Shaffer Stock Investment Program

Shaffer Asset Management, Inc. is a Registered Investment Adviser and manages adviser managed accounts using the Shaffer Stock Investment Program.

Overview

The Shaffer Stock Investment Program utilizes a screening process for identifying stocks and exchange traded funds (ETFs) which have a high probability of rising at a faster rate than the total universe of stocks listed on United States Stock Exchanges. The screening process begins after the markets close on Fridays, but research and trading continues daily based on market conditions. Through this process, stock prices and company financial histories are quantified into a system that compares this data to all other listed stocks and their respective data. ETFs are screened using technical analysis and other proprietary criteria relating to their underlying holdings.

For a stock to be initially considered as an addition to the program, the stock price must have attained or is near its 52 week high usually during the past week. Futhermore, the company's earnings and stock price must meet certain criteria to be considered for the buy list which includes Relative Strength, PE Ratio, Annual Growth Rate, Industry Group Relative Strength and Fund Ownership among other proprietary criteria.

For an ETF to be initially considered as an addition to the program, the ETF needs to meet certain technical analysis conditions and meet certain proprietary criteria relating to their underlying holdings.

All stocks/ETFs listed on the New York, NASDAQ and American Stock Exchanges are reviewed.

Our Focus in Investment Management

Professional Investment management is an approach whereby equity investments are identified, assessed, and bought or sold in order to optimize overall investment performance. A bedrock principle in our investment management is that we as an investment adviser must be free from all conflicts of interest. Therefore, we charge only a quarterly management fee with no commissions for any transaction in the Shaffer Stock Investment Program.

Furthermore, investment management requires more than mere equity purchasing and selling. It requires follow through. The difference is having an "exit strategy." If our investments don't stay within our proprietary criteria, they are sold.

The goal of our investment management technique is to provide our clients opportunities to be in an actively managed account that can be either fully invested or fully in cash depending on market conditions.

In addition to the management fees that are charged by Shaffer Asset Management, Inc., the underlying Exchange Traded Funds (ETFs) have internal expenses, fees and costs. Please read the prospectus of the underlying ETFs for specific information relating to the fees, charges and costs as well as other important information relating to ETFs. Similar to stocks, ETFs are not FDIC insured, may lose their value and are not guaranteed.

If you would like information about the Shaffer Stock Investment Program, please contact us at (914) 468-0862 or info@shafferasset.com.