Disclosures:

We execute this strategy at two custodian firms: Interactive Brokers and Schwab. Both custodians offer competitive margin rates vs other custodians. Clients seeking to utilize this strategy will need to sign a margin agreement with the custodian firm.

The strategy can only be executed in taxable accounts with a minimum investment of $250k.

The primary risks associated with this strategy include the following:

• Unlimited risk of loss from short selling. Unlike long positions, where losses are limited to the initial investment, the price of a stock sold short can rise indefinitely, potentially causing rapid and unlimited losses. The Burney Company employs various measures to reduce this risk, but losses can still occur.
• Leverage and margin risk. Long-short strategies use margin to boost exposure, increasing both potential gains and losses. A decline in stock value can trigger margin calls.
• Tracking error and portfolio risk. There is potential for tracking error due to the performance of our stock selection model. Success depends on the portfolio manager’s ability to choose both winning longs and losing shorts. Poor timing or incorrect analysis can lead to losses on either side. Additionally, in volatile market conditions, the assumed hedge between long and short positions may break down, leaving the portfolio vulnerable to broad market downturns.
• Costs and tax implications. This portfolio incurs additional expenses, including margin charges, as detailed in the margin agreement. Additionally, closing out positions can lead to significant short-term capital gains tax liabilities that may not be fully offset.
• Liquidity risks. Some short positions may become difficult to borrow or cover, particularly in volatile markets, making unwinding difficult.

The strategy is intended for sophisticated investors with aggressive or moderately aggressive risk tolerances who understand the strategy's complexity and the unlimited loss potential of short selling.

Past performance is not indicative of future results. All investments involve risk, including loss of principal.

Although we do not directly take a management fee from accounts invested in this strategy, our ETF incurs a 0.79% management fee paid to us. This fee is increased by the 130% allocation on the long side. The ETF fees are separate from the management fees paid by Burney Clients to The Burney Company. To prevent double-billing, the ETF fee will be offset by the management fee. If the management fee exceeds the ETF fee, the difference may be charged to clients as an advisory fee. If the ETF fee is equal to or higher than the management fee, no management fee will be charged on ETF assets. For example, if your Burney management fee is 1%, the 0.79% ETF management fee will be offset, so that you will pay us only 0.21% in advice fees.

Advisory services are offered through the Burney Company, an investment adviser registered with the U.S. Securities &Exchange Commission. Registration as an investment Adviser does not imply a certain level of skill or training.

The Burney Company has partnered with Tax Alpha Insider (Brent Sullivan) to produce and co-host this webinar and additional webinars. Tax Alpha receives a per-webinar fee for these services and has been paid $3,000 to date for its participation and endorsement. This compensation creates a financial incentive for them to recommend our services, which presents a potential conflict of interest. Tax Alpha Insider is not a client of the Burney Company and does not receive ongoing compensation from our firm beyond these fees.