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TOTAL STOCK INDEX ACCOUNT

Following is a summary of information about the Sentry Total Stock Index Account. Investors are advised to learn key data about an investment prior to making any investment decision.

Objective

The objective of this account is to seek long-term growth of capital and income. It is invested solely in the Vanguard® Total Stock Market Index Fund.

Investor Profile

The Total Stock Index Account may be suitable for investors with a very long-term investment horizon who are seeking long-term growth of capital and the broadest exposure to the U.S. stock market. Individuals must be willing and able to accept significant changes in unit price in the short, long and very long term.

Investment Strategy

The Vanguard Total Stock Market Index Fund employs a "passive management" - or indexing - investment approach designed to track the performance of the MSCI® US Broad Market Index, which consists of nearly all regularly traded U.S. common stocks. The fund typically invests all, or substantially all, of its assets in a representative sample of the stocks that make up the index.

Investment Considerations

The Total Stock Index Account takes a passive/index approach to investing in all companies regularly traded in the U.S. This account is most appropriately used by investors seeking an exposure to the entire U.S. stock market (small, mid and large capitalizations) for part or all of their retirement portfolio.

PORTFOLIO DATA

Asset Allocation (as of 06-30-2008)
  
Stocks100.00%
 
Key Facts (as of 06-30-2008)
  
Number of Stocks3,538
Price/Earnings Ratio17.0x
Turnover Rate (Fiscal Year End December)4.0%
Beta 3 year trailing (vs. Dow Jones Wilshire 5000)1.00
Foreign Holdings0.6%
Standard Deviation as of 12-31-200716.30%
 
Top Ten Stock Holdings (as of 06-30-2008)
Exxon Mobil Corp.
General Electric Co.
Microsoft Corp.
Chevron Corp.
AT&T Inc.
Procter & Gamble Co.
Johnson & Johnson
International Business Machines Corp.
Apple Computer, Inc.
ConocoPhillips Co.
Top Ten Equals 15.5% of Portfolio
 
Top Sectors (as of 06-30-2008)
   
Information Technology16.80%
Energy15.20%
Financials14.60%
Health Care11.80%
Industrials11.70%
Consumer Staples9.30%
Consumer Discretionary8.90%
Materials4.40%
Utilities4.20%
Telecommunication Services3.10%
Total % of Common Stock100.00%
Vanguard Total Stock Market Index Fund*
Average Annual Returns Annual Total Returns
(as of 07-31-2008) (as of 12-31)
    
 1 Month(0.77)% 
 3 Months(6.99)% 
 YTD(11.60)% 
 1 year(10.16)% 
 3 years3.21% 
 5 years7.88% 
 10 years3.69% 
    
    
    
    
 1994      (0.17)% 
 1995      35.79% 
 1996      20.96% 
 1997      30.99% 
 1998      23.26% 
 1999      23.81% 
 2000      (10.57)% 
 2001      (10.97)% 
 2002      (20.96)% 
 2003      31.35% 
 2004      12.52% 
 2005      5.98% 
 2006      15.51% 
 2007      5.49% 

* Investment management, brokerage fees and all other expenses of Vanguard Total Stock Market Index Fund total 0.19 percent per year and are deducted from the asset value of the Vanguard Total Stock Market Index Fund. The investment manager for Vanguard Total Stock Market Index Fund is Gerard C. O'Reilly. *Performance figures for the Vanguard Total Stock Market Index Fund include the reinvestment of all dividends and capital gain distributions. All returns are net of mutual fund expenses. Money invested by participants in the Sentry Life Total Stock Market Index Account is then invested by Sentry Life Insurance Company or Sentry Life Insurance Company of New York into the underlying mutual fund. A separate account fee for sales, marketing, taxes, account compliance, overhead and legal/audit fees will be applied to this Separate Account. The separate account fee will reduce the total returns of the Separate Account quoted above. The information contained in this fact sheet is for illustrative purposes only and is not an indication of future composition or performance. The investment return and principal value of this Separate Account will fluctuate along with changes in the Vanguard Total Stock Market Fund so that units, when redeemed, may be worth more or less than their original cost. Past performance is not a guarantee of future results.

Sentry Life Insurance Company, Stevens Point, Wisconsin (products not available in all states)
Sentry Life Insurance Company of New York, Syracuse, New York (products available in New York only)

Sentry's property and casualty insurance coverages are underwritten by Sentry Insurance a Mutual Company, or its subsidiaries and affiliates Sentry Select Insurance Company, Middlesex Insurance Company, or Patriot General Insurance Company; Stevens Point, Wisconsin, and Sentry Lloyds of Texas, Round Rock, Texas. Companies not licensed in all states. Life insurance, pensions and group products are issued and administered by Sentry Life Insurance Company, Stevens Point, Wisconsin. In the State of New York, life insurance, pensions and group products are issued and administered by Sentry Life Insurance Company of New York, Syracuse, New York. Policies, coverages, and discounts are not available in all states.

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