Fees and Compensation — Form ADV Part 2A (3/31/2011)
[Brochure]
Fees and Compensation
Investment advisory services are offered for a percentage of assets under management.
LNL charges investment management fees daily at an annual rate based on a percentage of the
average daily net asset value attributed to each insurance product’s investment in the separate
accounts. LNL or its clients may terminate advisory services without penalty.
The following table shows LNL's basic fee schedule:
Separate Accounts Fees
SA #11, 12, 17, 20, 21, Up to 0.75%
23, 24, 28, 30, 32
SA #14 Up to 0.60%
SA #22 Up to 0.98%
Accounts may incur ongoing costs, such as distribution and/or service (12b-1) fees, fund
accounting expenses, custodial fees, brokerage and other transaction costs, administrative and
other fund expenses. The accounts themselves do not charge transaction fees, such as sales
charges (loads), redemption fees, or exchange fees although LNL, as the issuer of insurance
contracts, may charge such fees. Refer to the Brokerage Practices section for additional
information regarding brokerage costs.
LNL does not charge client fees in advance. LNL and its supervised persons do not accept
compensation including commissions and markups for the sale of securities or other investment
products.
Performance-Based Fees and Side-by-Side Management
LNL does not accept performance based fees.
Account Minimums and Types of Clients — Form ADV Part 2A (3/31/2011)
[Brochure]
Types of Clients
LNL provides investment advice to insurance company non-registered separate accounts.
Methods of Analysis, Investment Strategies and Risk of Loss
LNL oversees the investment strategies implemented by sub-advisers who manage its separate
accounts. The primary risks of those accounts would vary depending on the investment
objectives and strategies of each account. All accounts carry a certain amount of risk. Principal
risks may include market risk, growth stock risk, credit risk, interest rate risk and foreign
securities risk. Investing in securities involves risk of loss. Some of the accounts may engage in
frequent trading which can result in increased brokerage and other transaction costs affecting
investment performance.
AUM Breakdown
Accounts
AUM ($B)
By Client Type
(a) Individuals (other than high net worth individuals)
0
0.0
(b) Individuals (high net worth individuals)
0
0.0
(c) Banking or thrift institutions
0
0.0
(d) Investment companies
0
0.0
(e) Business development companies
0
0.0
(f) Pooled investment vehicles
0
0.0
(g) Pension and profit sharing plans
0
0.0
(h) Charitable organizations
0
0.0
(i) State or municipal government entities
0
0.0
(j) Other investment advisers
0
0.0
(k) Insurance companies
0
0.0
(l) Sovereign wealth funds and foreign official institutions
0
0.0
(m) Corporations or other businesses not listed above