An Investment Study

8/14/2019 An Investment Study

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Greenwich Asset Management Group, LLC

Independent, unbiased, transparent, and investment banking free advice2 Sound View Dr., Suite 100, Greenwich, CT 06830 USA

An Investment Study July 27, 2009

I was reviewing financial email sites and came across http://www.dataroma.com. It listed 44 top value investors and firms(next page), including your distinguished firm, and 860 stocks owned by the group. I thought to myself, Ill bet I canoutperform all 44 managers, long-only over 3 years, with my stock grading and portfolio construction process and do itwith their universe if stocks. The 50 stocks I chose are on page three.

I have had my own RIA firm in Greenwich, CT since 2001. I had 5 years of portfolio training from Bill Hay of DundeePartners, who ran $30 billion at the NYS Common Retirement Fund in the 80s. He brought that fund from virtual savingsaccounts into the modern equities to which other states modeled their retirement plans including Calpers. Bill introducedme to some interesting folks including Arthur Laffer and Larry Kudlow amongst others.

After being on Wall Street for 20 years I decided I wanted to be independent, and as fate would have it, my experiencewith Bill Hay kicked in. I started designing equity portfolios as I had done with Bill for 5 years and added my screeningand grading process I helped perfect, which I learned from a 48-year veteran at Merrill. Bills portfolio averaged about 25large cap stocks evenly weighted and rebalanced every quarter. I tend to have around 30, more for larger accounts. I

remember asking Bill if he could run $1 billion with 25 stocks. He said he could run $100 billion with 25 large cap stocks.

After combining the two programs I was surprised and found the results remarkable. In order to test my theorems, Ineeded to go back several years and test the data. I ran my screening process starting with 2004 year-end stock prices.As of July 24, 2009, the 100 stock study portfolio was 53.27% ahead of the S&P 500 over 4.7 years while 11 stocks wereliquidated due to M&A activity over that same period as show on page four.

The initial data gave me enough information to move towards implementation which occurred in January 2008 with liveaccounts. I did 17% better than the S&P 500 in 2008 which I attribute to the fundamental and technical grading processand my run, dodge and jump training I learned in advanced infantry and airborne combat training at Ft. Benning, GAwhile in the U.S. Army in the 70s. Regardless, I veered from the program at times in 2008 picking up a few highlyoversold issues such as Ford and BAC for a short-term trade.

I use informa.com, which Schwab uses, and BarclayHedge to rank my performance amongst my peer group which isGlobal Equity managers. I made Informa.com's Top Gun list twice in 2008, first and fourth quarters. As of July 15, 2009,out of 181 global equity managers reporting to Informa.com, I rank in the top 1% for Quarter 2, 2009, top 2% for one year,and top 1% for three years. Performance data before December 2007 was simulated using the same process.

My program and combination of experiences are unique. No one else is doing it. I would like you to consider giving me$10 million, split into 30 equal segments, which I can easily manage using my system on the Schwab Institutional platformas a private sub-advisor. This way you can see for yourself how the program performs.

If you are interested, I would like to hear from you and I will tell you in 3 minutes how I do it.

Best regards,

Peter LundstedtCEO, Equity Portfolio Engineer and Equity Portfolio Sub-AdvisorGreenwich Asset Management Group, LLC2 Sound View Dr. Suite 100Greenwich, CT 06830

(203) 622-1305Fax (203) 622-1306

Web site: www.gamgllc.com Email: [email protected]: http://www.informais.com/research_psn_manager.htm and http://www.barclayhedge.com


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Source: http://www.dataroma.com/m/managers.php 07/25/2009


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Simulated buy and hold portfolio Source: Yahoo data 07/25/2009


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Simulated buy and hold portfolio Source: Tickerspy 07/25/2009


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Thank you

Peter Lundstedt

CEO, Equity Portfolio Strategist and Equity Portfolio AdvisorsGreenwich Asset Management Group, LLC2 Sound View Dr. Suite 100Greenwich, CT 06830

(203) 622-1305Fax (203) 622-1306

Committed to Excellence

Web site: www.gamgllc.com

Email: [email protected]

DisclaimerI can only pick good stocks, I cannot make them go up or down. Peter Lundstedt is president of Greenwich AssetManagement Group, LLC, (GAMGLLC), a registered investment advisor. All material presented herein is believed to be reliable but wecannot attest to its accuracy. Investment recommendations may change and readers are urged to check with their investmentcounselors before making any investment decisions. Opinions expressed in these reports may change without prior notice. PeterLundstedt and/or the staff at GAMGLLC may or may not have investments in any funds cited above.

PAST RESULTS ARE NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS AS WELL AS THE OPPORTUNITY FORGAIN WHEN INVESTING IN MANAGED ACCOUNTS. WHEN CONSIDERING ALTERNATIVE INVESTMENTS, INCLUDING HEDGEFUNDS, YOU SHOULD CONSIDER VARIOUS RISKS INCLUDING THE FACT THAT SOME PRODUCTS: OFTEN ENGAGE INLEVERAGING AND OTHER SPECULATIVE INVESTMENT PRACTICES THAT MAY INCREASE THE RISK OF INVESTMENT LOSS,CAN BE ILLIQUID, ARE NOT REQUIRED TO PROVIDE PERIODIC PRICING OR VALUATION INFORMATION TO INVESTORS,MAY INVOLVE COMPLEX TAX STRUCTURES AND DELAYS IN DISTRIBUTING IMPORTANT TAX INFORMATION, ARE NOTSUBJECT TO THE SAME REGULATORY REQUIREMENTS AS MUTUAL FUNDS, OFTEN CHARGE HIGH FEES, AND IN MANYCASES THE UNDERLYING INVESTMENTS ARE NOT TRANSPARENT AND ARE KNOWN ONLY TO THE INVESTMENTMANAGER.

Communications from GAMGLLC are intended solely for informational purposes. Statements made by various authors, advertisers,sponsors and other contributors do not necessarily reflect the opinions of GAMGLLC, and should not be construed as an endorsementby GAMGLLC, either expressed or implied. GAMGLLC is not responsible for typographic errors or other inaccuracies in the content. Webelieve the information contained herein to be accurate and reliable. However, errors may occasionally occur. Therefore, all informationand materials are provided "AS IS" without any warranty of any kind. Past results are not indicative of future results.This e-mail is not an official confirmation of terms and unless stated, is not a personal recommendation, offer or solicitation to buy orsell. Any prices or quotations contained herein are indicative only and not for valuation purposes.

If options or futures are mentioned, options, structured derivative products and futures are not suitable for all investors, and trading inthese instruments is considered risky and may be appropriate only for sophisticated investors. Past performance is not necessarilyindicative of future results. Various theoretical explanations of the risks associated with these instruments have been published. Prior tobuying or selling an option, and for the complete risks relating to options, you must receive a copy of "The Characteristics and Risks ofStandardized Options." You may read the document at .

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An Investment Study

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