How will Sayaset invest my money?
What is the suggested amount of time for which I should invest my money?
Are there any guarantees?
Where is my money held?
Is my money grouped with funds from many other people?
How has Sayaset modified its investment strategies to reflect the current economic situation?
Is it safe to invest in the market in today's economy?
I would like to minimize my market exposure. Are there investments outside of the stock exchange that you can suggest?
What is the minimum investment?
What does Sayaset charge for its services?
Is this the right decision for me?

How will Sayaset invest my money?

STRATEGY - The Sayaset Premium Portfolio will typically invest in 1 to 12 Fidelity mutual fund sectors. This portfolio may be margined at approximately 25% and will buy additional shares in the same sectors with the proceeds. The Sayaset Premium IRA Portfolio uses the same strategy as the Sayaset Premium Portfolio, except it does not employ margin or leverage.
The Grand Prix Portfolio is more volatile than the Premium Portfolio since it invests in a maximum of 4 sectors.
Fidelity Sectors will be the primary funds used in these portfolios, but none of the other Fidelity funds and non-Fidelity mutual funds, will be excluded from consideration. Sayaset uses its successful proprietary technical system of "sector rotation" based on information from various newsletters, newspapers, and financial periodicals. Because Sayaset implements multiple switches during the year, our performance is expected to outperform the S&P 500 over a full market cycle time frame (which is approximately seven years).

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What is the suggested amount of time for which I should invest my money?

TIME HORIZON - In order for clients to receive maximum benefit from the Sayaset Investment Program, their intention should be to keep their money invested in the program for a full market cycle, which is usually seven years. Clients, of course, may withdraw their money and discontinue their relationship with Sayaset at any time without incurring a penalty.

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Are there any guarantees?

GUARANTEES - Although Sayaset cannot and does not assure future performance, it does make the following guarantees. The Stilerman family will personally manage your account and are we are readily available for consultation. The Sayaset principals invest their own money in the Sayaset Portfolios. When Sayaset's principals trade for themselves, they will make similarly trades for you. You may discontinue your relationship with Sayaset at any time without incurring a penalty.

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Where is my money held?

CUSTODIAN - Fidelity Investment Co. was chosen as the custodian for these accounts because it is the world's largest mutual fund firm, with managed assets of more than $1.9 trillion (as of July 22, 2008).
It serves more than 24 million individuals and institutions as well as 5,500 financial intermediary firms. Fidelity has the largest number of sector funds in the industry. Each Fidelity account is insured by the Securities Investor Protection Corporation. Sayaset is not affiliated with Fidelity, nor does it receive any remuneration from them. Its revenues come only from client's fees.

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Is my money grouped with funds from many other people?

PERSONAL BROKERAGE ACCOUNT - As a Sayaset client, you will have an Individual Brokerage Account at Fidelity. You will have a personal online account, with full access to your funds. You may add or withdraw money from your account at any time. Sayaset cannot withdraw any money from your account without your consent. It has "limited trading authorization," whereby it can only trade and make switches on your behalf among funds.
You will receive from Fidelity: monthly statements, a detailed annual statement, and confirmation statements on all transactions as they occur. You will also receive quarterly performance summaries from Sayaset.

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How has Sayaset modified its investment strategies to reflect the current economic situation?

Sayaset's objective is to provide superior performance results through a full market cycle, while minimizing the risk to our clients' assets. We have been successful in meeting our goals for many years through utilizing our proprietary system of sector rotation. Regrettably, we have all experienced a difficult year, and it is clear that steps must be taken to prevent losses in the future. Therefore, we have adopted a more conservative approach within our company to avoid the loss of capital during a bear market. In addition, we have decided not to accept new investors for our most aggressive portfolio, the GP Turbo.

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Is it safe to invest in the market in today's economy?

Experts disagree across the spectrum. Some feel it's the best time ever to invest. Others feel that we are in for a long-term recovery period. Economic and market forecasts for 2009 are all over the board; you can probably find an expert to back up whatever you want to believe. We are optimistic and hope for the best. However, Sayaset always recommends that you should expose only 10% of your investment capital to the market.

