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DREW HORTER REVEALS HOW TODRASTICALLY GROWYOUR AUM ANDFIA BUSINESS...LIKE CLOCKWORK PAGE 20$10.00 US www.InsuranceNewsNetMagazine.com DESTINATION: $50 MILLION! INSIDE COVER PRSRT STD U.S. POSTAGE PAIDHARRISBURG PAPERMIT NO. 1112

Help increase your chances of drastically multiplyingyour AUM and FIA sales with the Horter AdvisorSuccess Kit. This 6-piece resource kit includes: » Why you won’t have to worry about your competitors » 3 key differentiators you can have as an Investment Advisor Rep (IAR) and how to get there » A special invitation to our Las Vegas event — with 12 reasons why you should be there! » Comparison charts for ideal portfolios for your clients Join Horter Investment Management at the Luxor in Las Vegas September 19th & 20thThis exciting 2-day advisor event includes:» Strategies to help attain ALL of the client’s assets » Why the DOL fiduciary regulation works in» How to build a successful practice — step by step! Make favor of the Horter Investment Advisor your practice fun again! » Special guest speaker: How to Increase your» Successful marketing ideas to help you get in front of 20–25 Sales 80% in 8 Weeks new prospects per month — and close 8–14 of them! » And much, much more!» Strategies to dismantle and overcome the advice offered by brokerage firms and banksDownload the full agenda and registration form at www.HorterSuccess.com SPONSORED SPONSORED Drastically Grow Your AUM and and advisors’ best interest, not yours. How can Horter Investment Man- Investments That FIA Business... Like Clockwork Sure proprietary managers can have agement help advisors with the Complement Fixed lower fees—since they do not have Department of Labor’s new ruling? Index AnnuitiesRead the interview with Horter Investment Management’s founder, Drew K. Horter started in the financial services industry in 1982. In 1986, as a CFP, he joined forces to pay any outside managers—but As an RIA, we are one of the four insti-Drew Horter. Before he became a coach and mentor, he brought in $25 with three other CFPs to start their own financial planning firm. After the 1987 stock market crash, how can they say they are the best tutions approved by the DOL. We can Drew Recommends:million in new assets a year, like clockwork, and he explains how you he and his partners decided to become fee-based and avoid high commission mutual funds for at everything when there are thou- help advisors as fee-based fiduciaries Low risk, low volatility and lowcan easily follow his methods. Page 20 their clients. They started as solicitors to third party money managers, then went on to start their sands of managers to choose from? It by showing them how to be compliant drawdown tactical third party own RIA firms in 1991. By 1992, Drew had over $22 million of Assets Under Management and a very doesn’t make any sense. with our portfolios and their annuities. portfolios with excellent rates successful practice. In 2002, after working strictly by referrals for 20 years, he started marketing With an excellent compliance depart- of return over time. in order to attain $25 million in new assets every year, generally $10 million in Fixed Index Annu- If you have a bad year as a pro- ment, excellent strategic partners and ities and $15 million in Assets Under Management. prietary portfolio manager, do you consultants, our advisors will thrive. We Why: The result was a fine-tuned system that enabled Drew to know precisely the marketing metrics fire yourself, or do you “spin” it for will make the necessary changes and It’s the “perfect segue” from the for each event, including marketing expenses, client acquisition costs, how many new clients he’d your clients or advisors? We actu- updates for them. And with our risk tol- FIA sale of safety and security. acquire and how much assets he’d attain for each new client. Now, as Founder and Chief Invest- ally fired ourselves in 2008 as a buy erance scoring and stress tests, we will ment Strategist of Horter Investment Management, Drew is showing other advisors how to achieve and hold equity portfolio manager. excel with both the DOL regulation and How Horter Does It: these same astounding results. In this Q&A, he discusses exactly how it happens. We came to the conclusion that buy the client’s best interest. With low risk investment man- and hold (hope and a prayer invest- What kind of business growth can agers who have low maximum Why did you choose the financial What obstacles hold securities- this with low and moderate risk asset ing) did not work for retirees, pre-re- advisors expect when working with drawdowns (generally 2-5%) for industry for your career? licensed advisors back from management. Advisors need to plan for tirees and conservative investors. It Horter Investment Management? retirees, pre-retirees and conser- Investing has always been a passion advancing in their careers? the next six months to a year for mar- was the right thing to do for our cli- We can take advisors from $0 to $10 vative investors; they’re placed of mine. I owned 40 apartments by Most advisors do not have adequate keting, industry education and family ents and advisors. It’s not about me; million, $20 million, $30 million, $40 together in a sleeve of 3-4 man- the time I was 24, and very few peo- marketing systems and procedures time, and we help set that plan in place. it’s about doing what’s right. With pro- million or $50 million per year of