Cooperative Funeral Fund Inc

Item 5 - Fees and Compensation
      Management Fees Charged by CFF

      CFF earns a fee based on a percentage of assets under management, which is
      directly deducted from client assets monthly in arrears based on the account
      value on the last day of the previous month. Management fees are prorated for
      each capital contribution and withdrawal made during the applicable month
      (with the exception of de minimis contributions and withdrawals, as determined
      by CFF). Accounts initiated or terminated during a month will be charged a
      prorated fee.

      Account fees for Funeral Services Escrow Agreements vary based on the client’s
      assets under management and any individual state regulations that may apply
      and are billed monthly based on the client’s portfolio value at the completion of
      the prior full billing month. Our general fee schedule is:

                  Funeral Services Escrow Account Management Fees
             Assets Under Management               Fee Percentage
                   $0 to $650,000                       1.15%
                $650,001 and above                      1.00%

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      CFF may, in its sole discretion, offer introductory rates that vary from the fee
      schedule above when entering new markets, but the foregoing fee schedule is
      not negotiable. However, as noted above, fees may vary slightly from the
      schedule based on regulatory restrictions in individual states.

      Cemetery Escrow Agreement Fees

      Account fees for Cemetery Escrow Agreements are equal to 1.10% of the
      amount of assets under management and are billed monthly, in arrears, based
      on the client’s portfolio value at the completion of the prior full billing month.
      The fee for Cemetery Escrow Agreements is not negotiable.

      Compensation from the Sale of Insurance

      CFF serves as a managing general agent (“MGA”) for an insurance company. As
      an MGA, CFF assists in underwriting insurance policies and receives
      compensation for these efforts- from National Guardian Life Insurance
      Company. In addition, CFF’s principal receives a commission over-ride, in lieu
      of an ongoing asset-based fee, on the sale of insurance products to clients who
      wish to use those types of products to fund their obligations under pre-need
      service agreements or merchandise sales. Thereceipt of these commissions and
      other compensation presents a conflict of interest in that it creates an incentive
      for CFF to recommend investment products based on the receipt of
      commissions and compensation to CFF and our principal rather than the needs
      of the client. Clients may purchase insurance products that CFF’s principal
      recommends through any broker, agent, or insurance company the client
      desires.

      Other Fees & Expenses

      The majority of CFF’s clients are cemetery trust accounts. In addition to the fees
      charged by CFF, these accounts are also subject to trustee fees. In Wisconsin,
      Regions Bank serves as the trustee for the accounts CFF manages. In the rest of
      the country, First State Bank serves as the trustee for these trust accounts. In
      addition to CFF’s fee, the trust accounts will also have expenses and fees payable
      to the trustee/escrow agent, which are disclosed in the Funeral Services Escrow
      Agreement and/or Cemetery Escrow Agreement. Clients are also charged
      incidental fees such as postage for tax documents that CFF sends out.
      Additionally, upon termination, clients are charged for any costs that arise as a
      result of the termination of the agreement, such as a client termination and cash
      out resulting in CFF having to sell a Treasury security at a loss to- generate the
      cash to distribute the client’s investment. Fees relating to the annual audits of
      the escrow trust accounts that invest in CFF’s investment strategies are paid
      from the respective escrow trust accounts’ assets.

      CFF’s fees are exclusive of brokerage commissions, transaction fees, and other
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      related costs and expenses which shall be incurred by the client.
      Clients may incur certain charges imposed by custodians, brokers, third- party
      investment managers and other third parties such as management fees,
      custodial fees, deferred sales charges, transfer taxes, wire transfer and
      electronic fund transfer fees, and other fees and taxes on brokerage accounts
      and securities transactions. Mutual funds and exchange traded funds also
      charge internal management fees, which are disclosed in a fund’s prospectus.
      Brokerage firms may charge a mark-up or mark-down for the purchase of US
      Treasury Bonds. Such charges, fees and commissions are exclusive of and in
      addition to CFF’s fee.

      Please refer to Item 12 - Brokerage Practices for additional information
      relating to brokerage and other transaction costs.

      Termination of Agreement

      At termination, fees payable to CFF will be billed on a pro rata basis for the
      portion of the month completed and be charged termination costs as noted
      above.

Item 7 - Types of Clients

      CFF provides investment advice to funeral homes, cemeteries, and monument
      companies. Most client accounts are set up as trusts. In Wisconsin, Regions
      Bank serves as the trustee for these trusts while First State Bank serves as the
      trustee in the rest of the country. Client relationships vary in scope and length
      of service, however, CFF does not have any minimum required amounts to start
      a trust.

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