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I would like to minimize my market exposure. Are there investments outside of the stock exchange that you can suggest?

Yes. Sayaset is exploring many other profitable opportunities including select real estate investments and fixed incomes. We are in the midst of finalizing a real estate investment that will offer investors a choice of joining the venture as a partner or receive a fixed income of 10% annually collateralized by the property. Feel free to call us to discuss this opportunity in more detail.

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What is the minimum investment?

MINIMUM INVESTMENT – The minimum investment for the Sayaset Premium Portfolios is $85,000. The minimum investment for the Sayaset Grand Prix Portfolio is $25,000.

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What does Sayaset charge for its services?

FEES – Up until 2008 Sayaset was only available to accredited investors (as defined by SEC rule 205-3A) – whereby a "qualified" person could open an account with a minimum investment of $250,000. As of August 1, 2008 Sayaset is being made available even to non-accredited investors. Non-accredited investors differ in that they will not be charged a performance fee. In lieu of a performance fee non-accredited investors will be charged an additional 0.5% base management fee as disclosed below.
Base Fee –The base fee varies according to the amount of assets under management as seen in the chart below. It will be charged quarterly prorated at 1/4 of the annual rate. It will be charged in advance, on the 1st of each quarter, based on the total assets under management on that day.
Annual Performance Fee – The performance fee is 10% of the net increase of the portfolio value. It is billed annually on January 1st on the net increase of portfolio value of the previous year ending December 31st. The performance fee is not charged to non-accredited investors.

If a client has more than one account, Sayaset will aggregate all account balances to determine the base fee.

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Is this the right decision for me?

PRUDENT ADVICE -Sector investing is not for everyone. It has inherent risks of losing some or all of the invested capital. Before establishing a relationship with Sayaset, a perspective client must: (a) thoroughly read Fidelity's Sector Investment Prospectus and its accompanying Guide to Sector Fund Investing, (b) thoroughly read Sayaset's ADV disclosure document, (which was filed with the State of New York, Office of the Attorney General), (c) consult his accountant, lawyer and investment advisor as to the suitability of this investment.

