LETTER OF UNDERSTANDING

Purpose: to attest to client's understanding of the scope of the financial services to be provided.

Capacity: Clients understand that Errold Moody is not registered as a securities registered representative though is registered as a Multi State adviser under the Series 65 license. Errold Moody conducts almost all investment business as a fee planner and all equity and bond transactions are through no load mutual funds where no registration is required or through independent B/D's. (See section below.)

Responsibility: Errold Moody will render those services as described in a separate contract for the fee outlined. Such specific references will supersede general sections herein.

Acknowledgment: That any work contracted is based on information provided by clients and Errold Moody is not responsible for verification of this information. Any documents required to be submitted for analysis must be made available within one month of request. Delay of this information may seriously impact the analysis and will result in additional charges necessitated by a re-review of clients' position.

Any recommendations are based upon judgment and Errold Moody cannot insure, guarantee or make assurances concerning the results of any action recommended.

That clients have read and understand all the information in this brochure including the full description of the background, experience, education, fees and methods of operation.

That Errold Moody does not give accounting or legal advice and that clients are not relying on him for advice in these matters.

Life insurance:

1. Premium quotations and coverage are controlled by the insurance company and may be subject to change. Errold Moody does not warrant or guarantee that a premium or coverage quoted by an insurance company will be identical to the ultimate premiums or coverage of the policy as issued by the company. There is no coverage promised or implied beyond the policy as written and endorsed. Your acceptance of the policy replaces all other agreements, either oral or written.

2. While Errold Moody can explain industry ratings of a company and alternate insurers, Errold Moody does not normally make any independent investigation of a specific company solvency or financial stability. Errold Moody does not warrant or guarantee that any insurance company will remain solvent, and Errold Moody will not be liable to any insurance applicant or insured for the failure or inability of an insurance company to pay claims.

3. Insurance companies rely on the truthfulness and accuracy of information provided in the application. It is your sole responsibility to complete the application accurately, and if the insurance company should deny a claim based on its contention that the application has not been truthfully or accurately completed, Errold Moody takes no responsibility for such inaccuracy.

Clients agree to defend, indemnify and hold Errold Moody harmless against any loss or liability which may arise from the applicant's failure to truthfully and accurately complete the application.

4. Errold Moody is an independent agent and will review numerous policies to identify a company with good ratings, acceptable cost and reasonable policy illustrations. However, it is doubtful that any one company will occupy the best of each category, so a compromise must probably be reached for the final selection.

Absent inadequate and inept analysis, clients agree to defend, indemnify and hold Errold Moody harmless if a separate policy is found having a highey anr rating or a lower cost or a better policy illustration..

Errold Moody is one of about 30 Life and Disability Insurance Analysts in California and,  through research.  probably the only fully licensed and legal Comprehensive Fee Financial Planner in California since at least 1998

Clients may request/select Errold Moody to assist in the implementation of any actions recommended. However all investment decisions are clients' alone. Errold Moody maintains no control of clients funds nor has discretionary authority for any investment. Clients retain full and absolute discretion over such decisions. Additionally, clients are not required to implement any recommendations with Errold Moody.

Errold Moody rarely uses computer programs to generate client plans or specific outputs regarding insurance, retirement planning, investments, etc. Almost all work is individually prepared by Errold Moody personally and therefore clients are relying almost solely upon his background, education and experience. Clients wanting a computer driven formal written plan should look elsewhere.

Clients understand that the information in this agreement and accompanying materials and Errold Moody's qualifications have not been approved the Securities Exchange Commission, the California Department of Corporations, FINRA, the California Department of Insurance, the California Department of Real Estate or any of the arbitration forums. In case of a dispute on a security transaction or contract, it is agreed by all parties that the grievance will be arbitrated through the National Association of Security Dealers or the American Arbitration Association, both in San Francisco. In the event there is a dispute over fees for such engagement, the clients agree to, in good faith, resolve the dispute through mediation by selecting a third party to help reach an agreement. If unable to resolve the fee dispute through mediation, client and Errold Moody agree to submit to resolution in accordance with the rules of the Better Business Bureau. Such arbitration shall be binding and final.

That Errold Moody has no other relationship with companies except as outlined in this document. There are no other business interests in the planning field on which he may receive a remuneration.

There will be no assignment of the contract without client's prior written authorization.