τµ

0%

50%

100%

150%

200%

250%Se

p-08

Oct

-08

Nov

-08

Dec

-08

Jan-

09

Feb-

09

Mar

-09

Inve

stor

Pai

n In

dex

6,000

7,000

8,000

9,000

10,000

11,000

Dow

Jon

es In

dust

rial A

vera

ge

t Investor Pain Index µ VIX pain Dow

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

Dec-01 Dec-02 Dec-03 Dec-04 Dec-05 Dec-06 Dec-07 Dec-08

Bea

rish

Sent

imen

t

-60%

-40%

-20%

0%

20%

40%

60%

80%

100%

S&P

24 m

o. fw

s pe

rfor

man

ce

AAII Bearish Sentiment Bearish Sentiment + 2 StdDevCurrent Bearish level in perspective S&P performance 24 mos. fwd100 per. Mov. Avg. (AAII Bearish Sentiment)

Maximum bearish sentiment in 21 years

In 2002, 2004, and 2005, bearish sentiment was nearly as high as it was in March 2009; 24 months later (as indicated by the black dots), share prices rose