Investment Strategy

The Tactical Hi Yield Program seeks to utilize high yield bond mutual funds to achieve above-average total return through a combination of relatively high dividend income and possible short-term capital gains. It is actively managed using a tactical approach. This approach keeps clients' assets in high income-producing corporate bond mutual funds when market conditions are deemed favorable. When market risk to invested principle is perceived to be unacceptably high, 100% of assets are moved to a money market fund.

Risk Summary

All asset classes have specific, inherent risks. The specific risks associated with high yield bond instruments are credit risk and interest rate risk. The Tactical Hi Yield Program is managed with these risks in mind to achieve the total return goals established by the program model.

The Tactical Hi Yield Program controls risk in several ways. Positions are taken in high yield bond funds only when the opportunity for gain outweighs any perceived risks to invested principle.

Suitability

Tactical Hi Yield may be suitable for investors who have a two-to-three year time horizon and who wish to utilize debt securities to achieve capital growth and income. The Tactical Hi Yield portfolio is not expected to be tax efficient.

Fees and Minimum Requirements

Maximum annual fee is 2.0%. Minimum investment is $50,000.

Signal Provider

Purcell has a signal agreement with Paul Cunningham, developer of the model for Purcell's Tactical Hi Yield Program. Paul is a graduate of the University of Oklahoma and currently lives in Oklahoma City with his wife of 45 years, Freda. Paul entered the securities business in 1959 and rode the ups and downs of the business until he became branch manager of E.F. Hutton in 1979. In 1985 he began development work on his high yield bond model and began accepting advisory clients' assets in 1987.

To access your THY account online, go to https://tcaccessonline.trustamerica.com/