PORTF5RMULAS

FORMULAIC TRENDING MONEY MANAGERS

The Formulaic Trending Monthly Abstract

April 15, 2013: RAM Score
=

+54.52

TM Mapper Score

6 of 6 increasing

RAM Score is a proprietary trending tool that takes into account several dynamic components related to the U.S. markets and economy. It features a core baseline which allows for correlation between these multiple components so that they may be added together for an overall Ram Score. As a trending tool, we believe that a positive RAM Score indicates that the odds are stacked in favor of equity investments and a negative RAM Score indicates that odds are stacked Mapper Score TM is a proprietary trending tool that takes into account several dynamic components related to the underlying against equity investments. stocks represented within an index. It identifies certain strengths of individual stocks contained within an index and tracks how many meet minimum Our scoring requirements. As a trending tool, we believe that the higher the percentage of qualifying stocks, the greater the strength of the overall index. mechanisms do not guarantee that the markets will increase when scores are strong or decrease when the scores are weak. But we believe the long term TM with our Portformulas intricate Formulaic correlation may be valuable for investing... Combining our trending features of RAM Score & Mapper Score TM Strategies results in a uniquely logical approach to investing that is exclusively available through Portformulas. Investing

TM are increasing while matching or attaining The overall RAM Score has increased from +3691 to +54.52 this month... And all 6 Mapper Scores new highs. Given all that is going on these days, Im zeroing in on two, albeit unrelated, intriguing topics:

THE S&P 500 AND DJIA 30 HAVE BOTH HIT NEW ALL-TIME HIGHS The best performing individual stock in the S&P 500 during the first quarter 2013 gained over 100% (stock: Netflix). The worst performing individual stock in the S&P 500 during the first quarter 2013 lost over 50%. The #2 and #3 best performing S&P 500 stocks during the first quarter (thru 03.28.13) were ranked #494 and #495 out of 500 for the year 2012. Questions:

,cz;9 )

A) How should one choose which of the 500 stocks in the S&P 500 to invest in (and for how long)? B) Or should one invest in an S&P 500 fund/ETE so as to replicate the entire S&P 500 to just cover the gambit?

We believe the answer to both questions continues to be Portformulas... or, to be more specific in this particular example, our Freedom 5P500 Model. But understand, in reality, even the #1 performing stock (for any given point in time) may not prove to be a wise purchase based upon its current technical or quantitative analysis (by the way, we do not currently hold Netflix stock). But at the same time, we believe there are specific criteria that can be applied in order to make smart purchases of stocks based upon your desired goals and plans. Attached I have included a 3-page description of our Freedom SP500 model and the 23 criteria we apply at the beginning of each month. Below you can also see a collection of the monthly performance numbers for our Freedom Series Models, including the Freedom 5P500. The point being, we believe that there are logical ways to choose which of the 500 stocks in the S&P 500 to invest in (and for how long)... And we also believe, in many cases, that one should NOT invest in an S&P 500 fund/ETF so as to replicate the entire S&P 500 to just cover the gambit... For example, right now, the Freedom SP 500 holds its maximum of 50 stocks from the S&P 500 (not 500 stocks).
PRESIDENT OBAMAS BUDGET PROPOSAL WAS SUBMITTED TWO MONTHS LATE AND HAS IRRITATED MANY The last budget signed was in April 2009, since then the government has continued on through a series of stop-gap measures essentially kicking-the-can further and further down the road. President Obamas last two budget submissions received zero votes of support from either the House or Senate (many believe the same will occur this time). Synopsis:

A) Revenues = Over a 10-year period it would raise taxes by $1.1 trillion (on top of $1 trillion in taxes from Obamacare). B) Expenditures = $3.78 trillion dollars (an increase of $964 billion over the previous fiscal year). C) Deficit = Adds $8.2 trillion to the national debt. D) Does it Balance? = Projections by the Obama budget office suggest the proposed budget would balance by year 2055. E) Main Argument = While there are many arguments, the biggest (that has alienated the President from his voter base) is the proposed switch to a chained-CPI. This would decrease outflows (via Social Security payments) and increase inflows (via slower tax bracket limit creep, meaning people would qualify for higher tax brackets more rapidly).

