1. JEFFERY & SONS INVESTMENTS

2. OUR CORE CRAFT
TRANSACTION ADVICE
INDIVIDUAL PORTFOLIO
DEVELOPMENT
IN-DEPTH INVESTMENT
OBJECTIVE REVIEW
COMPREHENSIVE FINANCIAL
PLAN
EXTENSIVE ANALYTICAL TOOLS
PERSONALIZED ASSET
ALLOCATION ADVICE
ONGOING EVALUATION

3. NEW SERVICE LINES
LIFEVIEW
LIFEVIEW MONITOR
DISCRETIONARY
PORTFOLIO

4. FINANCIAL BLUEPRINT
LIFEVIEW COMBINES
BILL’S CERTIFIED
FINANCIAL PLANNING
AND MBA WITH
INDUSTRY’S TOP
FINANCIAL PLANNING
TOOLS
WE RUN 10,000
SCENARIOS TO FIND BEST
WAY FOR YOU TO REACH
YOUR GOALS
YOU WILL "MAKE" IT

5. VIGILANT MONITOR
LIFEVIEW MONITOR
MEASURE PROGRESS
TOWARD YOUR GOALS
CASH FLOW MONITOR
PROBABILITY OF
SUCCESS UPDATE
FINANCIAL
DASHBOARD FOR YOUR
PERFORMANCE

6. NEW TOOLS OF OUR TRADE
AFTER EXTENSIVE VETTING,
OUR GROUP WAS SELECTED
BY MORGAN STANLEY TO
MANAGE CLIENTS FUNDS
WITH DISCRETION
DISCRETION ALLOWS
IMPROVED PERFORMANCE
AND EQUITABLE OUTCOMES
FOR ALL CLIENTS

7. CASE STUDY OF DISCRETION
AFTER TSUNAMI WE DECIDED TO SELL
NUCLEAR UTILITIES, URANIUM MINERS,
AND SELECT JAPANESE SECURITIES
STEP 1: CREATE LIST OF HOLDERS OF
THOSE SECURITIES
STEP 2: PRIORITIZE CALL LIST
STEP 3: MAKE CALLS FOR TRADE
AUTHORIZATION
STEP 4: INITIATE TRADES
NIKKEI DROPPED 22.8% IN 4 DAYS
SOME CATASTROPHES DO NOT PROVIDE
THAT MUCH TIME TO REACT

8. PURPOSE BEHIND NEW TOOLS
Generate
Implement
Ideas
Ideas
OUR DIRECTION
Communicate Ideas Communicate Ideas
Implement Generate
Ideas Ideas
MANY OF OUR BEST IDEAS WERE NEVER IMPLEMENTED BECAUSE THE
BUY/SELL CYCLE WAS SO CUMBERSOME

9. INVESTMENT ASSUMPTIONS
MARKET IS NOT EFFICIENT-
EMOTIONS CREATE
INEFFICIENCY
GOOD DECISIONS MATTER
TODAY’S FINANCIAL MARKETS
ARE COMPLEX AND FAST-PACED.
UNCERTAINTY AND CONFUSION
ARE RAMPANT
SOMEONE HAS DISCRETION
OVER YOU INVESTMENTS
SPEED IS IN
OUR NETWORK IS AN
UNPARALLELED SOURCE OF
BUSINESS INTELLIGENCE

10. TOOLS WE USE IN OUR PROCESS
IDEA GENERATION THROUGH OUR
NETWORK, RESEARCH, AND FIRM'S
300 ANALYSTS
MODERN PORTFOLIO CONSTRUCTION
VOLATILITY GUIDELINES
CONSISTENT STYLE

11. TEAM DECISION PROCESS
ASSET ALLOCATION
RISK MANAGEMENT
SECURITY SELECTION
PORTFOLIO
CONSTRUCTION

12. ASSET ALLOCATION
VALUE TWO EXAMPLES:
INVESTORS
BOND
TOP-DOWN MARKET
ANALYTICAL
APPROACH EMERGING
MARKETS
VALUE
DETERMINES
OUR STRATEGIC
ALLOCATION

13. ASSET ALLOCATION PROCESS

14. IMPORTANCE OF ASSET
ALLOCATION
2%
2%
5%
Asset Allocation Strategy
Security Selection
Market Timing
Other Factors
91%

15. HISTORICAL SECTOR
PERFORMANCE

16. EMERGING MARKETS ARE TOO
LARGE TO IGNORE
Population
Land Mass
Energy Consumption
GDP
Exports
Market Cap
0 25 50 75 100

17. WORLD GDP GROWTH

18. RISK MANAGEMENT
MOST ADVISORS UTILIZE ONLY DIVERSIFICATION FOR RISK MANAGEMENT WITH
UNFORTUNATE RESULTS- ESPECIALLY IN 2007/2008
RISKS EVOLVE SO A STATIC DEFENSE CANNOT PROTECT YOUR ASSETS
IT IS OUR HIGHEST RESPONSIBILITY TO PROTECT YOUR PRECIOUS ASSETS WITH EVERY
TOOL AT OUR DISPOSAL

19. RISK MANAGEMENT PROCESS
Bull case
scenario + 20%
Base case
scenario + 10%
P Bear case
scenario - 5%
T T+12m
WE DEVELOP SCENARIOS FOR EACH
POSITION IN THE PORTFOLIO AND
IMPLEMENT RISK MANAGEMENT
PROCEDURES IN CASE THE BEAR CASE
PREVAILS
-

20. SECURITY SELECTION
ASSET ALLOCATION AND RISK
MANAGEMENT ARE THE
CORNERSTONES, AND
SECURITY SELECTION IS THE
CAPSTONE
INCREASING USE OF ETF
POSITIONS IN PORTFOLIO
ENERGY, YES;
ENRON, NO
TECHNOLOGY, YES;
APPLE, YES

21. SECURITY SELECTION

22. PORTFOLIO CONSTRUCTION
DEVELOP AND IMPLEMENT
PORTFOLIO SOLUTIONS
THAT REFLECT CLIENT’S
OBJECTIVES
LARGE ENOUGH NUMBER
OF POSITIONS TO BE
DIVERSE, BUT ALSO CRAFT
PORTFOLIO TO BE AS
LIQUID AS MARKET
ALLOWS

23. WORLD STOCK PORTFOLIO

24. CONSERVATIVE ETF PORTFOLIO