1. De-worse-ification Securities offered through LPL Financial. Member FINRA/SIPC

2. How Does the Smart Money Look at Diversification? Many Believe Broad Diversification Creates Safety

3. “De-worse-ification: to describe an investment approach where people spread themselves too thin and do not concentrate on the best opportunities available.” Flaws In Broad Diversification - Peter Lynch- Research Consultant and acclaimed Fidelity Investments Magellan Fund manager from 1977-1990

4. “If you can buy more of your best idea, why put [the money] into your 10 th best idea or 20 th best idea?... The more positions you have, the more average you are.” Flaws In Broad Diversification - Bruce Berkowitz Founder and Managing Member of Fairholme Capital Management and a Director of Fairholme Funds, Inc.

5. “Diversification is a protection against ignorance. It makes very little sense for those who know what they are doing… Wide diversification is only required when investors do not understand what they are doing.” “The Best” Investor View -Warren Buffet Chief Executive of Berkshire Hathaway (1966 annual report) General risks inherent to investments in stocks include the fluctuation of market prices, loss of principal, market price at sell may be more or less than initial cost.

6. "Do you really like a particular stock? Put 10% or so of your portfolio on it. Make the idea count … Good [investment] ideas should not be diversified away into meaningless oblivion." “The Best” Investor View -William H. Gross “Bill Gross On Investing” (1998) General risks inherent to investments in stocks include the fluctuation of market prices, loss of principal, market price at sell may be more or less than initial cost.

7. “You’ll need at least a dozen carefully selected individual stocks to be truly diversified.” - Beginner’s Guide to Asset Allocation, Diversification, and Rebalancing (www.sec.gov) Other Views of Diversification

8. “The Wall Street Journal reports that the average stock fund has 172 holdings. What is the point of having that many holdings?” Too Many Holdings? Source: How Many Stocks is too many? Diversification, John Reese, The Guru Investor, Validea, August 19, 2009

9. Definition of 'Standard Deviation' 1. A measure of the dispersion of a set of data from its mean. The more spread apart the data, the higher the deviation. Standard deviation is calculated as the square root of variance. 2. In finance, standard deviation is applied to the annual rate of return of an investment to measure the investment's volatility. Standard deviation is also known as historical volatility and is used by investors as a gauge for the amount of expected volatility. Read more: http://www.investopedia.com/terms/s/standarddeviation.asp#ixzz1o YuAVlIn http://www.investopedia.com/terms/s/standarddeviation.asp#ixzz1o YuAVlIn Source: Investopedia, 2012 What is Standard Deviation?

10. What’s the right number? Source: How Many Stocks is too many? Diversification, John Reese, The Guru Investor, Validea, August 19, 2009

11. No strategy can guarantee profit or protect against a loss. Past performance is not indicative of future results. There is no guarantee that a diversified portfolio will enhance overall returns or outperform a non-diversified portfolio. Diversification does not protect against market risk. Stock investing involves risk including loss of principal. The opinions in this material are for general information only and are not intended to provide specific advice of recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing.