SEPARATELY MANAGED ACCOUNTS

Cannabis

Michael Lamb, Managing Director

Haddon Libby, Managing Partner

www.WinslowDrake.com

As with any investment, there is the chance that you may lose some or all monies invested. Diversification helps reduce the risk of loss. When investing in a speculative business sector like
cannabis, risks are higher than many other investment options. As such, investors need to be aware that this strategy is not for everyone. Any investment in this style or any other speculative
business like cannabis is subject to higher risks of principal loss. As such, we recommend strongly that investors not risk more than a small percentage of your investments in this or any speculative
investment approach. If you would like a lower risk profile and access to our cannabis SMA, we have other investment approaches and styles with lower risk factors that can be incorporated. As a
reminder, you have no obligation to invest with Winslow Drake for this or any other investments. This may sound obvious to you and me, but that reminder is an important disclosure that
regulators like being repeated.
 OUR BACKGROUND

Practice started in 2015 by Haddon Libby who previously managed a $500 million book at Bank of America’s Private
Bank serving the Palm Springs Market as well as CFO of a local bank prior to forming Winslow Drake. Previously
worked as an investment banker and analyst to financial institutions for 13 years at Banc of America Securities/BofA.

Mitch Kitayama serves as Chairman. Previously, he was Treasurer for the largest Asian-focused bank in the US as well
as CEO of a smaller Asian focused bank. He currently serves as external board member to Apollo Medical.

Mike Lamb is a thirty-five year veteran to investment management and has worked with high net worth families and
financial companies as an advisor, analyst and as the regional manager of a sixty-five person team in San Francisco at
Piper Jaffray. Mike handled portfolio analysis and asset management at the Institutional level for Merrill Lynch/BofA
and Morgan Stanley.

Assets under management in May 2021 were $47 million of which about 25% were in 401k or 457b plans and half of
all clients.

At present, we have 16 relationship over $1 million in AUM with another 15 over $500K.

Accounts are managed at TD Ameritrade Institutional, Interactive Brokers, Pentegra, John Hancock or Paychex.

Nominated every year since inception as Innovator of the Year or Small Business of the Year by the Cathedral City
Chamber of Commerce. Won Small Business of the Year for 2020 and 2021. Placed more first round PPP loans at no
charge for more businesses than 3 of the top 4 banks combined that serve the Palm Springs market.

What is our Innovation? Education, full transparency and performing to the Fiduciary Standard of Care.
STRATEGY OVERVIEW

• Capitalize on the cannabis opportunity in its nascent stage through a diversified approach to this fast-growing and speculative business sector.

• ESG screened portfolio

• Investment in the public markets provides transparency and liquidity

• Use a quantitative approach and sub-sector diversification to manage risks inherent to this sector.

• Exclude companies with unreliable financials, inadequate share float and other characteristics that create excessive risks to investors.

SEPARATELY MANAGED ACCOUNTS (SMAs)

• Allows investor to own individual securities.

• More tax-efficient than an ETF or fund with the ability to harvest gains or losses to offset capital gains or losses in other parts of your
investment portfolio.

• Full transparency – you know what you own at all times. Provided monthly updates explaining actions taken in your portfolio.

• Diversification – Within the cannabis industry, diversify across sub-sectors.

• SMAs are availed to clients with at least $100,000 in assets under management with Winslow Drake.

• Pricing: 1% per annum.

• Accounts held at TD Ameritrade Institutional for Domestic accounts and Interactive Brokers for non-US domiciled accounts.
 INVESTMENT UNIVERSE

When investing in cannabis, we group equities into various segments within the industry. In addition to the common
splits by market capitalization size, we break down the cannabis industry by specialization. Our goal is to prevent over
investment in any one area of the market. The grid below shows some of the sub-segments we track within the
cannabis industry.