AUM agers with different tactical mod- ple understood how to invest in real to manage the growth and efficiency prietary asset management, you lack and FIA sales. We have done this many els, asset classes and algorithms. estate. of their practice. Broker/dealers do Plus, we have an abundance of online total objectivity, which is a bad idea times. If advisors specifically follow our not teach you how to market, provide resources, and we provide additional for investors. systems and procedures, in just a few Moderate Risk Option: By nature, I am risk-averse, so I a detailed first and second meeting coaches who complement the Horter How do you help advisors comply short years this can happen to focused, The moderate risk Sleeve has chose the financial industry for my agenda, analyze the client’s current Training System very well. We also have with SEC regulations? energetic advisors. Our system works approximately 20% of the S&P career because I really wanted to help portfolio, define the client’s true risk six vice presidents standing ready to We have a full compliance team at so advisors do not have to deviate from 500 maximum drawdown of 50%. clients understand investments and tolerance, or evaluate the client’s actual tear apart brokerage statements, tax Horter Investment Management, com- what we teach them. With our extensive how to make the right decision for maximum drawdown and risk. Insurance returns, etc., to help advisors win the bined with former FINRA and SEC con- training, in six months they can know their long-term future. Many investors companies do not provide any of these business virtually every time. sultants to help our Chief Compliance more than 95 percent of the advisors in lack the knowledge on how to design detailed steps either. Advisors need a What makes Horter Investment Officer oversee our Investment Advi- the field. I’d like to add that attending specific portfolios that match their coach and mentor who has extensive Management different when it sor Representatives. We also have as our Las Vegas 2016 Training September desired risk tolerance; they go blindly knowledge and has been in the trenches comes to asset management and our outside counsel the former Direc- 19th and 20th will be a great experience. into stocks and bonds, where the risk a long time to guide them every step planning? tor of Enforcement for Ohio. is the diametric opposite of what they of the way. At Horter, we provide these. On the asset management side, we do really want. How does Horter Investment Man- not like drawdowns in client portfolios. Head Toward $50 Million! How did you end up mentoring agement help advisors overcome We do everything we can to minimize Help increase your chances of drastically multiplying your AUM and FIA sales with other agents? this void? drawdowns or losses while still main- the Horter Advisor Success Kit. This 6-piece resource kit includes: The stock market volatility and risk We teach and coach systems and pro- taining an excellent rate of return over that started in July 2007 was so bad cedures with what we call our Financial time. We believe in combining excellent • Why you won’t have to worry about your • A special invitation to our Las Vegas event that we sought to find low risk, low Manufacturing Firm, and it all starts low risk, low drawdown tactical manag- volatility and low drawdown money with excellent external and internal ers with FIAs to protect clients’ assets competitors – with 12 reasons why you should be there! managers who still could provide pro- marketing campaigns to see 10–20 over the next 15, 20, 25-plus years. tection and very good rates of return new quality prospects per month. • 3 key differentiators you can have as an • Comparison charts for ideal portfolios for over time for our clients. We had a very Constant training is a must for our We use all third-party managers. We Investment Advisor Rep (IAR) and how to your clients successful RIA firm, with $88 million advisors. Our monthly trainings also believe with third-party managers you get there in AUM in 2008. That’s when other have total objectivity. When you have a proprietary manager, you assume Get your success kit today at www.HorterSuccess.com

SPONSOREDDrastically Grow Your AUM andFIA Business... Like ClockworkDrew K. Horter started in the financial services industry in 1982. In 1986, as a CFP, he joined forceswith three other CFPs to start their own financial planning firm. After the 1987 stock market crash,he and his partners decided to become fee-based and avoid high commission mutual funds fortheir clients. They started as solicitors to third party money managers, then went on to start theirown RIA firms in 1991. By 1992, Drew had over $22 million of Assets Under Management and a verysuccessful practice. In 2002, after working strictly by referrals for 20 years, he started marketingin order to attain $25 million in new assets every year, generally $10 million in Fixed Index Annu-ities and $15 million in Assets Under Management.The result was a fine-tuned system that enabled Drew to know precisely the marketing metricsfor each event, including marketing expenses, client acquisition costs, how many new clients he’dacquire and how much assets he’d attain for each new client. Now, as Founder and Chief Invest-ment Strategist of Horter Investment Management, Drew is showing other advisors how to achievethese same astounding results. In this Q&A, he discusses exactly how