Summary

-Panacea Capital Management ? Ag Elixir Program (Brief Description of Trading Methodology)The Agricultural Sector Specific Trading Program of Panacea Capital Management (PCM) utilizes a short options strategy, primarily US Exchange traded livestock futures and options. A short options strategy consists of selling (going short) an out of the money call option, above the current futures price, while simultaneously selling (going short) an out of the money put option, below the current futures price, effectively bracketing the market. The intent being that the short options will expire with the underlying futures price falling between the short option strike prices.&Selling ?naked? options, i.e. going short an option without an accompanying futures position, entails unlimited risk exposure. Specifically, should the counterparty purchaser of an option exercise that option, the seller of that option is assigned a futures position, with the attendant unlimited risk. PCM?s Trading Strategy is to actively manage that risk exposure through constant monitoring of futures market price and direction, and the use of protective futures hedges, when needed. The primary indication of the need to initiate a protective futures hedge is an underlying futures price at or beyond either the short call or short put strike price. Should a protective futures hedge or hedges need to be enacted, the effect is that the risk exposure is limited to the difference between the price at which the futures were initiated and the strike price of the short option. This is a cost, which both reduces, and protects potential profits. The goal of PCM?s Trading Strategy is to collect as much premium as possible, and then retain as much as possible of that premium as profits for clients.  PAST PERFORMANCE IS NOT INDIACTIVE OF FUTURE RESULTS.  THE RISK OF LOSS IN TRADING CAN BE SUBSTANTIAL AND IS NOT FOR EVERYONE.&