Now more than ever before, I recommend you always seek council from your Financial Advisor! For more information you can also visit www. portformulas. net Best of Investing, Mike Walters, CEO Portformulas Investing Corporation Formulaic Trending Money Manager SEC Registered Investment Advisor 6020 E Fulton St. I Ada, MI 49301 (888) 869-5994 www.portformulas.net

PORTF5RMULAS

FoRMULA,c TRENoNc Fv1oNy MANAcFR

Page 1 of5

PD RTFR M U LAS

FORMULAIC TRENDING MONEY MANAGERS

Below you can see how the time weighted returns (TWR) of the FREEDOM SERIES models compare against their corresponding index since inception earlier this year:
Freedom D30 2.54% -0.11% -5.57% 6.79% -0.28% -0.48% 3.87% -1.15% -0.26% -0.92% 7.64% 1.91% 2.62% 17.08% 4.53% Freedom NSDQ 3.03% 1.28% -2.45% 3.07% 1.56% 2.53% 1.28% -3.42% 0.29% 0.86% 4.24% 1.53% 5.20% 20.35% 10.21%
Freedom R2000 0.54% 1.60% -3.82% 1.76% -1.05% 2.99% 1.89% -1.55% 0.08% 2.67% 5.72% 1.98% 5.57% 19.53% 2.20%

March 2012 April 2012 May 2012 June 2012 July 2012 August 2012 September 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 Since Inception Model Difference

DJIA (Dow 30) 2.01% 0.01% -6.2 1% 3.99% 0.94% 0.63% 2.65% -2.54% -0.54% 0.60% 5.77% 1.40% 3.73% 12.55%

March 2012 April 2012 May 2012 June 2012 July 2012 August 2012 September 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 Since Inception Model Difference

Freedom 5P400 0.26% 0.79% -4.26% 0.80% -0.53% 3.16% 0.70% -0.94% 0.36% 1.02% 7.60% 1.15% 5.04% 15.70% -2.33%

S&P 400 1.73% -0.30% -6.63% 1.73% -0.12% 3.30% 1.80% -0.87% 2.01% 2.03% 7.21% 0.79% 4.63% 18.03%

March 2012 April 2012 May 2012 June 2012 July2012 August 2012 September 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 Since Inception Model Difference

NASDAQ 4.20% -1.46% -7.19% 3.81% 0.15% 4.34% 1.61% -4.46% 1.11% 0.31% 4.06% 0.57% 3.40% 10.14%

March 2012 April 2012 May 2012 June 2012 July 2012

October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 Since Inception Model Difference

1.52% -3.82% 3.16% 0.67% 0.34% 2.34% -1.20% 0.70% 0.15% 5.59% 2.11% 5.16% 21.46% 6.56% Freedom R3000 1.98% 1.23% -3.17% 4.90% -1.33% 2.86% 1.77% -1.39% -0.74% 0.25% 5.98% 2.53% 5.80% 22.18% 6.73%

S&P 500 3.13% -0.75% -6.27% 3.96% 1.26% 1.98% 2.42% -1.98% 0.28% 0.71% 5.04% 1.11% 3.60% 14.90%

March2012 April 2012 May 2012 June 2012 July 2012 August 2012 September 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 Since Inception Model Difference

Russell 2000 2.39% -1.62% -6.74% 4.81% -1.45% 3.20% 3.12% -2.24% 0.39% 3.34% 6.21% 1.00% 4.44% 17.33%

March 2012 April 2012 May 2012 June 2012 July 2012 August 2012 September 2012 October 2012 November 2012 December 2012 January 2013 February 2013 March 2013 Since Inception Model Difference

Russell 3000 2.93% -0.77% -6.41% 3.75% 0.87% 2.25% 2.46% -1.85% 0.51% 1.02% 5.37% 1.10% 3.76% 15.45%

**The above returns are time-weighted returns; time-weighted returns show the compound growth rate in a portfolio while eliminating the var/hg effect created by cash inflows and outflows by assuming a single investment at the beginning of the period and measuring market value growth or loss at the end of that period. Time-weighted returns also reflect performance after advisoiy fees have been deducted. The Freedom series invests in equities and based on the quailflcation criteria, may hold equity positions regardless of overail market movement. Past performance is no guarantee of future results. Investing in equities carries an inherent risk and it is possible thatyou could experience significant losses in the event ofa market decilne. Please consider your risk tolerance carefuily before investing.

