1 Make the Most of Your Investments for College

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Disclosure statements

EdVest 529 portfolio investments involve risks, including the possible loss of principal. Consult a program description for additional information on risks.

An investment in the Wells Fargo Money Market Portfolio or the Bank CD Portfolio is not insured or guaranteed by the FDIC or any other government agency. Although these Portfolios seek to preserve the value of your investment at $10.00 per share, it is possible to lose money by investing in these Portfolios. Bank CD Portfolio account owners do not have an ownership interest or any other rights as an owner of CDs in which the Bank CD Portfolio invests. Consult the program description for additional information on these and other risks.

An investor’s or a designated beneficiary’s home state may offer state tax or other benefits that are only available for investments in that state’s qualified tuition program. Please consider this before investing. Carefully consider the investment objectives, risks, charges, and expenses of EdVest before investing. For a current program description, containing this and other information, call 1-888-338-3739 or visit EdVest.com. Read it carefully before investing.

EdVest

is a state-sponsored 529 college savings plan administered by the State of Wisconsin. Wells Fargo Funds Management, LLC, a wholly owned subsidiary of Wells Fargo & Company, provides investment management and administrative services for the

EdVest

plan. Shares in the program are distributed by

Wells Fargo Funds Distributor, LLC

, Member FINRA/SIPC, an affiliate of Wells Fargo & Company. 206859 01-12

NOT FDIC INSURED



NO BANK GUARANTEE



MAY LOSE VALUE FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Agenda

 The importance of planning ahead  Different college investing options  What are 529s all about?

 The

EdVest

Plan    Benefits of

EdVest

SAGE Scholars Tuition Rewards ® Investment options  Expenses and sales charges Program

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

“Increased earnings are by no means the only positive outcome of higher education. The knowledge, fulfillment, self-awareness, and broadening of horizons associated with education transform the lives of students and of those with whom they live and work.”

- The College Board,

“Education Pays,” 2010

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

The need for effective college planning

The rising costs of a four-year degree

 Tuition, books, room & board add up quickly $500,000 $400,000 $300,000 $200,000 $100,000 $0 2012 2014 2016 2018 2020 2022

Private University

2024 2026 2028 2030

$454,439 $210,873

Costs based on 2011-2012 estimate of average tuition, fees, and room and board in current dollars for 4-year public and private universities according to the

2011 Trends in College Pricing

published by the College Board. Projected pricing assumes a 6% annual increase in college costs.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

The power of planning ahead

$350 $300

Invest now or borrow later:

To cover $25,000 in college expenses, investing for 10 years before college is a lot cheaper than paying back loans for 10 years after college.* $250 $200 $150 $100 $50 Advantage of investing vs. student loans

$165.56/month

$135.75

$301.31

$0 Monthly investment Monthly loan repayment *Assumptions: Total cost of college $25,000; 8% annual return on savings and 8% loan interest rate, compounded monthly; 10-year investing period and 10-year loan payback period. Annual return does not represent the performance of any specific investment.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Putting time on your side

Regular contributions of any amount can really add up over time.

This chart shows an account with monthly contributions over a 10-year period.

$100,000 $80,000 $60,000 $40,000 $20,000 $0

$23,021

$

301.31

$46,041 $92,083 $125 per month $250 per month $500 per month

A program of regular investment cannot assure a profit or protect against a loss in a declining market.

This hypothetical illustration assumes an average annual return of 8%. Annual return does not represent the performance of any specific investment.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Comparing a 529 to other investments

How Much Can You Contribute? Who Controls the Account? Tax Treatments Restrictions on Using the Money

 

EdVest

 Up to $330,000 Account owner  Federal and Wisconsin state tax-free growth when used for qualified withdrawals  Up to a $3,000 deduction from taxable Wisconsin income per eligible family members, per year Withdrawals are tax-free when used for qualified education expenses  

UGMA/UTMA

Unlimited contributions  Custodian, until the student reaches the age at which the custodianship ends (varies by state)  Some investment earnings may be exempt from federal income tax; others may be taxed at the child’s or parents ’ tax rate Must be used for the benefit of the student

