Active Investment Management

Our Investment Strategy

Think about this analogy...

If you want to win a horse race, you have to race your fastest horse

Our Proprietary Relative Strength Investment Strategy, IS the Fastest Horse...

GLOBAL TACTICAL OPPORTUNITY PORTFOLIOS, GTOP®

Is the Fastest Horse

There is a Difference;

Why we manage your Investment Portfolio this way

Research has shown...

Relatively Stronger Investment Sectors Historically have outperformed, the fastest horse

Relatively Weaker Investment Sectors Historically have underperformed, the slowest horse

The Fastest horse wins the race...

The Relatively Stronger Investment Sectors Historically have outperformed over various time frames

The backtested Results are Impressive!

We Utilize a Proprietary

Relative Strength Investment Strategy

Active Investment Management for Upside Growth Potential and Current Income

Disciplined Rules-Based Investment Strategy

Disciplined Risk Management in Down Markets

Your investment portfolio with Rezny Wealth Management, Ltd. is not Buy and Hold. It’s Actively Managed for upside potential, current income and a disciplined risk management strategy in down markets. All based on your goals, objectives and risk profile.

GTOP Portfolio Strategy

GTOP Proprietary Relative Strength Investment Strategy is...

OBJECTIVE

Undistorted by emotion or personal bias.
An Investment Sector is either exhibiting Strong Relative Strength or it is Not. There are No - Ifs, Ands or Buts!
Only investment sectors with strong relative strength based on our Propriety Investment Strategy are candidates for our portfolios GTOP.

ADAPTIVE

Whether the market is favoring Cash, Bonds Stocks, Commodities, Gold, Long, Short, etc., our relative strength screens will lead us to those investment sectors being rewarded most by the market, with the probability that those investment sectors will continue to be good performers in the future.

Global Tactical Opportunity Portfolios (GTOP)

Growth, Balanced and Balanced Income Portfolios, based on client goals/risk objectives
A Quantitative and Fundamental Best of Breed Investment Strategy
Detailed research on portfolio investments before and after implemented in portfolio
Portfolio positions reviewed daily
Investment and investment sector adjustments made when necessary based on fundamental, technical, economic and a special relative strength weighting formula
Weighting of GTOP Strategy as a percentage of overall portfolio based on client specific goals/risk objectives
Allocation to Income sectors based on client specific goals/risk objectives and other factors such as: Interest rate cycles, Long/Short duration, etc.
Each Month/Quarter- Top 5 ETF Sectors (Being Tracked) based on Relative Strength Proprietary Formula, evenly weighted

Market Trend Indicators (MTI)

Disciplined Risk Reduction Strategy in Down Markets
Market Trend Indicators (MTI) reviewed daily, Short, Medium, Long Term Trends
Investment and investment sector adjustments are made when Market Trend Indicators (MTI) dictate a trend change in investment direction, GTOP signals supersedes MTI’s signals.

Rezny Wealth Management utilizes low cost Highly Researched ETFs (Exchange Traded Funds), Mutual Funds, Stocks and Bonds, encompassing the major world asset classes including US equities, Emerging Market equities, US bonds/fixed income, International bonds/fixed income, preferred equities, real estate, commodities, currencies, energy and precious metals.

Rezny Wealth Management will utilize Global Tactical Opportunity Portfolios(GTOP),a Quantitative and Fundamental Best of Breed Investment Strategy with strict risk management controls, & MTI (Market Trend Indicators),a Disciplined Risk Reduction Strategy in Down Markets, GTOP signals supersedes MTI’s signals. Deploying Relative Strength and Prudent Risk Management will help reduce risk in down markets and allow all GTOP portfolios to better meet their investment objectives over various market cycles.

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Global Tactical Opportunity Portfolio (GTOP)* Monthly Reallocation

Annual Performance backtested Reallocated Monthly *

                          2003         2004       2005          2006          2007         2008         2009           2010         2011
GROWTH*     45.90%   18.80%     28.30%     24.50%     44.20%      5.00%     60.90%     10.50%      8.90%
C GROWTH* 26.80%     8.00%       9.00%      18.90%    18.90%       2.50%     45.90%     13.10%    12.40%
S&P 500        24.10%   10.20%      7.20%      13.60%       4.40%    -34.30%    24.70%      14.30%      2.40%
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Our extensive back testing convinced us to go live with the

Global Tactical Opportunity Portfolio (GTOP)

Before we decided to go ''live'' with the investment strategy, we thoroughly tested our systems. In fact, we used an independent firm/website database for independent result verification.

The tests found that by making changes to the Global Tactical Opportunity Portfolio (GTOP) portfolio each Month/Quarter based on a Proprietary Formula/Special Relative Strength Formula we have developed, then making minor adjustments each month using the same relative strength formula, the investment strategy had impressive potential.

The GTOP Investment Strategy also worked well in controlling Risk in down markets as it shifts assets out of weak asset classes into asset classes that show higher relative strength.