PD RTFR NI U LAS
,

FonrvaJLAIc TRENniN MoNFY MANAcEn

Page 2 of 5

Portformulas Investing Corporation Formulaic Trending Money Manager SEC Registered Investment Advisor 6020 E Fulton St. Ada, MI 49301 (888) 869-5994 www.portformulas.net

rn

9-

PD RTFR M U LAS

FORMULAIC TRENDING MONEY MANAGERS

RAM Score is a proprietary trending tool that takes into account several dynamic components related to the U.S. markets and economy. It features a core baseline which allows for correlation between these multiple components so that they may be added together for an overall
Ram Score. As a trending tool, we believe that a positive RAM Score indicates that the odds are stacked in favqrofequituiiTesments and a

negative RAM Score indicates that odds are stacked against equity investments
-

RAM Score (13 mo) RAM Score (Lifetime) 5&P 500

*..

Moving Average (13 mo)

Jan2 Jan-04 Jan-05 Jan-OS Jan-07

_5

.5

cP+

Bull Bear (13 mo)

Momentum (13 mo)

TRIX (13 mo)

L__s5

f-fl
.;s .s ;s ;s s s ,s s
., , .,

MACD (13 mo)

Recession Risk (13 mo)

---:---zz------:
,5
__s

;s

,p.i4J5,0o&+

,,

E;EJAIza
,;s ;s

Volatility (13 mo)

;s

,;s

;s

,a

,;)

.Z

&

,,I

7
-7;tc
/LfodT;;L

;1E /

:z:CL.C,W

POIITFYRMULASa

FoRMuLAc TRoNoJsJc MONEY MANACER

Page 3 of 5

Portformulas Investing Corporation Form ulaic Trending Money Manager SEC Registered Investment Advisor 6020 E Fulton St I Ada, MI 49301 (888) 869-5994 www.portformulas.net

PD RTFR M U LAS

FORMULAIC TRENDING MONEY MANAGERS

TM is a proprietary trending tool that takes into account several dynamic components related to the underlying stocks Mapper Score represented within an index. It identifies certain strengths of individual stocks contained within an index and tracks how many meet minimum requirements. As a trending tool, we believe that the higher the percentage of qualifying stocks, the greater the strength of the overall index.

(NOTE: As such, we do not believe that allstocks within an index are automatically worthy of ownership. In the FREEDOM SERIES, we seek to TM illustrates how many stocks we view worthy of consideration.) only own the stocks that meet our qualification criteria. The Mapper Score

TM for Dow 30 Mapper Score Stocks Mapped = 12 Mapper Score = 40.00%

TM for S&P 500 Mapper Score Stocks Mapped = 161 Mapper Score = 32.20%

TM for Russell 3000 Mapper Score

Stocks Mapped = 398 Mapper Score 13.27%

Jun- Jul- Aug- Sep- Oct- Nov- Dec- Jan- Feb- Mar- Apr13 13 13 13 12 12 12 12 12 12 12

s:--

o--

--

s_

c-

<e/

Mapper Score TM for NASDAQ

TM for S&P 400 Mapper Score

Mapper Score TM for Russell 2000

Stocks Mapped = 123 Mapper Score = 4.56%

Stocks Mapped = 113 Mapper Score = 28.25%

Stocks Mapped = 111 Mapper Score = 5.55%

s___

s_

c;

<

Our scoring mechanisms do not guarantee that the markets will increase when scores are strong or decrease when the scores are weak. TM But we believe the long term correlation may be valuable for investing... Combining our trending features of RAM Score & Mapper Score TM Strategies results in a uniquely logical approach to investing that is exclusively available with our Portformulas intricate Formulaic Investing through Portformulas.

6
.