Consumer Discretionary Healthcare REITS Technology Alternatives

Real Estate Special Purpose

Multi-State Operators Phamaceuticals E-Commerce Acq. Cos.
Investment Trusts

Innovative Shopify Silver Spike

Green Thumb Arena

Trulieve Jazz Power Veeva Systems Subversive

Cresco Cara

Consumer Discretionary Healthcare S&P 500 Miscellaneous Various

Beverages CBD Only Large Cap Ancillary Svcs Uninvestables

New Age Charlotte’s Web Pfizer PerkinElmer Equities we follow but

will not invest in for a
Heinecken cbdMD Altria Cree variety of reasons.

Boston Beer Tilray Constellation Brands

We are concerned by high production costs for many growers as the market matures and federal legalization takes hold
in the United States. As we have seen with the development of the California market, government involvement is certain
to make some markets more difficult to make a profit in.
 INVESTMENT SELECTION

First and foremost, we focus on risk management and a diversification within this emerging business segment. As past results are not indicative of
future performance, we score investments for inclusion in portfolio:

We analyzed the universe of investment options and

US Alts. SCORE investment options
Stocks

Non US S.C.O.R.E is a Weighted Analysis of:

stocks

Sub-sectors – Business Focus (e.g. Healthcare, REIT, Retail)

Concentration – Limits by individual equity and sub-sector
Organization - Management Team and Operations
S.C.O.R.E. Investments
Risk – Market Cap, Access to Liquidity, Relative Value
Execution - Return vs. Peers and Benchmarks

Once we identify a pool of investment options, we review each

Review Investment for inclusion in portfolio.

Implementation considers current value of each

position in relative to the projected value over the next
Implement 12-24 months.

We constantly monitor investments to make sure that

they remain within tolerances. We will replace
investments when the return vs. risk falls outside of risk
Monitor tolerance guidelines.

Generally, we prefer companies with Best-In-Class management, access to capital/liquidity, business moats, free cashflow and low debt. Given its early stage in
national and international acceptance, the cannabis industry faces unique analysis challenges that we look to mitigate.
Cannabis Stock Growth and Risk – 2019 through 5/17/2021

400%
This chart shares the IPO date
385%
of each company, annualized
9/14/19 returns over the last 2 ½ years
300% and volatility/risk. Returns for
the NASDAQ 100, Morningstar
Annualized Return

US Equities and Dow Jones

Industrial Average included.
200% 237%
2/18/18 As Sunniva, MedMen and IGC
show, poor management,
inadequate liquidity and a
100%
pump and dump mindset
84% made these equities bad
investment ideas.
10/30/18
50% 81% Better management, access to
6/15/18 liquidity and a longer-term
mindset differentiate some of
25% these Best-In-Class operators
34% from the crowd.

27%
15%
18% 18%
4/8/14

0%
20% Volatility/Risk 65% 85% 100% 200 400%

-99.3% -91% -97.4%

Source: Morningstar, Inc. 5/17/2021. 3/18/18 5/31/18 5/6/06
 OUR APPROACH

Our approach blends Quantitative and Fundamental Analysis as part of a forced-ranking process meant to assess relative risks and drive better performance.

While the cannabis industry has better financial information than in the past, many companies do not conform with GAAP. We take the quality of information
into consideration along with stock performance on a relative basis to identify long-term holds, emerging opportunities, and threats to the investment thesis
behind investments in cannabis.

The above table is for illustrative purposes and should not be taken as a recommendation to buy, sell or hold any stock listed. All data from Morningstar, Inc.
 Price $40.02 on 5/17/21
Up 26.6% YTD

PROFILE
INSTITUTIONS AND FUNDS
Multi-State Operator incorporated in Canada, headquartered in Florida
$5.0 billion Market Capitalization
Negligible Institutional fund owners
1Q21 Results
Largest Institutional Holders:
Price/Sales = 7.8x o Manatuck Hill Partners (0.08% or 101,300 shares),
Price/Earnings = 70.4x o Albert D Mason Inc (0.03% or 37,389 shares)
Price/Cashflow = 35.7x o Rothschild Inv. Corp (0.02% or 18,100 shares).
Debt/Equity = 36%
Equity/Assets = 54% Largest Fund Holders:
ROE = 17.7%
o Intrepid Endurance (0.16% or 186,396, up 46,000)
Diluted EPS/share of $0.24, up $0.04 from 1Q20 o Ninepoint UIT Alt. Health A (0.14% or 171,000)
IPO on 9/4/2019 via reverse merger (3 voting classes)
o Putnam Global Health (0.07% or 82,400 all new)

