For Use in Financial Planning Engagements. PART I. GENERAL INFORMATION: (Code reference Rule 401)

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1 CFP CERTIFICANT DISCLOSURE FORM (FORM FPE) For Use in Financial Planning Engagements PART I. GENERAL INFORMATION: (Code reference Rule 401) A. B. Business affiliation: AIS Financial Services, Inc. d/b/a AIS Financial Address: 1311 Live Oak Street, Commerce, Texas C. Telephone number: (903) D. Information required by all laws applicable to the relationship (e.g., if the CFP certificant is a registered investment adviser, the disclosure document required by laws applicable to such registration): The current revision of the CFP Certificant Disclosure you received when your relationship with J. Russell Armstrong, CFP began. PART II. MATERIAL INFORMATION RELEVANT TO THE PROFESSIONAL RELATIONSHIP (Written disclosures required to be provided prior to the engagement Code reference Rule 402) A. LPL Financial Affiliation: J. Russell Armstrong, CFP is an Investment Representative and Investment Advisor Representative (IAR) for LPL Financial. LPL Financial is a registered investment advisor (RIA) and broker/dealer. B. Basic philosophy of the CFP certificant (or firm) in working with clients: My approach to personal financial planning is to obtain from you significant financial and other information including your attitudes, goals, and objectives; to analyze the information obtained in order to develop alternatives for your consideration; to educate you about the implications of selecting a particular alternative. It is my goal to become your chief financial adviser and to coordinate the efforts of your other advisors in your best interests. I want you to be educated about your own financial affairs and to take an active role in managing them. C. Philosophy, theory and/or principles of financial planning which will be utilized: My philosophy of financial planning is to gather adequate reliable information about a client s personal financial situation; to determine the client s goals and objectives, time horizon, and risk tolerance; to analyze all of the foregoing information in an objective manner and to develop recommendations for my clients based upon this thorough analysis and in their best interest. In a personal financial planning engagement, I endeavor to consistently act in the interest of my client and to place his or her interest ahead of my own. Moreover, I believe that a client should be both informed and proactively involved in his or her personal financial affairs. Accordingly, I believe in holding frequent meetings with my clients to educate them about the financial planning process and their own financial situation.

2 D. Summarized in the space provided below, are résumés of principals and employees of the CFP certificant s firm who are expected to provide financial planning services: Resume of J. Russell Armstrong, CFP 1. Educational background: Diploma, Bonham High School, Bonham, Texas 1978 Bachelor of Business degree in Finance from East Texas State University, Commerce, Texas, 1981 Diploma, The Southwestern Graduate School of Banking, Southern Methodist University, Dallas, Texas 1990 Diploma, College for Financial Planning, Denver, Colorado, 1997 National Institute For Estate Planners, Las Vegas, NV Professional / employment history: Following college, I was employed by various banks for over 12 years, primarily in the capacity of a lending officer. I became an Investment Representative for BSC Securities, L.C. in April of In December of 1998, I opened AIS Financial Services. I am currently registered with LPL Financial, Member FINRA/SIPC. 3. Professional designations and licenses held: Series 63 (State Law Exam) 1995 Group 01 insurance agents license, 1995 Group 04 variable contract agents license, 1995 NASD Series 7 (General Securities) license Certified Financial Planner TM License, 1998 NASD Series 24 (General Securities Principal) Investment Advisor Representative of LPL Financial 1999 Graduate Estate Planning Consultant (GEPC) 2003 Securities Licenses held with LPL Financial 4. Areas of competence and specialization: Investments & Analysis, Retirement Planning for both individuals and companies, Retirement Distribution Planning, College Planning, Goal Planning, Personal & Business Financial Planning, Insurance analysis, and Estate Planning. 5. Affiliations: The First National Bank of Emory, Emory, Texas - Chairman of the Board Commerce Independent School District - Trustee Texas A&M University - Foundation - Board Member The Financial Planning Association - Member The Fellowship of Graduate Estate Planning Consultants - Member Commerce Rotary Club Member

