Our Bear Market Statement

• A 20% market fall is known as a bear market;

• We have been here before, many times in fact, and if history is a good guide we will be here again, an average of one year in every six;

• Neither the Longhurst team, nor anyone else, can predict when, where or why a bear market will bottom out;

• But be assured that from a historical perspective it will bottom;

• History teaches us that is has always been a mistake for a long-term, goal-focused investor to sell their portfolio when it seems everyone else is doing the same (herding);

• However, the general rule of thumb is this, and you can have this one for free: if your goals haven’t changed, and your portfolio is historically appropriate to those goals, then don’t change the portfolio in reaction to current events;

• As powerful as the urge is to get out of the markets, and as reasonable as it will seem at the time, it is as close to a promise of below average returns at best, and of the destruction of your whole retirement plan at worst, as one can get;

• If you succumb to the herd, and change your portfolio during these moments, it may turn out to be the biggest financial mistake you ever make;

• If your goals haven’t changed, don’t change your portfolio;

• We will always be here for you.

THE VALUE OF INVESTMENTS AND THE INCOME FROM THEM MAY GO DOWN. YOU MAY NOT GET BACK THE ORIGINAL AMOUNT INVESTED.