AlphaProfit Sector Investors' Newsletter: February Indicator Update

		To prevent this e-mail from being delivered to your bulk mail folder, please add our 'From' e-mail address, subscriberservice@alphaprofit.com to your address book.

AlphaProfit Newsletter: February Indicator Update
February 1, 2008

Dear Valued Subscriber,

The AlphaProfit model portfolio returns as of January 31, 2008 are as follows:

	Jan. 2008	1 Year	3 Year	Sep. 2003 Inception
AlphaProfit Focus™ Model Portfolio	-7.7%	-5.3%	45.5%	107.5%
AlphaProfit Core™ Model Portfolio	-8.9%	-2.3%	38.6%	72.4%
DJ Wilshire 5000 Total Market Index	-6.1%	-2.7%	25.6%	54.8%

The year got off to rough start for equities as fears of a recession intensified. Fourth quarter earnings reported through the month declined for the S&P 500 member companies with most of the damage coming from the financial sector.

Going into the fourth week of January, fears of a 'crash' intensified as equity prices slumped around the globe. In a bid to stem such an event, the Federal Reserve lowered short-term interest rates by 0.75% on January 22. The central bank followed this with a 0.5% cut in benchmark interest rates after its Open Market Committee met on January 29 and 30.

Maintaining the AlphaProfit Sector Portfolio Indicator at 'Buy'.

The decline in equity prices has made valuation metrics for U. S. equities quite attractive. While the Federal Reserve was arguably late in responding to the credit crunch and housing debacle, the 1.25% cut in short-term interest rates provides some relief. A widening gap between short- and long-term interest rates will boost spread income for banks and help them get back on a firmer footing.

We expect the pace of economic activity to pick up as the benefit from interest rate cuts works through. We believe investors braving the volatility and putting capital to work will likely be rewarded in the period ahead. We maintain the AlphaProfit Sector Portfolio Indicator reading at 'Buy'.

Presently, we are not making any changes to the sector and industry recommendations or the model portfolios. The model portfolio compositions as well as exchange traded fund (ETF) and mutual fund recommendations are available in the Subscriber Login area of the web site.

We welcome your comments.

Best regards,
Sam Subramanian
AlphaProfit Investments, LLC
Ideas. Insights. Results.
http://www.alphaprofit.com

Notes: The AlphaProfit Sector Investors' Newsletter™ is for information purposes only. AlphaProfit Investments, LLC is not soliciting any subscriber to buy or sell any security. Nothing herein should be construed as an offer to buy or sell securities or to give individual advice on investing. Before buying or selling any mutual fund, exchange-traded fund, security, or investment, read the prospectus carefully. For securities held in brokerage accounts, read the broker's specific terms and conditions which apply to trading of the securities. AlphaProfit Investments, LLC cannot and does not give any assurance that the present or future model portfolio changes will be profitable. Past performance is not a guarantee for future results. Factual material is obtained from sources believed to be reliable and is provided without warranties of any kind. AlphaProfit Investments, LLC is not responsible for any errors or omissions. AlphaProfit Investments, LLC neither is associated with nor receives any compensation from any of the mutual fund companies, brokers or entities connected with the exchange-traded funds mentioned in the newsletter. Please review our Terms and Conditions of Use and Subscriber Agreement which is available on our website at www.alphaprofit.com; they govern your relationship with AlphaProfit Investments, LLC, including, but not by way of limitation, use of this newsletter. No part of the AlphaProfit Information may be reproduced or re-transmitted in any manner without written permission of AlphaProfit Investments, LLC.