Coverdell Education Savings Account 1

 $2,000 maximum annual contribution per child, up to age 18  Parent or other “responsible individual”  Tax-free growth when used for qualified expenses  Withdrawals are tax free when used for qualified education expenses  Must use money by age 30

Savings Bonds

 $5,000 annually for each series per SSN for Series EE and Series I bonds  Bond owner  Tax-free interest if used for education expenses and certain qualifying factors are met; Benefits phase out for AGI above specific limits as outlined by the IRS  None  

Roth IRA

Up to $5,000 annually in 2012, adjusted for inflation thereafter Account owner  Withdrawals of contributions are tax- and penalty-free  Withdrawals of earnings after five years and age 59 ½ are tax-and penalty free  Withdrawals of earnings for education expenses are always penalty-free  Withdrawals of earnings before age 59½ are penalized, unless used for a qualifying event, e.g. first-home purchases or education expenses

(Cont’d)

1 Certain federal tax attributes for Coverdell Education Savings Accounts will expire on December 31, 2012. Unless extended or modified by future legislation, the maximum annual contribution limit will be reduced from $2000 to $500 and withdrawals for K –12 education expenses will no longer be tax-free.

2 Up to the amount of the scholarship.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Comparing other investments (cont’d)

Financial Aid Considerations Advantages Disadvantages

EdVest

 Considered the account owner's assets, which may be weighted less than the student’s for aid purposes  Penalty-free withdrawals if student receives scholarship 2  Excluded from Wisconsin state financial aid  Account can be transferred to another family member  Account owner retains control of how the money is used and there’s no age restriction for use  Contributions can be made by anyone, and there are no family income restrictions  10% additional tax on earnings for nonqualified withdrawals  Can only change investment options up to annual investment change limit per IRS regulations, or whenever there is a change in beneficiaries

UGMA/UTMA

 Considered the student’s assets, which are weighted more than the parents ’ for aid purposes     Contributions can be made by anyone No family income restrictions Student gains complete control of money at age in which the custodianship ends Limited tax-advantaged growth

Coverdell Education Savings Account 1

 Considered the responsible individual's assets, which may be weighted less than student’s for aid purposes  May use for elementary and secondary school expenses  Account can be transferred to another student  Contributions can be made by anyone  Considered bond owner’s assets  

Savings Bonds

Guaranteed minimum return No family income restrictions  Not available to high income families ($220,000 joint – MAGI, $110,000 single – MAGI)  Can only contribute until student reaches age 18  10% additional tax on earnings for non qualified withdrawals  Low contribution limit  Limited return potential  Low contribution limit    

Roth IRA

Considered account owner’s assets  Account owner retains control of assets  Can use money for any eligible student Student must have earned income to open an account in their name Withdrawals from a Roth IRA reduce retirement investments Low contribution limit 1 Certain federal tax attributes for Coverdell Education Savings Accounts will expire on December 31, 2012. Unless extended or modified by future legislation, the maximum annual contribution limit will be reduced from $2000 to $500 and withdrawals for K –12 education expenses will no longer be tax-free.

2 Up to the amount of the scholarship.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

EdVest 529 college savings plan

 A state sponsored ‘Section 529’ College Savings Program  Administered by the State of Wisconsin  Managed by Wells Fargo Funds Management, LLC  Oversight by the Wisconsin College Savings Program Board

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

EdVest benefits: taxes

 Wisconsin state tax deduction  Up to $3,000 annually from taxable state income per beneficiary  Available for parents, grandparents, great-grandparents, aunts and uncles  Also available for individuals who open accounts for themselves  If withdrawals are made for qualified expenses:  Earnings are federal tax-free  Earnings are Wisconsin state tax-free  Earnings are potentially state-tax free in other states