_i

S
&T7 ,1

flie#
(

6*

jj(tJ

Portformulas Investing Corporation Formulaic Trending Money Manager

PU RTFR M U LAS
.

SEC Registered Investment Advisor

FCJRMLJLAIC

TnNDIN

MONEY MANAcEn

6020 E Fulton St. I Ada, MI 49301 (888) 869-5994

www.portformulas.net

Page 4 of 5

PD RTFR M U LAS

FORMULAIC TRENDING MONEY MANAGERS

Please note that there are a number of important disclosures that must be considered before investing in Portformulas. Please read the information and disclosures contained in Portformulas hypothetical carefully before investing. Any performance figures referenced herein are hypothetical and are not indicative of future results. Purchases and sales of securities within Portformulas various strategies may be made without regard to how long you have been invested which could result in tax implications. RAM Score and Mapper Score General Disclosures The RAM Score and Mapper Score illustrations do not represent any particular Portformula strategy nor are they intended to recommend any Portformula strategy or the RAM Score feature. The information contained herein simply attempts to illustrate how our firms RAM Score feature and Mapper Score operate. The RAM Score feature can be applied to many Portformula models at no additional cost. The Mapper Score is simply an analytical informational tool. RAM Score was not developed until January 2010. Prior to January 2010, clients were utilizing RAM Scores predecessor, RAM. Clients utilizing RAM may have had different results than those reflected above. RAM Score movement prior to 2010 is hypothetical and based on retroactive application of RAM Scores indicators to market and economic conditions existing at the time. Portformulas was not managing assets prior to 2007. It is important to understand that RAM Score is only a tool designed to assist our firms management of your account. RAM Score does not guarantee any specific results or performance and even with RAM Score on your account, it is possible that your account will lose value. RAM Score moves assets into or out of the market based on various economic and market indicators. It is possible that the market will move positively while you are not invested or negatively while you are invested, resulting in losses. Any Portformula strategy may underperform or produce negative results. Just because Portformulas maps a stock does not mean that the stock will be held in a model. Client accounts may hold less stocks than those referenced in the Mapper Score illustration. Mapper Score has no impact on performance. The RAM Score illustration utilizes the S&P 500 index because it is a well-known index and provides a recognizable frame of reference. The Mapper Score analysis uses the referenced indices because they are relevant comparisons across certain Portformula models. The indices referenced herein are not publicly available investment vehicles and cannot be purchased. Furthermore, none of the indices referenced herein have endorsed Portformulas in any way.

p 0 II T F.5R lvi U L A S
FOPMULAIC TRENDING MONEY

MANAEn

Page 5 015

Portformulas Investing Corporation Form ulczic Trending Money Manager SEC Registered Investment Advisor 6020 E Fulton St. I Ada, MI 49301 (888) 869-5994 www.portformulas.net

PORTFYRMULAS

www.Porfformulas.com
SECRegistorecf!nvostmentAdvisor

FORMULAIC TRENDING MONEY MANAGER

FREEDOM SP500 PORTFORMULA INVESTMENT STRATEGY

FREEDOM SERIES ORIGINS & BENEFITS OF PORTFORMULA INVESTMENT STRATEGIES Portformulas manages quantitative mechanical methodologies and models for investors, operating pursuant to Limited Discretionary Authority engaging solely in the implementation of one or more step-by step investment strategy qualification criteria and account rebalancing as indicated and selected by each investor. We generally refer to this activity as a Portformula Investment Strategy. We use the selected Portformula Investment Strategy qualification criteria to eliminate human emotion from the stock selection process. We execute the Portformula Investment Strategy qualification criteria as the strict quantitative methodology and model for investing within each investor selected Portformula. Each Portformula will only select holdings when they specifically meet the step-by-step qualification criteria & investment strategy. Based upon the criteria, it may be possible that no holdings qualify during a given time period. This may result in a Poriformula maintaining a full money market or bond fund position, but generally only for limited periods of time. Each investors account is established with a minimum 2% cash position and the remaining percentage is fully invested in the Portformula. All dividends are reinvested and this ratio is updated upon each rebalancing and reapplication of the Portformula Investment Strategy qualification criteria. Every Poriformula provides full liquidity and 24/7 online account information for each investor. Poriformulas reserves the right to make adjustments or changes in the criteria, ongoing management, and implementation of each Portformula; however the general investment philosophy of a Portformula will not change. Our goal is to maintain the integrity of the general investment philosophy as described in the specific investment strategy criteria. Such efforts may be open to interpretations, opinions and adaptations in order to create and maintain a real life mechanical investment methodology resulting in the Portformula. These philosophical interpretations, opinions, adaptations, methodologies and implementations may differ and have not been independently verified. On a monthly basis (on or about the first working week of the month) account rebalancing, is applied on behalf of each investor. FOR THIS PORTFORMULA, STOCKS MAY QUALIFY BY MEETING THE FOLLOWING CRITERIA:

I
.

I I

t.. .

sI
,,

c)

. . . a 4tJ . .
\)

Is L I
\

s1

1
_%%

. .

41

4,

ki
%%%

\%%%%

The beginning universe of holdings consists of the S&P 500 Index Stocks. The holdings Price History must be greater than $5 for each of the last 3 monthly periods. The holdings Price History must be less than $1 000 for each of the last 3 monthly periods. The holdings 1 3 period monthly Elder Ray Bull indicator for month end must be greater than 0. The elder ray index bull power measures the amount of buying and selling pressure in the market. The holdings 6 period monthly Momentum indicator for month end must be greater than 1 00. The momentum indicator is used to measure trend strength and/or possible trend reversals. The holdings 12 period monthly TRIX indicator for month end must be greater than the indicators 9 period simple moving average. The TRIX indicator is used to identify oversold and overbought markets as it displays the rate of change of a triple exponentially smoothed moving average of closing price. The holdings 12 period / 26 period exponential monthly MACD indicator for month end must be greater than the indicators 9 period exponential moving average. The moving average convergence divergence (MACD) indicator is used to show the relationship between two moving averages of prices. The holdings 1 3 period / 25 period monthly True Strength Index indicator for month end must be greater than the indicators 9 period simple moving average. The true strength index indicator helps determine overbought and oversold conditions by incorporating the short term purchasing momentum with the lagging benefits of moving averages. The holdings 9 period monthly Efficiency Ratio indicator for month end must be greater than 0. The efficiency ratio indicator is intended to provide a measure of the reliability of a trend continuation by comparing the total net change over a period of time to its cumulative price moves both positive and negative. The holdings 5 period / 34 period simple monthly Awesome Oscillator indicator for month end must be increasing over the previous monthly period. The awesome oscillator indicator calculates the difference between period simple moving averages to try and reveal the momentum and direction. The holdings 9 period monthly Vortex indicator +Vl for month end must be greater than the corresponding VI for the same month end. The vortex indicator helps to identify the start of a new trend or continuation of an existing trend by connecting the lows with consecutive highs and highs with consecutive lows. The holdings Capitalization must be greater than 1 billion for each of the last 3 monthly periods. The capitalization is the total dollar value of a holdings outstanding shares. The holdings Long Term Debt to Total Capital must be less than 1 for each of the last 3 monthly periods. The long term debt to total capital ratio computes the proportion of a holdings long-term debt compared to its available capital to identify the amount of leverage being utilized. The holdings Earnings per Share for the latest quarter must be greater than 0 for each of the last 3 monthly periods. The earnings per share identifies the companys profit or loss allocated to each outstanding share. The holdings high Earnings per Share Estimate for the current quarter must be greater than 0 for each of the last 3 monthly periods. The earnings per share estimates are derived from the analysts covering the holding. The holdings high Earnings per Share Estimate for the current year must be greater than 0 for each of the last 3 monthly periods. The earnings per share estimates are derived from the analysts covering the holding. The holdings high Earnings per Share Estimate for the next quarter must be greater than 0 for each of the last 3 monthly periods. The earnings per share estimates are derived from the analysts covering the holding. The holdings high Earnings per Share Estimate for the next year must be greater than 0 for each of the last 3 monthly periods. The earnings per share estimates are derived from the analysts covering the holding. There must be an analyst rating and the Average Analyst Rating for month end must be less than 2.5 whereas 1 equals strong buy, 2 equals buy, 3 equals hold, 4 equals sell, and 5 equals strong sell. Then the qualifying holdings are ranked from high to low according to their Efficiency Ratio indicator and a maximum of 50 holdings are selected according to this ranking. When a tiebreaker is necessary those with the highest True Strength Index indicator are selected. Should less than 20 holdings qualify, we apply the remaining prorated allocation toward a similar tactical model using steps 2-12 above as applied to the overall universe of non-leverage and non-inverse ETFs. Then the qualifying ETF holdings are ranked from high to low according to their Efficiency Ratio indicator and a maximum of 50 holdings are selected according to this ranking. When a tiebreaker is necessary those with the highest True Strength Index indicator are selected. Should less than 20 ETF holdings qualify, we apply the remaining prorated allocation toward a money market.

