Portfolio Manager Cale Smith's presentation at the 2010 Islamorada Investment Management investor meeting in the Florida Keys.

2. Lawyer Todd Says Hi!
This presentation is for educational and informational purposes only. Nothing
contained here should be construed by anyone as an invitation or solicitation to
buy or sell any security. This presentation does not contain personalized legal,
tax, investment, or financial advice. Viewers should consult with a qualified
adviser to obtain advice suited to their personal circumstances.
The performance discussed here is highly unusual and cannot be sustained.
Because the portfolios contains a limited number of companies, their returns
will be more volatile than a portfolio investing in a higher number of stocks.
Tarpon Folio inception date 11/20/2008. Gecko Folio inception date 1/26/09.
Returns are through the dates as indicated in the presentation. Positive returns
are not guaranteed. Individual results will vary depending on market conditions
and investing may cause capital loss. The performance data is “net of all fees”
reflecting the deduction of advisory fees, brokerage commissions and any
other client paid expenses and includes the reinvestment of capital gains. The
publication of this performance data is in no way a solicitation or offer to sell
securities.

3. 91%
+
Tarpon Folio
+ 70%
Gecko Folio

4. Warren Buffett:
“Be fearful when others are
greedy, and be greedy when
others are fearful.”

5. $6.56 million AUM
68 investors, 83 accounts
12 states
1 Oath
1 Option

6. Mutual Funds
???
A good idea gone wrong.

7. Spoke Funds
We’re all in it together.

8. Why Islamorada?

9. Reason #1,432…

10. Once in a Decade

11. Value Investing
Moat?
Cheap?
Margin
of Safety? Ne t worth $50B

12. Gecko Folio ‘09
A high-yield fund for income investors.

13. Tarpon Folio ‘09
A long-term growth fund.

14. Biggest 1st Year Gainers
200% 194%
160% 154% 153%
144%
126%
120% 107% 105%
98%
81%
80% 67%
40%
0%
ACL BLKB CCOI DISCA GOOG IGT JBT KMX PZN TGT

15. Top 5 Holdings Today
Contango Oil & Gas
Paychex
Berkshire Hathaway
Lowe’s Companies
Atwood Oceanics

16. Heat Map: Tarpon
Degree of Undervaluation
1.00
0.80
0.60
0.40
0.20
0.00
Entire Core Midterm Opportunistic
Portfolio Holdings Holdings Holdings

17. Peter Lynch:
“If you spend 13 minutes per year
trying to predict the economy, you
have wasted 10 minutes.”

18. 3 Minutes:
- 3.5% to 4.0% growth in ‘10
- 3.0% inflation
- Unemployment will peak in Q1
- Jobful (vs jobless) recovery
- S&P near 1,400 in four years*?*

19. The Big Variable in ’10
DC vs Manhattan

20. Bottom Line
“You need to worry about where the
company and the stock will be in three to
five years. If you can buy something today
with little chance of permanent
impairment and a high likelihood that you'll
double your money over the next five
years, you should go ahead and do it.”
- Seth Klarman