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

EdVest benefits: gift and estate taxes

 Gift and estate tax benefits:  Contributions are considered a completed gift and are eligible for the annual $13,000 ($26,000 for married couples) gift tax and generation-skipping exemptions  For larger contributions, up to a $65,000 ($130,000 for married couples) one-time gift may be prorated over five years  IRS Form 709 should be filed to report this contribution  All contributions are removed from the contributor’s taxable estate

(Cont’d)

If donor contributes more than $13,000 in one year, and elects to apply the gift tax exclusion ratably over 5 years, but dies before the close of the 5-year period, the portion allocable to calendar years beginning after the date of death is included in the decedent’s estate.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

EdVest benefits: gift and estate taxes

Gift and estate tax benefits (cont’d):

$195,000

Gifts $65,000 per grandchild Grandfather Smith

+

Gifts $65,000 for same grandchildren

$195,000

Grandmother Smith

= $390,000 removed from the couple’s taxable estate

The gift tax exclusion can be very powerful. In this example, a grandfather and grandmother each provide 3 one-time gifts of $65,000 to 3 grandchildren. The gifts are prorated over five years and a total of $390,000 is removed from the couple’s taxable estate.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Using EdVest investments

 Funds can be used at any eligible school of higher education  Includes public and private colleges, vocational schools, post-secondary schools, graduate schools, and some schools abroad  Eligible schools can be determined by searching for a school code at fafsa.ed.gov or EdVest.com/schools  Money can be used for tuition, room and board (student must be enrolled at least half-time), books, supplies, fees and equipment required for enrollment or attendance  If the student receives scholarships, you can withdraw the amount equal to the scholarships penalty-free* *The earnings portion of a distribution on account of a qualified scholarship is subject to applicable federal and state income tax, but free from the additional 10% federal tax.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Additional benefits

 Transfers between investment options and beneficiaries are allowed  Investment changes are allowed once per calendar year without a change in the designated beneficiary  Beneficiary changes are allowed between family members  Includes siblings, children, parents, aunts/uncles, first cousins, among others  Flexible contribution options  Clients can invest as little as $250 or $15 per month with an Automatic Investment Plan (AIP) or as much as $330,000 per beneficiary A program of regular investment cannot assure a profit or protect against a loss in a declining market.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Value-added program

 SAGE Scholars Tuition Rewards 

EdVest

account owners receive discounts at private colleges  No fee to join  Over 265 member schools  Tuition points are earned based on account balances  Up to 10% annually  Earn up to 25% off of a four-year undergraduate tuition  Clients can register online at EdVest.com/sage  As an advisor, you can also enroll clients and keep track of accounts online at tuitionrewards.com

The Tuition Rewards program is offered and administered by SAGE Scholars, Inc., a private for-profit corporation. SAGE Scholars is not sponsored by or affiliated with Wells Fargo or the

EdVest

college savings plan.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Investment options

 Choice of investments ranging from aggressive to conservative  Professionally managed portfolios with underlying investments from Wells Fargo Advantage Funds and Vanguard  14 investment choices:  11 fixed allocation options  3 enrollment-based options

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Fixed allocation portfolios

Aggressive Portfolios

More Aggressive Vanguard Small Cap Index Portfolio Vanguard Stock Index Portfolio Less Aggressive

Invests entirely in the Vanguard Small-Cap Index Fund.

Vanguard International Index Portfolio

Invests entirely in the Vanguard Institutional Index Fund.

Wells Fargo Aggressive Portfolio

10% 17% 73%

Invests entirely in the Vanguard Total International Stock Index Fund.

International Stock Funds Domestic Stock Funds

Invests primarily in Wells Fargo Advantage U.S. stock and international funds.

Bond Funds FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Fixed allocation portfolios

Moderate/Balanced Portfolios

More Aggressive Less Aggressive Wells Fargo Moderate Portfolio

30% 13% 30% 57%

Invests primarily in Wells Fargo Advantage U.S. stock funds.

Vanguard Balanced Portfolio

60-70% 30% 40% 60%-70%

Invests entirely in the Vanguard Wellington TM Fund.

