Summary

The program primarily involves buying and selling futures on United States regulated exchanges. The Advisor may trade options. The Advisor follows most commodity futures markets in the United States but focuses on currencies, financials, soft commodities, metals, grains, meats, agricultural products, stock indices, and other markets as the Advisor may determine in the future. The Advisor currently does not trade on international exchanges and does not trade FOREX, however there are no restrictions or limitations on what commodity interests or other interests the Advisor may or may not trade. If the Advisor decides to trade these markets and products, the Advisor will notify you before doing so. The average amount of funds invested for margin purposes at one time will generally be approximately 5% to 10% however, the percentage may be substantially higher or lower based upon the current market conditions. On the average, the Advisor expects the Program to trade 3,500 to 5,000 round turn contracts per $1,000,000; however, this average can fluctuate substantially based upon market conditions and volatility. Generally, when new client accounts are established, the Advisor will need approximately three to four weeks to initiate new positions or enter markets until the account is fully invested in the program. During this period, it is possible that the performance of new accounts will vary from accounts that have been existing in the program.