Int e g r i t y • Wi s d om • C h ar a c t e r

P I N N A C L E

At Pinnacle Asset Management, our mission is to grow

and protect our clients’ assets.

We practice an active style of asset management consisting

of fundamental analysis for security selection and technical analysis to

identify and adjust to ever changing financial market conditions. This

combination of disciplines provides our clients with the confidence

that they own quality investments and the comfort of knowing that

there is a proactive strategy in place to minimize risk.

Our investment portfolios are comprised of individual stocks,

bonds, exchange traded funds (“ETFs”), and mutual funds. Each

client’s asset allocation is constructed with a specific investment

objective in mind, ranging from capital preservation to aggressive

growth. An individual’s personal circumstances, risk tolerance, and

objectives are taken into consideration to determine the most suitable

portfolio for his or her financial goals.

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- OUR MISSION-

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- ECONOMIES HAVE A CYCLIC NATURE-

Throughout history, economies and business activity have

moved in cycles. The business cycle consists of four distinct stages:

expansion, peak, contraction, and trough. Within each of these stages,

certain economic conditions tend to arise that influence investment

options differently. At Pinnacle, we attempt to leverage these trends

for your financial growth and security.

- HUMAN NATURE SOMETIMES GETS THE BEST OF US-

Emotions can cause an investor to behave illogically and

inaccurately gauge risk. Often times the jubilant emotion that

accompanies the realization of an investment profit leads investors

to the false impression that there is a lower risk than actually exists.

Overconfidence leads to investment mistakes, including a total

disregard of the relationship between risk and reward and over-

concentrated positions within the portfolio. Risk aversion can also

lead to unsatisfactory outcomes. To prevent loss, an investor may

undertake too little risk and fail to meet their investment goals. At

Pinnacle, we practice a systematic approach of asset management

which mitigates emotional investing.

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- INVESTING AND THE ISSUE OF RISK -

A good investment strategy should incorporate risks that

have historically provided positive results while reducing or eliminating

risks that are less likely to provide rewards. Loss of principal is a

significant risk in investing and is the sole focus of many individuals.

However, those who delegate too much of their money to safe and

predictable investment options often face running out of money or

not being able to support their lifestyle due to the long term impact

of inflation. Our investment strategies encompass a combination of

capital preservation and an appropriate level of risk assets to help our

clients keep pace with inflation.

- WHAT IS YOUR RISK NUMBER -

At Pinnacle, we use a program called Riskalyze to obtain an

“objective”, quantifiable measurement of a client’s risk tolerance. In

addition, the software computes corresponding risk measurement

scores for each of our investment portfolios. Marrying the two

concepts together provides our clients with the peace of mind in

knowing that the investments we propose will not subject them to

unwanted levels of risk.

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- DECLINES IN THE MARKET: A DANGEROUS TIME FOR INVESTORS-

Over the past decade, investor confidence has been shaken

by large swings in the financial markets and investment loss.

Empirical evidence suggests that avoiding a large or “bear market”

loss is one of many critical factors in successful retirement income

planning. At Pinnacle, we have invested a considerable amount of

time and resources into developing an investment strategy that, at

its core, is rooted in a principle of capital preservation. We monitor

and evaluate a whole host of financial market information including

the price, volume, and momentum data of each individual stock, ETF,

and mutual fund holding in our investment models. The goal of this

process is to minimize investment loss via systematic reduction of

risk exposure during times of market decline, then reinvesting capital

when market characteristics turn more favorable. Having a plan in

place to minimize the impact of market declines can prove crucial to

attaining one’s long term financial goals.

Int e g r i t y • Wi s d om • C h ar a c t e r

INTEGRIT YWe put the interests of our clients before our own, making their

goals our goals.

WISDOMWe believe that the pursuit of knowledge never ends, and we strive

to develop our expertise to deliver sound advice.

CHARACTEROur employees are honest, hard working, and dedicated to serving

our clients.

Pinnacle Asset Management, Inc. is a Registered Investment Adviser. Advisory services are only offered to clients or prospective clients where Pinnacle Asset Management, Inc. and its representatives are properly licensed or exempt from licensure. This brochure is solely for informational purposes. Past performance is no guarantee of future returns.

Investing involves risk and possible loss of principal capital. No advice may be rendered by Pinnacle Asset Management, Inc. unless a client service agreement is in place.

2271 Lava Ridge Court, Suite 200Roseville, CA 95661

888.207.8118 toll free916.772.0807

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Int e g r i t y • Wi s d om • C h ar a c t e r