it happens.Why did you choose the financial What obstacles hold securities- this with low and moderate risk assetindustry for your career? licensed advisors back from management. Advisors need to plan forInvesting has always been a passion advancing in their careers? the next six months to a year for mar-of mine. I owned 40 apartments by Most advisors do not have adequate keting, industry education and familythe time I was 24, and very few peo- marketing systems and procedures time, and we help set that plan in place.ple understood how to invest in real to manage the growth and efficiencyestate. of their practice. Broker/dealers do Plus, we have an abundance of online not teach you how to market, provide resources, and we provide additional By nature, I am risk-averse, so I a detailed first and second meeting coaches who complement the Horterchose the financial industry for my agenda, analyze the client’s current Training System very well. We also havecareer because I really wanted to help portfolio, define the client’s true risk six vice presidents standing ready toclients understand investments and tolerance, or evaluate the client’s actual tear apart brokerage statements, taxhow to make the right decision for maximum drawdown and risk. Insurance returns, etc., to help advisors win thetheir long-term future. Many investors companies do not provide any of these business virtually every time.lack the knowledge on how to design detailed steps either. Advisors need a What makes Horter Investmentspecific portfolios that match their coach and mentor who has extensive Management different when itdesired risk tolerance; they go blindly knowledge and has been in the trenches comes to asset management andinto stocks and bonds, where the risk a long time to guide them every step planning?is the diametric opposite of what they of the way. At Horter, we provide these. On the asset management side, we doreally want. How does Horter Investment Man- not like drawdowns in client portfolios.How did you end up mentoring agement help advisors overcome We do everything we can to minimizeother agents? this void? drawdowns or losses while still main-The stock market volatility and risk We teach and coach systems and pro- taining an excellent rate of return overthat started in July 2007 was so bad cedures with what we call our Financial time. We believe in combining excellentthat we sought to find low risk, low Manufacturing Firm, and it all starts low risk, low drawdown tactical manag-volatility and low drawdown money with excellent external and internal ers with FIAs to protect clients’ assetsmanagers who still could provide pro- marketing campaigns to see 10–20 over the next 15, 20, 25-plus years.tection and very good rates of return new quality prospects per month.over time for our clients. We had a very Constant training is a must for our We use all third-party managers. Wesuccessful RIA firm, with $88 million advisors. Our monthly trainings also believe with third-party managers youin AUM in 2008. That’s when other include what to do every step of the have total objectivity. When you haveadvisors began asking me to mentor way through first and second appoint- a proprietary manager, you assumeand coach them on our proven sys- ments, to determine how much risk cli- you are the very best. Not so! RIAstems and procedures for a successful ents want, where they cannot lose their with their own proprietary portfoliospractice. principal or annual gain and integrate (some with back testing) are not being fiduciaries to their clients or advisors. You have to do what is in your clients’

SPONSOREDand advisors’ best interest, not yours. How can Horter Investment Man- Investments ThatSure proprietary managers can have agement help advisors with the CInodmexpleAmnennutitFieixsedlower fees—since they do not have Department of Labor’s new ruling?to pay any outside managers—but As an RIA, we are one of the four insti- Drew Recommends:how can they say they are the best tutions approved by the DOL. We canat everything when there are thou- help advisors as fee-based fiduciaries Low risk, low volatility and lowsands of managers to choose from? It by showing them how to be compliant drawdown tactical third partydoesn’t make any sense. with our portfolios and their annuities. portfolios with excellent rates With an excellent compliance depart- of return over time. If you have a bad year as a pro- ment, excellent strategic partners andprietary portfolio manager, do you consultants, our advisors will thrive. We Why:fire yourself, or do you “spin” it for will make the necessary changes andyour clients or advisors? We actu- updates for them. And with our risk tol- It’s the “perfect segue” from theally fired ourselves in 2008 as a buy erance scoring and stress tests, we will FIA sale of safety and security.and hold equity portfolio manager. excel with both the DOL regulation andWe came to the conclusion that buy the client’s best interest. How Horter Does It:and hold (hope and a prayer invest- What kind of business growth caning) did not work for retirees, pre-re- advisors expect when working with With low risk investment man-tirees and conservative investors. It Horter Investment Management? agers who have low maximumwas the right thing to do for our cli- We can take advisors from $0 to $10 drawdowns (generally 2-5%) forents and advisors. It’s not about me; million, $20 million, $30 million, $40 retirees, pre-retirees and