1. NEW YORK INVESTING MEETUP September 27, 2016 Eric Parnell, CFA Gerring Capital Partners

2. U.S. Presidential Election: Why Should Investors Care?
The U.S. Economy is the largest in the world: Greater than 25% of global GDP
The President of The United States is charged with carrying out fiscal policy that influences GDP
Government spending: 18% of U.S. GDP
Taxation
Regulation
Deficits & Debt
Entitlements
International trade
GDP drives corporate earnings, which drive stock prices
Source: Gerring Capital Partners

3. Let’s Not Forget Arguably The Most Powerful Person In The World
Janet Yellen
Chair
U.S. Federal Reserve
Source: Gerring Capital Partners, Real Clear Politics

4. 43.1% 41.5% Too Close To Call Hillary Clinton Donald Trump Democrat
Republican
43.1%
41.5%
Source: Gerring Capital Partners, Real Clear Politics

5. The Middle 20% Decide Elections: Where Are They Today?
Source: Gerring Capital Partners, Wikipedia

6. Voting For, Or Voting Against? The Power Of “No”
Hillary Clinton
Democrat
Donald Trump
Republican
Gary Johnson
Libertarian
Jill Stein
Green
43.1%
41.5%
7.4%
2.4%
Undecided/Other: %
Source: Gerring Capital Partners, Real Clear Politics

7. Who Is Wall Street Rooting For?
July 27 to August 27: From Trump +1 to Clinton +6
S&P 500 Index +0.64%
August 27 to September 19: Clinton +6 to Clinton +1
S&P 500 Index -1.89%
September 19 to September 27: Clinton +1 to Clinton +3
S&P 500 Index +0.97%
Source: Gerring Capital Partners, Real Clear Politics, S&P

8. No Lame Duck Market 66% Winning Percentage 79% Winning Percentage
S&P 500 Index
Price Return From November to January
During Election Years Since 1900
S&P 500 Index
Price Return From November to January
During Election Years Since 1960
66% Winning Percentage
79% Winning Percentage
Source: Gerring Capital Partners, S&P

9. Stocks Respond To Both Republicans & Democrats
S&P 500 Index
Price Return From November to January
During Election Years Since 1960
S&P 500 Index
Price Return From November to January
During Election Years Since 1960
Republican - Up 5 of 7
Democratic – Up 6 of 7
Source: Gerring Capital Partners, S&P

10. Winners U.S. Large Caps Multinationals Hospitals & Managed Care
Solar Energy
Dividend Stocks
U.S. Small Caps
Domestics
Pharmaceuticals & Biotech
Fossil Fuels
Regional Banks
Defense
Infrastructure
Source: Gerring Capital Partners, Real Clear Politics

11. The Biotech Bear
Source: Gerring Capital Partners, Real Clear Politics

12. Is The Third Time A Charm?
William Howard Taft
Herbert Hoover
George H.W. Bush
Source: Gerring Capital Partners, Wikipedia

13. Late Stages Of The Secular Market Cycle
Source: Gerring Wealth Management, Robert Shiller Online Data

14. Secular Bear Markets Need A Cleanse To End
P/E Ratio
13.5
6.8
5.8
5.3
Source: Gerring Wealth Management, Robert Shiller Online Data

15. Disclosure: This presentation and the discussion related to the presentation is for information purposes only. There are risks involved with investing including loss of principal. Gerring Capital Partners makes no explicit or implicit guarantee with respect to performance or the outcome of any investment or projections made. There is no guarantee that the goals of the strategies discussed by Gerring Capital Partners will be met.