deduct our fee from your brokerage account quarterly in advance;
    however, for the initial fee deduction, Pershing will deduct our fee at the beginning of the quarter
    following the establishment of the account and will include a prorated fee for the initial quarter
    in addition to the quarterly fee for the upcoming quarter. Subsequent fee deductions will be
    made at the beginning of each quarter based on the value of the account assets as of the close
    of business on the last business day of the preceding quarter. Certain accounts may establish
    procedures to pay our fee directly rather than through a debit to the account. The fee schedule
    may vary based upon portfolio size and other business considerations. You may terminate this
    service at any time and a refund will be made on a pro-rata (by day) basis of any fees paid in
    advance.

    Non-Discretionary Investment Consulting Services

    BLAS generally charges a fee for its Investment Consulting Services on an hourly rate basis, as set
    forth in an Investment Consulting services contract between you and BLAS. BLAS, in its sole
    discretion, may reduce or waive its Investment Consulting Services fee based upon certain criteria
    (i.e. anticipated future earning capacity, anticipated future additional assets, related accounts,
    implementation of recommendations with BLAS affiliates, negotiations with client, etc.).

Retirement Plan Consulting Services

    Fees for the Retirement Plan Consulting Services ("Fees") are negotiable. The Fees will be determined
    by reference to the value of assets held in custody by the Plan's custodian and will represent a pro rata
    portion of an annual fee based on the value of such assets as set forth below.

               Account Assets                             Maximum BLAS Retirement Plan
                                                                Consulting Fee

               Greater than $4 million                                  0.30%

               $2 million to $4 million                                 0.40%

               $1 million to $2million                                  0.50%

               $1 million and below                                     1.25%

    We may modify or change the Fees specified herein but only upon notice to and acceptance by Sponsor
    pursuant to the terms of the agreement. The Fees will be based on the value of the assets held in custody
    by the Plan's custodian as of the last business day of the preceding fee period and will be payable in full
    within thirty (30) days from the date of our invoice.

    Depending upon the capabilities and requirements of the Plan’s recordkeeper or custodian, we may
    collect our Fees in arrears or in advance. Typically, Sponsors instruct the Plan’s recordkeeper or custodian
    to automatically deduct our Fees from the Plan account; however, in some cases a Sponsor may request
    that we send invoices directly to the Sponsor or recordkeeper/custodian.

    Sponsors receiving Retirement Plan Consulting Services may pay more than or less than a client
    might otherwise pay if purchasing the Retirement Plan Consulting Services separately or through another
    service provider. There are several factors that determine whether the costs would be more or less,
    including, but not limited to, the size of the Plan, the specific investments made by the Plan, the number
    of or locations of participants, the Retirement Plan Consulting Services offered by another service
    provider, and the actual costs of Retirement Plan Consulting Services
    purchased elsewhere. In light of the specific Retirement Plan Consulting Services offered by BLAS, the Fees
    charged may be more or less than those of other similar service providers.

    In determining the value of Plan assets for purposes of calculating any asset-based Fees, BLAS will rely
    upon the valuation of assets provided by Sponsor or the Plan’s custodian or recordkeeper without
    independent verification. If, however, there are circumstances which, in BLAS’ judgment, render the
    custodian’s valuation inaccurate in which case BLAS will value securities listed on any national securities
    exchange at the closing price on the principal exchange on which the securities are traded and will value
    any other securities in a manner determined in good faith by BLAS to reflect fair market value. In all
    events, any such valuation will not be any guarantee of the market value of any of the assets in the Plan.

    Unless we agree otherwise, no adjustments or refunds will be made in respect of any period for (i)
    appreciation or depreciation in the value of the Plan assets during that period or (ii) any partial withdrawal
    of assets from the Plan during that period. If the Retirement Plan Consulting Services Agreement is
    terminated by us or by the Sponsor, we will refund certain Fees to the Sponsor to the extent provided
    under the terms of such agreement. Unless we agree otherwise, all Fees shall be based on the total value
    of the assets in the Plan without regard to any debit balance.

    Potential Conflicts of Interest:

    Securities transactions for BLAS’ Portfolio Management Services clients are executed by Pershing through
    a brokerage account held at Pershing on behalf of BLS, the introducing broker-dealer for your account,
    and an affiliate of BLAS. Pershing is the clearing broker and custodian for your account.

    We receive compensation as a result of our providing investment advisory services to our clients.
    Depending on, among other things, the size of the account, changes in its value over time, the ability to
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Item 7 – Types of Clients

     We offer Portfolio Management and Investment Consulting Services primarily to mass affluent
     individuals and high-net worth individuals.

     Our Retirement Plan Consulting Services are available to clients that are Sponsors or other fiduciaries to
     Plans, including 401(k), 457(b), 403(b) and 401(a) plans. Plans include participant- directed defined
     contribution plans and defined benefit plans. Plans may or may not be subject to ERISA.

     Minimum Account Size
     We do not require a minimum account size for opening or maintaining Portfolio Management Services
     account or with respect to our Investment Consulting Services or Retirement Plan Consulting Services.
     However, outside managers in BLAS Wrap Fee Programs may impose a minimum account size for opening
     or maintaining an account. Please consult BLAS’ Wrap Fee Program Brochure(s) for further information.