conser-it’s about doing what’s right. With pro- million or $50 million per year of AUM vative investors; they’re placedprietary asset management, you lack and FIA sales. We have done this many together in a sleeve of 3-4 man-total objectivity, which is a bad idea times. If advisors specifically follow our agers with different tactical mod-for investors. systems and procedures, in just a few els, asset classes and algorithms.How do you help advisors comply short years this can happen to focused,with SEC regulations? energetic advisors. Our system works Moderate Risk Option:We have a full compliance team at so advisors do not have to deviate fromHorter Investment Management, com- what we teach them. With our extensive The moderate risk Sleeve hasbined with former FINRA and SEC con- training, in six months they can know approximately 20% of the S&Psultants to help our Chief Compliance more than 95 percent of the advisors in 500 maximum drawdown of 50%.Officer oversee our Investment Advi- the field. I’d like to add that attendingsor Representatives. We also have as our Las Vegas 2016 Training Septemberour outside counsel the former Direc- 19th and 20th will be a great experience.tor of Enforcement for Ohio.Head Toward $50 Million!Help increase your chances of drastically multiplying your AUM and FIA sales withthe Horter Advisor Success Kit. This 6-piece resource kit includes:• Why you won’t have to worry about your • A special invitation to our Las Vegas eventcompetitors – with 12 reasons why you should be there!• 3 key differentiators you can have as an • Comparison charts for ideal portfolios for Investment Advisor Rep (IAR) and how to your clients get thereGet your success kit today at www.HorterSuccess.comInvestment advisory services offered through Horter Investment Management, LLC, a SEC-Registered Investment Advisor. Horter Investment Management does not pro-vide legal or tax advice. Investment Advisor Representatives of Horter Investment Management may only conduct business with residents of the states and jurisdictions inwhich they are properly registered or exempt from registration requirements. Insurance and annuity products are sold separately through Horter Financial Strategies, LLC.Securities transactions for Horter Investment Management clients are placed through Trust Company of America, TD Ameritrade, Jefferson National Life InsuranceCompany, Security Benefit Life Insurance Company and ED&F Man Capital Markets.

TacticalInvestingYieldsSUCCESS Protecting client assets with successful tactical wealth managers is the key to long-term investment management. Written by Peggy O’Farrell Photography by Tracy Doyle In volatile times, knowing when to take a risk and when What adjustments, if any, are you making in your moneyto walk away is the key to success. Drew K. Horter, presi- management strategy because of it?dent, founder and chief investment strategist at HorterInvestment Management LLC, helps clients balance risk DH: Fortunately, we have multiple money managers onand investment success. The firm oversees more than $1 our platform that have successfully navigated rising inter-billion in assets under management, and has more than est rate environments. There seems to be little debate200 investment advisors and relationships with more than on whether interest rates will rise, the uncertainty is at50 independent advisory firms, representing over 100 ad- what pace rates will rise. Each of the private money man-ditional investment advisor representatives.  These advi- agers we work with are what we would consider “special-sors are located in 44 states including Hawaii. ists”. We’ve integrated each one of them in such a way that we’re diversified across asset classes and manage- Horter talked to LEAD Management about facing ment style, so that our clients are invested in assets thatchallenging market conditions: are not sensitive to interest rate moves, or are less corre- lated, and their portfolio is equipped to handle any sortLEAD MAGAZINE: Can you share what the investment of pace that rates increase.philosophy of Horter Investment Management is? Our strategy remains low risk, low volatility at its core.HORTER INVESTMENT MANAGEMENT: At Horter In- Should interest rates increase quickly, we’ve integratedvestment Management we believe in tactical investment models into portfolios that can benefit from these moves.management. Unfortunately, the term “tactical” has In a situation where interest rates rise at a very slow andbeen used loosely within our industry, but to us it means drawn-out pace, we’ve integrated models that will movehaving the ability to move to a “risk off” or cash position into the strongest income producing areas with the leastto sidestep significant downward moves in the markets. sensitivity to rate changes. This particular scenario con-With lower downside risk, lower volatility and the abil- tinues to be a struggle for fixed income investing, as in-ity to make gains within the portfolio regardless of the terest rates continue to be historically low for a very ex-market’s direction, we believe our clients will be able to tended time.achieve investment success. More specifically, we seekto achieve superior risk-adjusted returns over a full mar- LM: Can you describe the flexibility and benefits pro-ket cycle compared to a traditional 60 percent equities/ vided by Horter’s Tactical Asset Management platform40 percent bonds asset allocation. for your clients?LM: With interest rates expected to gradually increase, DH: Our clients tend to be conservative in nature andhow is your firm preparing for this anticipated event? without a doubt, one of the main benefits they enjoy is knowing that every minute of every day someone is# • LEAD The Leading Organizations of Greater Cincinnati 2014