This strict rules-based Investment Strategy works well in Up and Down Markets at controlling risk and providing upside potential, growth and income.

Between 12/31/2002 and 12/31/2011, which was a period that contained one of the greatest Bull Markets of all time and one of the worst Bear Markets in history, the GTOP Investment Strategy backtest results would have produced a return of:

711% GTOP GROWTH,

301% GTOP CONSERVATIVE GROWTH,

vs the S & P 500 return of 66.9%, with less volatility.*

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Remember,

“Buy and Hope is Not an Investment Strategy!” and

"Bad investment advice does not fix itself"

It's Time for a Change, there is a Difference.... Call us today.

Our Investment Strategies may use some or all of the investment vehicles listed below based on each client’s goals, risk and portfolio objectives:

Domestic Stocks, Mutual funds and ETF’s
Foreign Stocks, Mutual Funds and ETF’s
Commodities ETFs
Public Traded REITs (Real Estate Investment Trust) and ETF’s
Foreign Bond ETF’s or Bond Funds
Domestic Bonds ETF’s and Bond Funds
Precious Metals, Gold
Currencies
Cash

*The analysis and information in this report and on our website is for informational purposes only. No part of the material presented in this report or on our websites is intended as an investment recommendation or investment advice. Neither the information nor any opinion expressed nor any Portfolio constitutes a solicitation to purchase or sell securities or any investment program. The opinions and forecasts expressed are those of Rezny Wealth Management, Ltd, herein (RWM) may not actually come to pass. The opinions and viewpoints regarding the future of the markets should not be construed as recommendations of any specific security nor specific investment advice. Investors should always consult an investment professional before making any investment.

*Any investment decisions must in all cases be made by the reader or by his or her investment adviser. Do not ever purchase any security without doing sufficient research. There is no guarantee that the investment objectives outlined will actually come to pass. All opinions expressed herein are subject to change without notice. Neither RWM, employees, nor any of their affiliates shall have any liability for any loss sustained by anyone who has relied on the information provided.

The analysis provided is based on both technical and fundamental research and is provided ''as is'' without warranty of any kind, either expressed or implied. Although the information contained is derived from sources which are believed to be reliable, they cannot be guaranteed. RWM is registered with the U.S. Securities and Exchange Commission as an Investment Adviser.

*Return calculations for the GTOP Investment Strategy/Investment Portfolio are based on independent system testing. It should be noted that although the System Test was performed by an independent firm/website, test results do not represent actual trading, do not take into account payment of trade commissions or advisor fees (maximum of 1.5% a year), have inherent limitations, and are for informational purposes only.

*The backtest assumes 5 ETF’s Growth Portfolio GTOP (from encompassed ETF’s) monthly, are equally weighted (within each portfolio) at the start of each period. If different update schedules are chosen for each portfolio, the frequency of this rebalancing is determined by the shortest update schedule selected. Volatility is the annualized standard deviation of daily returns. By allowing you to evaluate how strategies have performed in the past, testing can be used to both validate your ideas and to provide an indication of the expected returns and risk. All returns are total return, which includes dividends and distributions, and assume the entry and exit is executed at the closing price. ** Actual RWM client returns may differ from Rezny Wealth Management Global Tactical Opportunity Portfolio GTOP ** Growth Portfolio returns shown in table specified, results do not represent actual trading, do not take into account payment of commissions or advisor fees, have inherent limitations, and are for informational purposes only.

*The S&P 500 is a stock market index containing the stocks of 500 large-cap corporations, most of which are US companies. The index is the most notable of the many indices owned and maintained by Standard & Poor's, a division of McGraw-Hill. S&P 500 is used in reference not only to the index but also to the 500 companies that have their common stock included in the index. You can’t invest directly into an index. All returns assume reinvestment of dividends unless otherwise indicated. Investments in equities carry an inherent element of risk including the potential for significant loss of principal. Past performance is not an indication of future results. Past performance is no guarantee of future results. This is no guarantee the results of the backtest will be indicative of future results. Live monthly reallocation to GTOP started on January 1, 2012. Before that date RWM used portions of GTOP and Asset Allocation using difference time frames for reallocation, which are not included in this study and backtest or returns. RWM makes no claims in any way, shape or form that past results are indicative of future results. GTOP signals supersedes MTI’s signals.

*BEFORE MAKING ANY INVESTMENT DECISION, AN INVESTOR SHOULD CONSULT WITH A FINANCIAL PROFESSIONAL TO DETERMINE IF THE INVESTMENT IS APPROPRIATE, OR CONDUCT THEIR OWN DUE DILIGENCE BEFORE MAKING ANY FINANCIAL DECISIONS. ALL INVESTMENTS INVOLVE RISK, INCLUDING THE POTENTIAL LOSS OF PRINCIPAL INVESTED.

Rezny Wealth Management may hold investments in above mentioned securities; positions can change at any time.