The Ellerson Group Inc

Fees and Compensation
   Description
       THE ELLERSON GROUP, INC. bases its fees on a percentage of assets under
       management and hourly charges.
        Fees are negotiable.

                                   The Ellerson Group, Inc.

Fee Billing
     Investment management fees are billed quarterly, in advance, meaning that we
     invoice you at the beginning of the three-month billing period. Payment in full is
     expected upon invoice presentation. Fees may be deducted from a designated client
     account to facilitate billing. The client must consent in advance to direct debiting of
     their investment account.
     Compensation for Financial plans are part of the advisory fees.

Other Fees
    Custodians may charge transaction fees on purchases or sales of certain mutual funds
    and exchange-traded funds. These transaction charges are usually small and
    incidental to the purchase or sale of a security. The selection of the security is more
    important than the nominal fee that the custodian charges to buy or sell the security.
     THE ELLERSON GROUP, INC., in its sole discretion, may waive its minimum fee
     and/or charge a lesser investment advisory fee based upon certain criteria (e.g.,
     historical relationship, type of assets, anticipated future earning capacity, anticipated
     future additional assets, dollar amounts of assets to be managed, related accounts,
     account composition, negotiations with clients, etc.).
     New Advisory Service Agreement fees are calculated on a formula basis and adjusted
     for complexity of individual situations.

Expense Ratios
    Mutual funds generally charge a management fee for their services as investment
    managers. The management fee is called an expense ratio. For example, an expense
    ratio of 0.50 means that the mutual fund company charges 0.5% for their services.
    These fees are in addition to the fees paid by you to THE ELLERSON GROUP,
    INC..
     Performance figures quoted by mutual fund companies in various publications are
     after their fees have been deducted.

Past Due Accounts and Termination of Agreement
     THE ELLERSON GROUP, INC. reserves the right to stop work on any account that
     is more than 30 days overdue. In addition, THE ELLERSON GROUP, INC. reserves
     the right to terminate any financial planning engagement where a client has willfully
     concealed or has refused to provide pertinent information about financial situations
     when necessary and appropriate, in THE ELLERSON GROUP, INC.’s judgment, to
     providing proper financial advice. Any unused portion of fees collected in advance
     will be refunded within 30 days.

                                The Ellerson Group, Inc.

Types of Clients
    Description
        THE ELLERSON GROUP, INC. generally provides investment advice to
        individuals, pension and profit sharing plans, trusts, estates, or charitable
        organizations, corporations or business entities.
         Client relationships vary in scope and length of service.

    Account Minimums
        The minimum account size is $1,000,000 of assets under management, which equates
        to an annual fee of $13,250.
         THE ELLERSON GROUP, INC. has the discretion to waive the account minimum.
         Accounts of less than $1,000,000 may be set up when the client and the advisor
         anticipate the client will add additional funds to the accounts bringing the total to
         $1,000,000 within a reasonable time. Other exceptions will apply to employees of
         THE ELLERSON GROUP, INC. and their relatives, or relatives of existing clients.
         Clients with assets below the minimum account size may pay a higher percentage rate
         on their annual fees than the fees paid by clients with greater assets under
         management.

Methods of Analysis, Investment Strategies and Risk of Loss