watching their hard-earning savings looking to make a AT-A- GL ANCEHorter Investmentmove into cash, into a defensive position or into an op- Management Factsportunistic position. They are not subject to the largedraw-downs that are a part of the “buy and hold” pro- • 2014 Ranked # 1 Nationally by Financial Advisorcess. It’s a peace of mind that is hard to place a value on. Magazine by Percentage of Growth in Assets in the $500 million to less than $1 billion category. The flexibility each of our managers have in being ableto protect principal and take positions to make money • 2015 Ranked # 6 Nationally by Financial Advisorin any given market environment is special. We’ve posi- Magazine by Percentage of Growth in Assets intioned each of our models in such a way that they truly the $1 billion to less than $2 billion category.complement one another. We like to say that we are op-portunistic in good times and defensive in bad. At the • 2015 Recognized as a Top Money Managerend of the day, it provides our clients the opportunity to by the Cincinnati Business Couriernot only protect their investment principal in any marketenvironment, but participate with gains in any market en- • 2013 Fastest Growing RIA with Custodian,vironment – up market, down market or a sideways mar- Trust Company of Americaket. Our clients do not have to rely on markets to makenew highs to realize growth in their portfolios. It is reas-suring for them to know that they do not sacrifice upsideopportunities in exchange for managing downside risk. LM: How does your firm determine what are the most continuously test a client’s risk tolerance while delivering above average returns in helping them meet their finan- important factors to consider when recommending in- cial goals. vestment products to clients? LM: It’s been five years since Dodd Frank became law and placed major regulations on the financial industry DH: For us it is very simple: As a client, what is the maxi- to protect consumers as a result of the financial collapse mum loss you would accept before you would begin to in 2008. Can you give us a fresh look on the impact it’s feel very uncomfortable? At its core, isn’t that the ques- had on the industry and consumers? tion every risk tolerance questionnaire or test is trying to answer? Let’s skip the dance and just address it upfront. DH: The consumer has been better protected and in- We use the term “maximum draw-down” a lot. It’s noth- formed through this legislation, and we always believe ing more than a measure of change from a portfolio’s that is a good thing. It has definitely had an impact and top value to its bottom value. If a client’s account was changed the industry. Consumers have never had as at $300,000 and dropped to $240,000, would that client much transparency and information about the financial become very uncomfortable? Would they be tempted to industry as they do today. As a fiduciary it is our respon- change their investment approach, or even get out of the sibility to do what is in the clients’ best interest as well. market? Unfortunately, emotions are an investor’s worst The flipside of that is can the consumer process all of this enemy. Even though it’s only a 20 percent draw-down to make better decisions? We live in a 24/7 on-demand in this example, it’s $60,000 of a client’s hard-earned life world, so how does the consumer decipher what is fact savings that they cannot afford to lose. Compare this to and what is misconception? Will it protect everyone from the 35 percent maximum draw-down of a 60/40 allocation another financial collapse? Only time will tell. Even with (balanced by most industry standards), and clients are the best of intentions, sometimes people cannot even be constantly battling their instincts over their investment protected from themselves. positioning recommended by their advisor. LM: Since the Fed isn’t expected to raise rates aggres- We go through a simple process with our clients of sively, does this mean income-oriented investors are“bucketing” their overall assets based on maximum draw- going to be at a disadvantage for some time yet? If so, down. Through a small series of questions we will have what’s your firm’s advice to your clients on how to pro- an allocation comprised of principal guaranteed invest- duce above average returns without a large degree ments (where clients cannot lose money), low risk invest- of risk? ments with lower draw-downs, and moderate risk invest- ments with slightly higher draw-downs but nowhere near DH: In reality, it is really secondary on when the Fed actu- the S&P 500 maximum draw-downs. This Managing Risk ally decides to raise interest rates. The real factor to con- 3 Buckets approach clearly defines the expectations and sider is how the market behaves in anticipation of a Fed experiences along the way for both the advisor and client. We strive to recommend portfolio allocations that will not LEAD The Leading Organizations of Greater Cincinnati 2014 • #