IMPORTANT NOTICE: Past performance is no guarantee of future results. Your actual results may vary. Investing carries an inherent element of risk. Potential for substantial loss in
principal and income exists. This material is not complete unless all pages are included.
Portformulas@(the Firm) operates with Limited Oiscretionary Authority to engage solely in the implementation of specific step-by-step investment criteda and account rebalancing as indicated and selected by the client SEC File No. 851-68276. sec Registration does not page 1 of 3 imply a certain level of skill or training. This activity is generally referred to by the Firm as a Portformala Investment Strategy. You should only invest in Portformulas upon receiving and reading the Portformulas ADV @2006-2011 Portformulas@AllRights Reserved.

PD RTFR M U LAS

6020 E Fultort St Ada, MI 49301 800-869-5994 www.Portformulas.com

SEC Registered loveslmeof Advisor

FORMULAIC TRENDING MONEY MANAGER

FREEDOM SP500 PORTFORMU

Holdings as ofApril 2, 2 13
-

Current# of Holdings: 50

Ticker ABC ACE ADBE AGN ALL AMP AVY BAX BLK BMS CAG CBG CCE CELG Cl CMCSA COG DISCA ETN

Company Name AmerisourceBergen Corp. ACE Limited Adobe Systems Incorporated Allergan, Inc. Allstate Corporation, The Ametiprise Financial, nc. Avery Dennison Corp Banter International nc. BlackRock, Inc. Bemis Company, too. ConAgra Foods, Inc. CBRE Group nc Coca-Cola Enterprises Inc Celgeoe Corporation CIGNA Corporation Comcast Corporation Cabot Oil & Gas Corporation Discovery Communications Inc. Eaton Corporation PLC Finery, too. Flowserve Corporation Gitead Sciences, Inc. General Mitts, Inc. Honeywelt tntemationat Inc. International Flavors & Fragra

Exchange

Sector

Market Cap Large cap Large Cop Large cap Large Cap Large Cap Large Cap Mid Cap Large Cap Large Cap Mid Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap

Ticker IGT

Company Name International Game Technology International Paper Company Kroger Co., The Lincoln National Corporation Lowes Companies, Inc. Noble Energy, Inc. NASDAQ OMX Group, Inc. Newell Rubbermaid Inc. News Corp PACCAR nc Pfizer Inc. Robert Half totemationat Inc. Roper Industries, Inc. State Street Corporation Symantec Corporation Tenet Healthcare Corp Thermo Fisher Scientific Inc. T. Rowe Price Group, Inc. Travelers Companies Inc Tyson Foods, Inc. Time Warner Inc Unum Group United Technologies Corporatio Vtsa Inc Whirlpool Corporation

Exchange

Sector

Market Cap

NYSE NYSE NASDAQ NYSE NYSE NYSE NYSE NYSE NYSE NYSE NYSE NYSE NYSE NASDAQ NYSE NASDAQ NYSE NASDAQ NYSE NASDAQ NYSE NASDAQ NYSE NYSE NYSE

Health care Financial Technology Health Care Financial Financial Services Health Care Financial Basic Materials consumer Non-cyclical Services Consumer Non.Cyclical Health Care Financial Services Energy Services Technology Technology capital Goods Health Care consumer Non-cyclical Technology Basic Materials

