Fees and Compensation — Form ADV Part 2A (3/31/2026)
[Brochure]
Item 5 – Fees and Compensation
ISCO does not charge Clients a fee for producing an RIS nor does it charge prospective investors for its referral
services. The fees prospective investors may pay at Schwab are disclosed separately by Schwab; however,
prospective investors do not pay additional fees at Schwab on the basis of having been referred by ISCO.
Additional information about ISCO’s compensation arrangement with Schwab may be found in Item 14.
ISCO’s licensed representatives do not receive commissions for either producing an RIS or for referring
prospective investors to Schwab. ISCO’s representatives do receive a salary for the performance of their
regular job duties and responsibilities which consist of referral activities, providing advice, and for the work
they do on behalf of USAA-affiliated life insurance companies, and they may be eligible to receive corporate
bonuses. Representatives have performance objectives that include referrals, which are attained by referrals to
certain of ISCO’s affiliates as well as to Schwab, and annuity sales, life insurance sales, and RIS delivery goals.
Representatives may refer individuals to certain third-party (non-affiliated) service providers for which a
USAA affiliate, which may include USAA Life Insurance Company and certain of its affiliates, earns
compensation, but the representatives themselves do not earn any compensation.
Achievement of performance objectives is the principal consideration when evaluating representatives
for pay increases and promotions and is a factor in determining corporate bonus eligibility and selection for
certain development opportunities. Additionally, ISCO’s licensed representatives may receive quarterly incentive
payments based on the representatives’ individual performance with respect to attaining annuity sales goals and,
in certain calendar quarters, attaining goals related to internal referrals (i.e., referrals to USAA affiliates) that vary
each calendar quarter. The criteria for quarterly incentive payments do not include referrals to Schwab, or RIS
delivery or life insurance sales goals.
The compensation structure gives ISCO’s representatives an incentive to make a referral to Schwab but does not
provide an incentive for ISCO representatives to make a referral to one provider over another. Further, the
compensation structure also gives ISCO’s representatives an incentive to provide an RIS and make a referral to
one of USAA’s affiliates as well as, when acting as insurance agents for USAA-affiliated life insurance companies,
an incentive to offer annuities and life insurance.
Account Minimums and Types of Clients — Form ADV Part 2A (3/31/2026)
[Brochure]
Item 7 – Types of Clients
ISCO’s RIS is made available to USAA members1 and individuals from the general public who contact ISCO by
phone to discuss retirement and retirement-related questions. ISCO’s referral services are made available both via
phone and online to those inquiring about investment products and services and, for Schwab, through emails to
members who may be interested in learning more about Schwab’s products and services. Given the limited scope
of ISCO’s business operations—and the fact that ISCO does not itself perform investment management or account
management services—ISCO only provides services to members and individuals from the general public as
described in this Brochure.