CAP Portfolio Support

1. CAP Portfolio Support Services to family offices and pension funds March 2009

2. Sven Miserey • 20 years of financial services experience • Financial advisory and management • Investment advisory (CAP Risk Overlay for FoF client) • Investment management (EFA Allenbridge Strategic Alpha Fund) • Financial consulting and re-engineering • advised asset managers on investment process • co-inventor of CME’s Cleared Interest Rate Swaps • Alternatives distribution • Fund manager for GLG Partners structured credit portfolio • Head of Commerzbank long-only money market and credit portfolios (over EUR 15 billion) • Fixed income and derivatives sales for leading financial institutions • BBa Finance, George Washington University

3. Capital Advisory Partner Ltd. • Founded February 2006 • FSA Authorised as an Investment Advisory firm in 2006 • FSA Authorised as an Investment Manager firm in 2008 • MIFID compliant for European passported operations • Consulting clients include the CME Group, Jupiter AM

4. Cash Management LIBOR product management Money market fund selection Manager selection Matching client objectives Anchor investor opportunities Market opportunities / managed account Global Portfolio Risk Analysis and Management CAP Services The CAP Risk Overlay Fund Volatility immunisation The CAP Inflation Fund Inflation immunisation The CAP Euro Alpha Fund LIBOR product + alpha

5. Our Process • Understand client objectives • may include: capital protection / capital growth / volatility reduction / inflation hedging / concentration / liquidity / income / transparency • Formulate strategy complementary to client’s portfolio • Implement / execute strategy • Manage / monitor risk

6. Manager Selection • Identify top decile fund managers • Evaluate investment methodology • Trade initiation, trade sizing and P&L management • Assess manager team quality • Understand underlying assets and hidden risks (e.g., non-linear risks) • Analyse liquidity • Ensure proper operational set-up and documentation • Provide portfolio transparency • Detect deviations from historical risk-return profile or style drift

7. Market Opportunities / Anchor Investor • Broad global network and strict selection criteria help identify diverse set of highly experienced managers • Some strong teams with sub-optimal assets under management would welcome an experienced anchor investor • CAP negotiates fee discounts for investors and possibly fee revenue share • Justify cost and time of a Fund structure instead of managed accounts for family money • Invest to “top-up to 100M” generates acceleration of AUM growth and fee income • Anchor-investor status ensures transparency and specific trade ideas

8. Market Opportunities / Investment ideas • CAP gathers market intelligence thru its network, generating specific investment opportunities for it’s clients • Investor’s risk appetite can be tailored to these specific opportunities • CAP can structure risk-return parameters for the investor and trade • See Appendices for example of current trade ideas and market opportunities like distressed or corporate credit

9. Money Market and Cash Management • Having managed in excess of EUR15Bn as head of Commerzbank’s money market funds, in various forms of funds, CAP has the expertise to organise liquidity management for you • Money Market funds may be screened to attain the best risk reduction whilst preserving the most consistent return with objectives • A modified version of the CAP Euro Alpha Fund may be created in which no deviation of the benchmark is initiated, the return of this fund will be LIBOR based and it’s credit risk is limited to the clearing houses of the futures

10. Global Portfolio Risk Assessment • CAP has in the past been hired to perform global portfolio risk assessment and recommendation missions • On a monthly or quarterly basis, CAP may run an analysis of exposure areas such as concentration, inflation, volatility, beta, interest rates, currencies, depository banks and credit on your global portfolio • Recommendations will be made, including specific trade strategies and sizing, in order to reduce, or completely alleviate these identified risks • As it pertains to the specific risk of inflation acceleration, the CAP Inflation Fund allows for optimised hedging

11. The CAP Inflation Fund • With increased debt to GDP ratios there is a medium term risk of hyper inflation • Inflation unilaterally reduces the value of a portfolio in its first year • Methods of hedging inflation are inefficient from a risk return perspective • Gold could go down to 200 or up to 2000 • Real estate lags as rents need to be re-fixed • Shorting bond futures is at a negative carry • TIPS are backwards looking for coupon resets • The CAP Inflation Fund offers a positive carry, effective inflation hedge • For a portfolio of 100M, 7M invested in the CAP Inflation Fund will generate a 5M profit at the onset of inflation expectations • Weekly liquidity, UCIT III structure A full brochure is available for the CAP Inflation Fund

12. The CAP Euro Alpha Fund • By construction a benchmark cash equity portfolio with a 100% short futures will generate LIBOR (+ realised dividends –expected dividends) • By relying on unbiased and strong long-only manager selection, CAP seeks generate a return over the benchmark • The CAP Euro Alpha Fund aims to deliver consistent LIBOR + alpha • The CAP Euro Alpha Fund targets returns of LIBOR + 3% • Daily liquidity, UCIT III structure with multiple currency share classes A full brochure is available for the CAP Euro Alpha Fund