3 E. Description of the financial planning services to be provided by the CFP certificant: (Initial all appropriate boxes) This engagement is limited in scope to the following areas only: Asset Management Services through LPL Financial* Retirement Planning College Funding Estate Planning (Estate Tax Calculations) Life Insurance Planning (Life Insurance Needs Analysis) Long-term Care Planning (LTC Needs Analysis) Other Goal Planning Comprehensive Financial Plan Unless initialed, other types of personal financial planning services will not be performed. I understand the risks to my financial condition for being un-insured and/or underinsured (Life, Health, Disability and/or Long-term Care). Should I elect to not acquire this coverage, I agree to indemnify and hold harmless AIS Financial Services and/or J. Russell Armstrong, CFP for any and all future costs to me and/or my family as a result of the foregoing (under insured). Client Signature Client Signature *You have expressed interest in asset management services. These services include: 1) Analysis of your current financial condition, goals and objectives 2) Design of an investment portfolio appropriate to your individual circumstances, needs, goals, risk tolerance, investment experience and time horizon. 3) Monthly LPL statements, Quarterly performance reports. 4) Periodic meetings during the year (Annual, Semi-annual, or Quarterly) to review and update your objectives and financial status and provide an evaluation of your investment portfolio. 5) Ongoing monitoring of your investment portfolio. 6) Recommendations involving investment repositioning and current opportunities for new investments. 7) Availability of our professional staff to answer questions.

4 F. Conflict(s) of interest and source(s) of compensation: 1. Conflict(s) of Interest Depending on the circumstances and at the request of my client, I will prepare a detailed financial plan (WealthVision) and will charge a separate fee for this service. In addition, if the client implements the investment plan through LPL Financial as outlined in the detailed financial plan, the client will pay commissions and/or fees for the investments. 2. Source(s) of compensation: Commission. Part of my compensation is earned through commissions, which result from the implementation of my investment and/or planning recommendations through LPL Financial. Products offered through LPL Financial include mutual funds, stocks, corporate & tax-free bonds, certificates of deposit, fixed & variable annuities, and other types of securities, life insurance, and longterm care insurance. Fees. LPL Financial is a registered investment advisor (RIA) and broker/ dealer. I am a Registered Representative and Investment Advisor Representative (IAR) for LPL Financial. Separate fees may be charged for detailed financial plans and/or for asset based management platforms where the management fee is calculated as a percentage of the account value. Subscribers to idoc may pay separate annual fees for this service. 3. Contingencies or other aspects material to the certificant s compensation: I will not receive a commission unless you purchase the financial products recommended by me. G. Agency or employment relationships: 1. Material agency or employment relationships with third parties: Fixed annuity broker for various insurance companies away from LPL Financial. 2. Compensation resulting from such agency or employment relationships: 1-3% of the amount invested. H. Other material information relevant to the professional relationship: None.

5 PART III. ADDITIONAL NOTIFICATION A. As a client or prospective client, you have the right to ask me, as a CFP certificant, at any time for information about my compensation related to the services I provide you. I will communicate the requested information in reasonable detail as it relates to our financial planning engagement, including compensation derived from implementation. This disclosure of compensation: 1. May be expressed as an approximate dollar amount or percentage or as a range of dollar amounts or percentages; 2. Shall be made at a time and to the extent that the requested information can be reasonably ascertained; 3. Will be based on reasonable assumptions, with estimates clearly identified, and; 4. Will be updated in a timely manner if actual compensation significantly differs from any estimates. (Code reference Rules 402 and 403) B. As a CFP certificant s personal financial planning client, you have the right to receive annually my current SEC Form ADV Part II or the current revision of the disclosure you received when our relationship began. (Code reference Rule 404)

6 AIS FINANCIAL CFP DISCLOSURE FORM SIGNATURE PAGE I hereby acknowledge receipt of this required disclosure. / / Client s Signature Date Client s Signature Date Physical Address: 1311 Live Oak, Commerce, Texas Mailing Address: P.O. Box 677, Commerce, Texas Office Phone: (903) Fax Number: (903) Toll-Free: (877) Address: russell@jrussellarmstrong.com Web Address: Securities Offered Through LPL Financial Member FINRA/SIPC