In 2008, we achieved our primary goal of protecting client capital in a very difficult investment environment in all asset classes. We continue to deliver on our investment goal of keeping up in good markets and protecting client capital in bad ones.

Over the last two years, the stock market has endured one of its worst performances in generations. While the the S&P 500 fell 33% over the past two years, the Hurley Capital Composite of client accounts has achieved slightly positive returns for our clients over the same period. We believe our investment process has been tested and validated by its performance in these markets and our clients are well-positioned to benefit when better markets return. As a comparison, while the Hurley Capital Composite is slightly above December 2006 levels, the S&P 500 will need to rise about 50% from its 2008 year-end value to recoup its losses of the last two years.

Morningstar, a leading independent research and rating agency, has recognized the risk-adjusted performance of our Core Equity strategy by giving us a five-star rating. This is their top rating and we are honored to receive this third-party recognition of our work.

We have received many referrals as individuals rethink investment strategies and relationships. We appreciate your confidence in us and thank you for your consideration.

Sincerely,