decision. If investors look to exit a popular trade (which er investments in their search for yield. Their first stopfixed income has been) and there is a run on redemp- – bonds. In an extremely overcrowded trade, the mosttions, you don’t want to be the last one out of a burning fearful investors will be quick to exit. Whether it’s in an-building. ticipation of, or a reaction to a rise in rates, we believe allFixed income investors have been at a disadvantage markets will move quickly. We see an environment full offor quite some time. With interest rates being held at volatility in short spurts. If you can envision a crowdedthese historically low levels for an extremely extended room with everyone huddled near the door, just waitingperiod of time, traditional fixed income investors have for the fire alarm to be pulled or someone to smell smokebeen forced to look elsewhere for return. It starts with before starting to race out . . . that’s how this market feels.a bit more risky fixed income investment, then gravitates Sometimes there isn’t even an alarm that rings or theinto dividend-paying stocks and then possibly into real smell of smoke, sometimes it’s just the rumor of smokeestate or master limited partnerships. This is all done in that sends people crashing through the door.an effort to maintain an income or cash flow from theirinvestments. All the while, the client has significantly in- LM: What is your firms view on how best to prepare andcreased their exposure to risk and maximum draw-down. monitor the markets to continue providing above aver- We are recommending clients continue to reallocate age returns while maintaining a reasonable amount ofto investments that don’t have as much interest rate sen- safety and stability in their portfolios?sitivity. In addition, we are allocating more of the port-folios to models that can hedge interest rates. This al- DH: We believe that markets always change, but investorlows clients to stay invested in traditional fixed income or behavior doesn’t. That being said, we look much closerincome oriented investments without being significantly at different areas of the markets that tend to be lead-impacted by rising interest rates. ing indicators and a direct reflection of investor behav- ior. Whether it is high yield bonds or small cap stocks, orLM: In an economic environment where rates gradually even a flight to quality in the perceived “safest” of assets, all of these are taken into consideration when construct-increase, how do you expect the stock markets to react ing our client portfolios.short and longer term? We’ve seen some deterioration and breakdowns in several areas of the markets that have led us to positionDH: There are several reasons that make this particular our portfolios more defensively. The recent volatility inrising rate environment very challenging. In preparing long-term treasuries has been extremely high. This isourselves for the future, we need to take a look back to due to the anticipation of the Federal Reserve potentiallysee how we’ve arrived at where we are. The Federal Re- raising the Fed Funds Rate and the growing concern ofserve reduced the Federal Funds Rate from over 5% to slowing global growth and ultimately a flight to safety.0%-0.25%. The economy did not respond and more wasneeded. The Fed then embarked on Large Asset Pur- Both high yield bonds and small cap stocks beganchasing programs, purchasing mortgage and treasury to breakdown in June. The majority of the fixed incomebonds (the most sensitive of fixed income investments) in world has been down for most of this year due to the fearthe open market. Through this process, the Fed essen- of rising interest rates. Taking everything into consider-tially has created the “effect” of interest rates below zero. ation, we have been in positions that are not sensitive, or have very little sensitivity, to interest rates. In addition, In addition, bank debt capital issuance has touched an we have been in larger-than-normal cash or “hedged”all-time high as new rules in the aftermath of the global positions for the last few weeks. This has allowed us tofinancial crisis have prompted global financial institutions better protect our clients from what we foresee as a veryto shore up their balance sheets with unprecedented vol- volatile and challenging period for equities.umes of subordinated bonds. Global banks more thandoubled debt issuance last year – driven by a sixfold rise Safety and stability are some of the main reasons ourin Asian bonds. Just about every region in the globe has clients have chosen to work with Horter Investment Man-entered some form of “easing”. This means that as inter- agement. In addition, our ability to sidestep potentialest rates begin to rise, which will more than likely start market drawdowns and exploit opportunities, allows ushere in the U.S., the effects will ripple around the world. to deliver above average returns. We believe that we’re entering the beginning of an extremely challenging envi- Keep in mind that the Federal Reserve only controls ronment, and our clients have very little anxiety.the Federal Funds Rate, which is nothing more than theovernight rate banks lend to one another and the Dis-count Window. They do not control the rates on bonds. Horter Investment Management is located at 8316 Cornell Road,The most conservative investors have been forced to Cincinnati, OH 45249. You can reach them at 513.984.9933 orexpand their natural risk tolerance and move into riski- visit their website at www.horterinvestment.com# • LEAD The Leading Organizations of Greater Cincinnati 2014