NYSE NYSE NYSE NYSE NYSE NYSE NASDAO NYSE NASDAQ NASDAQ NYSE NYSE NYSE NYSE NASDAQ NYSE NYSE NASDAQ NYSE NYSE NYSE NYSE NYSE NYSE NYSE

Services Basic Materials Services Financial Services Energy Financial Consumer Non-Cyclical Services Consumer Cyctcal Health Care Services Technology Financial Technology Health Care Health Care Financial Financial Consamer Non-Cycfical Services Financial Capital Goods Financial Consumer Cyclical

Mid Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Mid Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap Large Cap

IF
KR LNC LOW NBL NDAQ NW... NWSA PCAR PFE RHI ROP SnSYMC THC TMO TROW TRV TSN 1WX UNM UTX

FISV
FLS GILD 015 HON 1FF

V
WHR

Holdings By Sector
10.00 % 4.00 % 4.00 6,00 %

Holdings By Market Cap

24,00 % i92.OO 8.00 %

12,00 %

16.OO%
20.00

II II

Basic Materials 6.00% ConsumerCyclical 4.00% Energy 4.00% Health Care 16.00% Technology 12.00%

Capital Goods 4.00% Consumer Non-Cyclical 10.00% Financial 24.00% Services 20.00%

Large Cap 92.00%

Mid Cap 8.00%

o
5?
IMPORTANT NOTICE: Past performance is no guarantee of future results. Your actual results may vary. Investing carries an inherent element of risk. Potential for substantial loss in principal and income exists. This material is not complete unless all pages are included.
Portformu!asctil(the Firm) operates with Limited Discretionary Authority to engage solely in the implementation of specific step.by-step investment criteria and accoont rebalancing as indicated and selected by the ctent. SE File No. eOt.e27 SEC Registration does not page 2 of 3 imply a certain level of skill or training. This activity is generally referred to bythe Firm as a Portlormulafil Investment Strategy. Yoa should only invest ie Portforwolas upon receiving and reading the Portlormulas ADV @2006-2011 Portformu!as@AllRights Reserved.

PORTF5RMULAS

www.Portformulas.com
SEC Registered InvestrnentAdvisor

FDRMULAIC TRENDING MONEY MANAGERS

Additional Disclosures
In addition to the information provided on the previous pages, there are additional disclosures that warrant your attention.
Additional FREEDOM SERIES Disclosure:

In 201 0, Portformulas began utilizing time-weighted returns on any model in existence from the beginning of a calendar year. Time weighted returns show the compound growth rate in a portfolio while eliminating the varying effect created by cash inflows and oufflows by assuming a single investment at the beginning of the period and measuring market value growth or loss at the end of that period. Model performance and time-weighted rates of return may be aggregated to calculate three-, five, seven-, and ten-year returns if time-weighted returns are not available for the full period. Moreover, because Portformulas publishes time-weighted returns, all advertised performance data reflects performance after advisory fees have been deducted. The Freedom series invests in equities and based on the qualification criteria, may hold equity positions regardless of overall market movement. Investing in equities carries an inherent risk and it is possible that you could experience significant losses in the event of a market decline. Please consider your risk tolerance carefully before investing. Because the Freedom series invests in equities, Portformulas is providing various stock-based indexes for comparison. Past performance does not guarantee future results and the potential for loss does exist.

IMPORTANT NOTICE: Past performance is no guarantee of future results. Your actual results may vary. Investing carries an inherent element of nsk. Potential for substantial loss in principal and income exists. This material is not complete unless all pages are included.
Portformulas@(the Firm) operates with Limited Discretionary Authority to engage solely in the implementation ofspecitc step-by-step investment criteria and account rebalancing as indicated and selected by the client. SEC File No. gOl-68276. SEC Registration does not page 3 of 3 imply a certain level ofskill or training. This activity is generally reterred to bythe Firm as a Portformala Investment Strategy. You should only invest in Portformulas upon receiving and reading the Portformulas ADV. @2006-2011 Portformulas5AllRights Reserved.