Wells Fargo Balanced Portfolio

9% 50% 41% 8%

Invests in both Wells Fargo Advantage stock and bond funds.

International Stock Funds Domestic Stock Funds Bond Funds FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Fixed allocation portfolios

Conservative Portfolios

Less Conservative Wells Fargo Conservative Portfolio

5% 25% 70%

Wells Fargo Bond Portfolio

100%

Vanguard Bond Index Portfolio

Invests primarily in Wells Fargo Advantage bond funds.

Invests only in Wells Fargo Advantage bond funds.

100%

More Conservative Wells Fargo Money Market Portfolio

100%

Invests entirely in the Vanguard Total Bond Market Index Fund.

International Stock Funds Domestic Stock Funds Bond Funds

Invests entirely in the Wells Fargo Advantage Heritage Money Market Fund

Money Market Funds FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

SM

Single-fund portfolios

 Six single-fund portfolios include the following mutual fund options:  Vanguard Institutional Index Fund  Vanguard Small-Cap Index Fund  Vanguard Total Bond Market Index Fund  Vanguard Total International Stock Index Fund  Vanguard Wellington Fund  Wells Fargo Advantage Heritage Money Market Fund

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Wells Fargo multi-fund portfolios

      Five multi-fund portfolios include a combination of the following mutual funds:  Wells Fargo Advantage Capital Growth Fund   Wells Fargo Advantage Diversified International Fund Wells Fargo Advantage Diversified Small Cap Fund   Wells Fargo Advantage Emerging Markets Equity Fund Wells Fargo Advantage Equity Value Fund Wells Fargo Advantage Government Securities Fund Wells Fargo Advantage Growth Fund Wells Fargo Advantage Large Company Value Fund Wells Fargo Advantage Opportunity Fund Wells Fargo Advantage Short-Term Bond Fund   Wells Fargo Advantage Special Mid Cap Value Fund Wells Fargo Advantage Total Return Bond Fund

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Enrollment-based portfolios

Aggressive Growth Moderate Growth Conservative Growth 10+ Years to College 7-9 Years to College 4-6 Years to College 1-3 Years to College In College International Stock Funds Domestic Stock Funds Bond Funds Money Market Funds FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

EdVest: A low cost plan

  No enrollment fee No annual maintenance fee for Wisconsin residents  Non-resident fee of $20 may be waived for accounts with any of the following:    Account balance is over $25,000 Active monthly automatic investment plan for previous 12 months or since inception on the account Active monthly payroll direct deposit for previous 12 months or must have been started within 6 weeks of opening the account  Annual asset-based fees ranging from 0.33% to 1.06% as of July 8, 2011   Ten portfolios with an expense ratio less than 1.00% Excludes the trailing commissions, which are 0.25% for Class A shares and the Money Market Portfolio Class C shares and 1.00% for all other Class C shares A program of regular investment cannot assure a profit or protect against a loss in a declining market.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Class A load schedule

Breakpoints

$0 - $49,999 $50,000 - $99,999 $100,000 - $249,999 $250,000 - $499,999 $500,000 - $999,999 $1,000,000+ Growth and Balanced Portfolios 1

Sales Charge

5.75% 4.50% 3.50% 2.50% 2.00% 0.00% Fixed-Income 2 and Conservative Portfolios

Sales Charge

4.50% 4.00% 3.50% 2.50% 2.00% 0.00% Money Market Portfolio

Sales Charge

0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 1 Growth and Balanced Portfolios include the Vanguard Balanced, Vanguard International Index, Vanguard Small Cap Index, Vanguard Stock Index, Wells Fargo Aggressive, Wells Fargo Balanced, and Wells Fargo Moderate.

2 Fixed-Income Portfolios include the Vanguard Bond Index and Wells Fargo Bond Portfolios.

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

EdVest materials

 Product brochure for clients  One-page program reference sheet  SAGE Scholars enrollment instructions and school listing  Program description

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC

Thank you

FOR INSTITUTIONAL INVESTOR USE ONLY – NOT FOR USE WITH THE RETAIL PUBLIC