Summary

-GMH Capital’s Diversified Trend Following Trading Program is classified as systematic and technical. Systematic traders rely primarily on trading programs or models that generate trading signals. The systems utilized to generate trading signals are changed from time to time (although generally infrequently), but the trading instructions generated by the systems being used are followed without significant additional analysis or interpretation. Technical analysis is based on the theory that the study of the commodities markets themselves will provide a means of anticipating the external factors that affect the supply and demand of any particular commodity in order to predict future prices. Technical analysis focuses on the analysis of price histories, movements and patterns on the theory that a detailed analysis of market data is the most effective means of attempting to predict the future course of prices. GMH Capital’s trading approach is built on elements of trend-following and diversification. The portfolio emphasizes diversification by trading financial instruments, foreign exchange, metals, tropical products (softs), energy products and agricultural products. GMH Capital trades on both U.S. and non-U.S. exchanges which include, but are limited to, the Chicago Board of Trade, the Chicago Mercantile Exchange, the New York Mercantile Exchange, the New York Board of trade, the London International Financial Futures and Options Exchange and Eurex. The foregoing description is, of necessity, somewhat general in light of the proprietary nature of GMH Capital’s trading approach. A strict money management discipline is in place, the design of which is intended to maximize return while diminishing volatility. GMH Capital’s Trend Following Trading Program is broadly diversified and is designed to balance risk among various market sectors and various instruments in each sector. Prior to opening an account, GMH Capital will determine with each client the maximum limit position for each clients account. Capital in excess of the margin required for positions held by the clients account may be invested in U.S. Treasury Bills, with interest accruing to the benefit of the client’s account. The development of a trading strategy is a continuous process, and the trading strategy may therefore be modifies from time to time. As a result, the trading method used by GMH Capital may change from time to time. Clients will be notified of changes, additions or deletions to the Diversified Trend Following Trading Program deemed to be material by GMH Capital. Trading methods utilized by GMH Capital are proprietary and confidential. The foregoing description is not intended to be exhaustive. The trading strategies utilized by GMH Capital for an account may differ from those used with respect to other accounts managed by GMH Capital or its own accounts. Trading decisions may require the exercise of judgment by GMH Capital.