INVESTMENT CONSIDERATIONS

You should consider the risks, as well as the potential returns, when deciding whether to invest in stocks.

RISKS of INVESTING

Investment in growth companies entails significant risks. The prices of growth company securities may rise and fall dramatically, based in part, on investors' perceptions of the company rather than on fundamental analysis of the stocks. In certain cases, we may identify a company as a growth company based on a belief that actual or anticipated products or services will produce future earnings, revenues or stock price appreciation. If the company fails to realize these products or services, the price of its stock may decline sharply and become less liquid. Investments in small- and medium-capitalization companies often involve greater risks than investments in larger, more established companies because small- and medium-sized companies may lack the management experience, financial resources, product diversification and competitive strengths of larger companies. Investments in technology companies present special and significant risks. For example, if technology continues to advance at an accelerated rate, and the number of companies and product offerings continues to expand, increasingly aggressive pricing may affect the profitability of companies in which we invest. In addition, because of the rapid pace of technological development, products and services produced by companies in which we invest may become obsolete or have relatively short product cycles. 

PORTFOLIO TURNOVER

MindShare Capital Management, LLC may engage in short-term transactions under various market conditions to a greater extent than certain other investment advisers. Portfolio turnover rate may exceed 300%. The portfolio turnover rate may vary greatly from year to year or during periods within a year. A high rate of portfolio turnover generally leads to greater transaction costs and will result in additional tax consequences to investors. MindShare Capital Management, LLC does not consider or attempt to minimize tax consequences to investors when managing client portfolios. Consult your tax adviser to determine the effect of any tax consequences on your particular financial situation.

NON-DIVERSIFICATION RISK

MindShare Capital Management, LLC may invest in a limited number of companies. Consequently, the performance of any one company may have a substantial impact on the performance of a client’s portfolio. In addition, the value of a client’s portfolio may fluctuate more than if we invested in a larger number of companies. MindShare Capital Management, LLC also may concentrate investments in one sector or one industry.