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Important Notes:
1. Sayaset Capital Management, LLC (Sayaset) prepares all performance figures.
2. Sayaset Portfolios: All client accounts are individually managed by Sayaset. The accounts were opened at different times with different starting balances. Some had additions and/or withdrawals. Thus, the performance result of each account varies. For presentation purposes, Sayaset chose 4 actual traded accounts to reflect the 4 different investment strategies it uses. The accounts chosen were the largest in their respective portfolios at the inception date of that portfolio. Actual financial statements from Fidelity Investment Co. verifying the values and holdings of the presented accounts are available upon request. Sayaset's performance fee (if any) will be billed on January 1, 2009, and will vary from one account to the other. Thus the performance fee was not deducted from the performance results. All Fidelity fees, and the Sayaset base management fee (1%), were deducted from the performance figures.
3. All positions in accounts within a portfolio are traded similarly, but not traded pari passu. This may result in performance variance between accounts.
4. Client may access his account online at www.sayaset.com. The first time the client accesses his account he will be required to go through a one-time setup to establish a PIN.
5. Time-Horizon: In order for a client to receive maximum benefit from the Sayaset Investment Program, he should plan to keep his money invested in the program for a full market cycle, which is usually seven years. The client of course, may withdraw his money and/or discontinue his relationship with Sayaset at any time.
6. Client retains the right to withdraw money from his account at any time, by personally contacting Fidelity. CAUTION: If client exercises this right he may incur substantial short-term trading fees and may adversely affect the Sayaset trading strategy. If client plans to withdraw funds from his account, he is advised to first contact Sayaset in writing at least 7 business days prior to his planned withdrawal date. It is preferable that a '30-day-prior-notice' be given, so that Sayaset may plan a cost efficient way of executing this withdrawal with minimum damage to the Sayaset trading strategy.
7. Client retains the right to make trades in his account at any time by personally contacting Fidelity. CAUTION: If client exercises this right he may incur substantial short-term trading fees and may adversely affect the Sayaset trading strategy. Sayaset strongly urges clients not to exercise this option.
8. Since accounts are individually managed, they may differ from the presented Portfolio accounts. This may be due to (a) different starting dates (b) additions/withdrawals of funds in the account (c) different margin ratios (d) different Fidelity trade expense ratios (the larger the account, the smaller the expense ratio), and (e) different Sayaset base fees (which is lower for larger accounts as disclosed below). It takes approximately 8 months for an individual account to synchronize its holdings with a Sayaset Portfolio.
9. A qualified person may open an account with a minimum investment of $85,000 for the Premium Portfolio's and $25,000 for the Grand Prix Portfolio's. Sayaset may waive the minimum in cases where the client agrees to deposit additional funds, on a schedule basis, to meet the minimum. Client is charged a quarterly base fee, and an annual performance fee (if any).
QUARTERLY BASE FEE - Charged quarterly to the client’s account, in advance, on total gross assets managed.
Less than $ 100,000 .............. 0.50 % (2 % yearly)
$ 250,000 - $1,500,000.......... 0.31¼ % (1.25 % yearly)
$ 100,000 - $250,000............. 0.375 % (1.50 % yearly)
$1,500,000 and over ............. 0.25% (1% yearly)
ANNUAL PERFORMANCE FEE is 10%, subject to a loss (if any) carry-forward. It is billed annually on January 1st, on the net increase of portfolio value of the previous year ending December 31st. A client can choose not to be charged a performance fee, and in lieu of the performance fee he will be charged an additional 0.5% base fee annually. Performance fee cannot be charged to a non-accredited investor (as defined by the U.S. Securities & Exchange Commission).
Note: In addition to the above fees, Client will also incur charges imposed by Fidelity, as fully disclosed in the ADV document.
10. As your investment advisor, we are required by the SEC, Investment Company Act, Rule 3a-4, to make recommendations in accordance with your individual needs and financial circumstances. We must also periodically check to insure that these needs and circumstances have not changed. If there have been changes in your financial circumstances, please contact Sayaset at 718-355-8965. We will be happy to make any necessary adjustments in your portfolio selection.
11. The most recent ADV Disclosure Document, is available upon request by calling Sayaset and/or by writing to: State of New York, Office of the Attorney General, Investment Advisory Unit, 120 Broadway, New York, NY 10271. It can also be viewed online at adviserinfo.sec.gov
12. Privacy Notice: Sayaset protects and secures its client's privacy as required by SEC Regulation S-P. For a complete written description of the Sayaset Privacy Policy please call our office at 718-355-8965.
13. Proxy Statement: Sayaset does not provide service for proxy voting to its clients. All proxies are sent directly to clients from Fidelity/the custodian. Questions concerning proxy voting should be directed to Fidelity/the custodian.
14. Sayaset is not affiliated with the Fidelity Investment Co., nor does it receive any remuneration from them. Its revenues come only from client's fees.
15. Indices: The S&P 500 figures on the Performance Summary and Performance History pages, reflect the Total Return (including dividends) released by Standard & Poor's. The Nasdaq figures reflect the Price Return (not including dividends).
16. Sector investing is not for everyone. It has inherent risks of losing some or all of the invested capital. Before establishing a relationship with Sayaset, a prospective client must: (a) thoroughly read Fidelity's Sector Investment Prospectus and its accompanying Guide to Sector Investing, (b) thoroughly read Sayaset's ADV Disclosure Document (which was filed with the State of New York, Office of the Attorney General) and (c) consult his accountant, lawyer and investment advisor as to the suitability of this investment.
17. Past results are not indicative of future results. Future performance may not meet investment objectives and may result in losses instead of gains.

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