• We evaluate buying opportunities when our quantitative decision rules identify an uptrend in the price of a security.
• An uptrend is determined by a security’s price rising above both the recent low of its upper band and a secondary moving average.
• A security’s bands are related to its historic volatility and are offset above and below a short-term exponential moving average.

This is an illustrative example of how the Sierra Mutual Funds (“Funds”) and Ocean Park Asset Management, Inc. (“Ocean Park”) apply their buy-trend methodology to define buy levels/signals for potential security holdings. This is not a representative example of any particular security or client portfolio and is provided for educational purposes only.

• We seek to buy securities exhibiting strong risk-adjusted returns during a recent uptrend.
• Additional metrics, such as strength of the recent uptrend, historical volatility, and correlation to existing holdings, are considered in portfolio construction.
• If there are multiple securities with buy signals in the same asset class, preference is towards buying securities with better, recent risk-adjusted performance.
• For multi-asset-class portfolios, if there are a number of securities with buy signals across different asset classes, risk and diversification are also considered, with the goal of preventing one asset class from having an outsized impact on the portfolio.

• We will sell a security when our quantitative decision rules identify a downtrend in the price of a security.
• A downtrend is determined by a security’s price falling below the recent high of its lower band – an event which triggers a sell signal.
• Our Trailing Stop Discipline seeks to limit the impact of a further decline in value of a security on the overall portfolio.
• Our Trailing Stop Discipline is applied across positions in each of our managed portfolios and monitored daily.
• When a position is sold, we may keep the proceeds in cash or buy another security.

This is an illustrative example of how the Sierra Mutual Funds (“Funds”) and Ocean Park Asset Management, Inc. (“Ocean Park”) apply their trailing stop discipline (“Discipline”) to define sell levels/signals for security holdings in decline. This is not a representative example of any actual or particular security or any actual client portfolio and is provided for educational purposes only. The Funds and Ocean Park’s proprietary Discipline is used to support our disciplined risk management process. The Funds utilize this Discipline directly in the management of all underlying Fund holdings. Ocean Park utilizes this Discipline directly in the management of non-affiliated holdings. Where Ocean Park invests in its affiliated Sierra Mutual Funds, this Discipline is applied at the underlying funds level, not on the Funds themselves. The Funds are managed by Ocean Park Asset Management, LLC.