Garlikov Advisors Inc

Item 5 – Fees and Compensation

Insurance Contract Accounts: GARLIKOV ADVISORS, INC. is entitled to an annual
advisory fee for each Insurance Contract Account calculated on the total account value
of the Insurance Contract. The management fees for Insurance Contract Accounts are
billed in arrears as of the contract anniversary date. Fees will be prorated if the
Insurance Contract or the executed management agreement has been in effect for less
than a full year. This fee typically arises when the insurance contract management is
started or stopped at a time different from the policy anniversary date.

All Other Managed Accounts: GARLIKOV ADVISORS, INC. is entitled to a quarterly
advisory fee computed on the fair market value of the assets under management in
All Other Managed Accounts. Fees for All Other Managed Accounts shall be billed
quarterly, in arrears, based on the fair market value of the All Other Managed Accounts
as of the last business day of each calendar quarter. The quarterly fee shall equal 25%
of the Annual Fee set forth in chart below. Fees will be pro-rated if services commence
or terminate on a day other than the first or last day of a calendar quarter. Except for
insurance and annuity managed accounts, client fees will be drafted automatically
from their investment advisory accounts unless otherwise noted by the client. In all
cases, the client affirms in writing, the Advisor’s ability to draft fees from the client’s
account.

Fixed Income Only Accounts: Insurance Contract Accounts and All Other Managed
Accounts where 90% or more of the assets are permanently or passively invested in
fixed income instruments, including individual bonds or CDs, fixed income mutual
funds, or money market funds, are billed at a reduced rate. The management fee for
Fixed Income Only accounts is 0.25% annually based on the fair market value of assets
under management. This fee is subject to a minimum $500 annual fee. The account’s
billing method will be based on whether the assets are in an Insurance Contract or
Other Managed Account.

For purposes of calculating the advisory fee for Insurance Contract Accounts, All Other
Managed Accounts, and Fixed Income Only Accounts, the total account value is
measured on the basis of the total household account value of the client. Connected
household accounts must be identified and agreed on in advance by the

                                                                   PART 2A OF FORM ADV

client and GARLIKOV ADVISORS, INC. Any account for which fees are unpaid will not
count toward the cumulative total account value base until all fees are paid.

GARLIKOV ADVISORS, INC. reserves the right to bill for finance charges on outstanding
invoices that are greater than 30 days in arrears. GARLIKOV ADVISORS, INC. reserves
the right to negotiate finance charges for late invoices.

The annual fee shall be determined in accordance with the following table:

 Account Value                             Fee on Account Value
 Up to $50,000                             $500
 Between $50,000 and $1,000,000            1%

 Between $1,000,000 and $2,000,000         1% on 1st $1M; 0.5% on excess

 Between $2,000,000 and $3,000,000         1% on 1st $1M; 0.5% next $1M; 0.3% on
                                           excess
 Between $3,000,000 and $10,000,000        1% on 1st $1M; 0.5% next $1M; 0.3% on
                                           next $1M; 0.25% on excess
 Over $10,000,000                          Fee mutually agreed upon by client and
                                           GARLIKOV ADVISORS, INC.

Fees charged by GARLIKOV ADVISORS, INC. are separate and distinct from the fees
charged by mutual funds or ETFs, including transaction fees charged by the account
custodian where the client assets are held. Fees for these investment vehicles are
outlined in the fund's prospectus, which clients should review carefully. Mutual funds
and ETFs will charge an annual operating expense that is deducted directly by the
fund's manager prior to reporting performance. Mutual funds may also charge separate
12b-1 fees, which are not remitted to GARLIKOV ADVISORS, INC. in any form.

Fees charged by GARLIKOV ADVISORS, INC. are separate and distinct from any
commission, load, or other expense associated with the purchase of variable life
insurance through GARLIKOV & ASSOCIATES, INC., Simplicity Investments, Inc.
(“Simplicity”) or other insurance accounts or carriers.