IEA Favorability

favorable to be invested. When a security's price is below its moving average, the conditions are considered unfavorable
and a cash position would be taken for that asset class.

The chart below illustrates the potential benefits moving averages can have on managing risk. This chart plots the S&P 500
price index (blue line) and its 200 day moving average (red line) between 2007 and 2009

The S&P 500 dropped below its 200 day moving average in January 2008. This indicated unfavorable conditions to be
invested. Given this, our strategy would have sold and held cash at this time. In May 2009, the S&P 500 rose above its
moving average, indicating favorable conditions to be invested (a buy signal). Following such a strategy, would have kept
you on the sidelines during the market turmoil of 2008.

Note: We illustrate the 200 day moving average since it is the most common moving average measurement followed by
market technicians. We do not manage client assets solely using the 200 day moving average.

To determine if an asset class is favorable (BUY/HOLD) or unfavorable (SELL/CASH), we
analyze multiple factors including moving averages of each asset class.

Moving averages measure the average price of a security over a period of time. When a
security's current price is above its moving average, the conditions are considered

Source Data: Global Financial Data, Yahoo Financie

Disclaimer: Hypothetical performance results may have limitations described below. They are generally prepared with the benefit of hindsight, do not involve financial risk or reflect actual trading
by any account under actual market conditions and therefore do not reflect the impact that economic and market factors may have had on the advisor's investment decisions for that account. No
representation is made that IEA's performance would have been the same as such simulated had IEA been in existence during such a time. Another limitation is that the investment decisions
reflected in the simulated results cannot completely account for the impact of financial risk on the manner in which an account would have been managed, for example, the ability to withstand
losses or to adhere to a particular trading program in spite of trading losses are material points which can also affect actual trading risks. In fact, there are often sharp differences between
hypothetical results and actual record subsequently achieved. The simulated results do not take into account enhancements that may be made to the proprietary computer models over time.
There are numerous other factors related to the market in general, or the the implementation of any specific trading program which cannot be fully accounted for in preparation of hypothetical
simulated performance results and all of which can adversely effect actual trading results. All results are gross of trading fees, management fees and taxes.