13. The CAP Risk Overlay Fund • When markets accelerate down, all asset classes suffer in portfolios • CAP has managed a special volatility overlay which aims to apply to any portfolio • CAP targets 20% to 50% returns every day in which the volatility of the markets accelerate • For a diversified portfolio, a 1% to 2% allocation to the CAP Risk Overlay Fund aims to generate 0.20% to 1.00% per event day • For an equity portfolio a 2.5% allocation to the Fund aims to generate 0.50% to 1.25% returns per event day CAP Risk Overlay Fund returning 40% per event, annual 26% cost, constant percentage rebalanced

14. CAP’s resources • Relating to due diligence and fund monitoring services, CAP has identified candidates that will be hired to perform the analysis and ongoing surveillance on funds, all of which have strong credentials and track records in similar functions • As it pertains to market activities, CAP has a qualified investment manager under the Financial Services Authority • CAP will not enter into any agreement to provide services for which it is not redundantly staffed • CAP is a full MiFID Investment Management Authorised firm under FSA • CAP benefits from 20 years experience in the field of portfolio management and derivatives

15. Next Steps • CAP will be delighted to adapt any of the presented activities on your behalf • Meetings to ascertain your needs • Proposal from CAP pertaining to custom tailored solutions • Acceptance from family office or pension trustees • Implementation • On-going monitoring and reporting

16. Special Distressed Opportunities • The issues affecting the financial and capital markets since the credit crisis of July ’07 have lead to: • Liquidity issues • Wide bid ask spreads • Difficulty of asset valuation • Risk of further forced sales from investor redemptions • An existing fund structure will potentially suffer from all these factors • CAP has access to managers with established expertise and track records who are willing to create a managed portfolio with specific risk parameters, time horizons and performance and risk return objectives

17. Special Corporate Credit Opportunity • The problems of capital markets have also hindered the Investment Grade Credit bond universe • High Grade Corporate borrowers have been unable to access cash and have to repay their maturing debt with reductions in operational expenditures and cut backs in expansions • Corporations with balance sheets that a ten year old may understand have to pay large spreads to access liquidity • A managed portfolio of medium term corporate investment grade bonds should be able to deliver performances of LIBOR +200 to 500 with diversification rules which will reduce greatly risk and without recourse to leverage • CAP has access to managers able to establish and manage such a portfolio

18. Contacts Capital Advisory Partners Ltd 47, Montpelier Square London SW7 1JX Tel:+44 20 7192 1645 Rue Docteur Alfred Vincent, 16 Genève, CH-1201 Tel: +41 22 548 1645 Fax: +44 20 7681 2946 capinfo@capital-advisory.com

19. Disclaimers This document has been prepared solely to provide you with a profile of Capital Advisory Partners Limited (hereinafter “CAP”). It may not be used or reproduced for any other purpose. The information and opinions contained in this document are for background purposes only and do not purport to be full or complete. No reliance may be placed for any purpose on the information or opinions contained in this document or their accuracy or completeness. No representation, warranty or undertaking, express or implied, is given by CAP as to the accuracy or completeness of the information or opinions contained in this document and no liability is accepted by CAP of any such information or opinions. No information provided herein shall constitute, or be construed as, an offer to sell or a solicitation of an offer to acquire any security, investment product or service, nor shall any such security, product or service be offered or sold in any jurisdiction where such offer or solicitation is prohibited by law or regulation. Recipients of this document who intend to apply for shares in any fund are reminded that any such application may be made solely on the basis of the information and opinions contained in that fund’s Offering or Private Placement Memorandum which may be different from the information and opinions contained in this document. UK Residents: CAP is authorised and regulated by the FSA in the conduct of its investment business. The Funds referred to in this document are unregulated collective investment schemes for the purposes of Section 76 of the Financial Services Act 1986 of the United Kingdom (“the Act”). Accordingly, this document may only be issued in the United Kingdom to persons who are authorised to carry on investment business under the Act (“authorised persons”), persons whose ordinary business involves the acquisition and disposal of property of the same kind as the property, or a substantial part of the property, to which the Funds relate and to persons to whom unregulated collective investment schemes are permitted in accordance with the Financial Services (Promotion of Unregulated Schemes) Regulations 1991. The Funds are not authorised to carry on investment business in the United Kingdom. Accordingly, all or most of the protections afforded by the United Kingdom regulatory system will not apply to investments in the Funds and compensation will not be available to investors under the Financial Services Compensation Scheme.