Record revenues of $194 million 1Q21, up 15% over 4Q20 and 101% from 1Q20 Largest Seller:
Gross Margin 2020 of 74% (70% 1Q21) o Barometer Equity Pool (106,400 all shares),
Free cash flow 1Q21 of $60.4 million, up 152% from 1Q20
o Exemplar Grwth/Inc Series F (30,000 all shares)
Total Assets $897 million, up 10% from YE20
Intangibles/Assets of 10%, down 1% from YE20 (Intangibles licenses to operate and sell) o EHP Advantage Alternative CI (22,600 all shares)

Total Equity of $485 million, up $38 million from YE20

Debts of $130 million in senior secured paying 9.75% due June 2024
2021 Acquisitions: Harvest Health ($2.1 billion all stock), Anna Holdings ($40 million stock/$20 million cash)
Mountineer Holdings ($3 million cash/60,342 shares), Solevo Wellness ($700,000 stock/cash)
Outstanding Options: Average exercise price $11.70 for 554,459 exercisable shares; $16.59/share for
1,456,646 shares exercisable over a 4 year time frame.

Relative Strength to S&P 500 198.41

Morningstar Quantitative Ranking: 2 of 5 stars

Commentary:

CEO Kim Rivers has built Trulieve into the dominant medicinal cannabis provider in Florida by locating stores close to major
senior living populations. Each store has a full complement best in class brands and uses. Expanded organically into
Massachusetts, Pennsylvania, Nevada, and parts of New Mexico while in process of purchasing Harvest Health to access the
Arizona marketplace. Trulieve controls cultivation and supply chain product management via Rivers’ spouse who operates a
construction and cultivation development company independent of Trulieve. Maintain 5% portfolio weighting.
 PORTFOLIO MANAGEMENT TEAM

Michael Lamb, Managing Director 415.272.1228

Portfolio Manager for Cannabis SMA
MLamb@WinslowDrake.com

• Thirty-five year veteran to investment management who has worked with high net worth families and financial companies as an advisor, analyst and as the
regional manager of a sixty-five person team in San Francisco at Piper Jaffray.

• Mike has worked portfolio analysis and asset management at the Institutional level for Merrill Lynch/BofA and Morgan Stanley. Mike's investment decisions
are guided by the environmental and social governance records of the companies he directs investments toward.

• Outside of work, Mike coaches the Sleepy Hollow Swim Team, an organization he has served as President. A long-time sailboat racer, Mike helps avail
the sport to youth who would not have the access or the coaching.

• Mike has a Bachelor of Science in Architectural Design from University of California, Davis.

Haddon Libby, Managing Partner 760.449.6349

Chief Investment Officer and Founder of Winslow Drake
Hlibby@WinslowDrake.com

• Founded Winslow Drake in 2015 with Mitch Kitayama, former Treasurer of East-West Bank and CEO to Metro United Bank. Won Small Business of the
Year for 2020-2021 by the Cathedral City Chamber of Commerce. Helped source more first round PPP loans for local businesses than three of the top
four banks serving the Coachella Valley. Have served in various board capacities including the Palm Springs International Film Festival, La Quinta Zoo &
Botanical Gardens, La Quinta Arts Festival, Palm Springs Cultural Center and Cathedral City Chamber of Commerce.

• Ran $500 million Bank of America Private Bank serving the Palm Springs market after working as an investment banker and analyst to financial institutions
as a dual employee of Banc of America Securities/BofA for 13 years. Served as CFO of a multi-state bank, managing a $100 million investment portfolio.
Current managing mid-eight figure AUM for high net-worth families, 401k and 457b plans.

Winslow Drake, Inc.

39015 Bel Air Drive
Cathedral City, CA 92234
213.596.8399