P/E Capital Investments manages the wealth of select families and business owners. P/E Capital Investments does not provide tax or legal advice. It is strongly recommended that you consult your professional advisor prior to implementing any of the strategies mentioned here within. This presentation does not offer or imply solicitation of any type. If you have questions or desire a complimentary analysis of your retirement readiness, email info@PECapitalInvestments.com or call toll free to 1-888-929-2825.

About us P/E Capital Investment Management Partners dba P/E Capital Investments is a Registered Investment Advisory firm in the State of Illinois with CRD# 172695. For more information about the firm, please visit www.finra.org click on Broker Check/firm Eliseo Jojo L. Prisno, a Chartered Retirement Planning Counselor is an Investment Advisor with CRD# 4934789. For more information about the advisor, please visit www.finra.org click on Broker Check/individual.

Financial Education Series

SECURITIES MARKET APPRECIATION

WHAT ARE SECURITIES STOCKS BONDS 11% 1-8% 4% DOWN SIDE RETURN HISTORICAL AVERAGE STOCKS (EQUITY) “YOU OWN” YES, THERE’S DOWNSIDE (YOU MAY LOSE PRINCIPAL) INFINITY (NO LIMIT) 11% BONDS (FIXED INCOME) “YOU LOAN” NO DOWNSIDE (PRINCIPAL IS GUARANTEED) 1-8% 4%

S&P 500 Historical Return 1999 21.04% 14.37 2000 −9.10% 13.06 2001 −11.89% 11.49 2002 −22.10% 8.96 2003 28.69% 11.53 2004 10.88% 12.78 2005 4.91% 13.41 2006 15.79% 15.53 2007 5.49% 16.38 2008 −37.00% 10.97 2009 26.46% 13.87 2010 15.06% 15.96 2011 2.11% 16.30 2012 16.00% 18.91 2013 31.00% 24.77 2014 11.03% 27.56

The Power of COMPOUNDING RULE OF 72: 72 / X = 2X 72 / Rate of Interest = The Number of Years Money will Double YEARS 3% 6% 12% $10,000 6 $20,000 12 $40,000 18 $80,000 24 $160,000 30 $320,000 36 $640,000 42 $1,280,000 48 $2,560,000

The Lost Decade (2000 – 2009) 2000 −9.10% 13.06 2001 −11.89% 11.49 YEAR RETURNS INVESTMENT 2000 −9.10% 13.06 2001 −11.89% 11.49 2002 −22.10% 8.96 2003 28.69% 11.53 2004 10.88% 12.78 2005 4.91% 13.41 2006 15.79% 15.53 2007 5.49% 16.38 2008 −37.00% 10.97 2009 26.46% 13.87

The Prosperous Decade (1990 – 1999) 1990 -3.10% 2.61 1991 30.47% 3.41 YEAR RETURNS INVESTMENT 1990 -3.10% 2.61 1991 30.47% 3.41 1992 7.62% 3.67 1993 10.08% 4.04 1994 1.32% 4.09 1995 37.58% 5.63 1996 22.96% 6.92 1997 33.36% 9.23 1998 28.58% 11.87 1999 21.04% 14.37

The Recovery (past 5 years) RETURNS INVESTMENT 2007 5.49% 16.38 2008 −37.00% 10.97 2009 26.46% 13.87 2010 15.06% 15.96 2011 2.11% 16.30 2012 16.00% 18.91 2013 31.00% 24.77

S&P 500 Numbers 2004-2014 DATE S&P 500 CHANGE % CORRECTIONS MONTHS Dec 31,2004 1,173.78 Oct 31,2007 1,545.79 893.78 76% 5 34 Feb 01,2009 735.09 (810.70) -53% 8 16 Nov 28,2014 2,067.56 1,332.47 181% 15 70 Cumulative inflation between 2004-2014 : 26% Source: www.usinflationcalculator.com Cumulative return of S&P 500 between 2004-2014 : 76 % Note: corrections are market movements of more than -5%

A Paradigm Shift in Perspective -- A NEW APPROACH IN ASSET ALLOCATION -- STRATEGY TO PRESERVE THE HIGHEST HISTORICAL PORTFOLIO VALUE -- EMBRACING VOLATILITY AS AN OPPORTUNITY

Your Buckets (Asset Allocations) Your Estate Pass on (Growth Driven) Your Inflation Fighter (Market Participation) Your Guaranteed Income (Market Neutral)

Inflation Fighter with Predictable Income Predictable Income and Investment Solutions LEGACY FUND Growth Driven - Stocks - ETF (Exchange Traded Funds) - Hedge Funds (for High Net Worth) LIFESTYLE FUND Inflation Fighter with Predictable Income - Growth and Income Mutual Funds - VA Contracts with Actively Managed Separate Accounts High Dividend Stocks LTC Reserve (Hedged Savings) LIVING FUND Predictable Income and Guaranty on Principal - FIA (Fixed Index Annuity) - FA (Fixed Annuity) - VA with Market Lock Feature - MLP High Dividends (non-qualified)

Equity Driven Contract with Market Lock FEATURES Preservation of Highest Historical Value Equity Driven Contract with Market Lock FEATURES Statement Number Account Value Income Value S1 100 S2 110 S3 95 S4 115 S5 105 S6 114 S7 120 S8 117 117 100 100

How to Navigate Volatility THE INVERSE CORELLATION OF MARKET INDECES (S&P 500, DOW Jones Industrial Average) and the CBOE (Chicago Board of Options Exchange) VOLATILITY INDEX (VXX)

S&P500 vs the CBOE Index (VIX)

We are in the business of “MANAGING OUR CLIENT’S RISK” You may visit us at: www.PEcapital.org (888) 929-2825