Reversion Fund Plc

Fund Investment Objectives

The fund uses a systematic investment process applying theories of mean reversion to correlation and timing relationships between financial instruments (principally Futures and ETFs on the American and European markets). Those relationships, and deviation opportunities, are defined statistically irrespective of any fundamental implications relating to the presence or absence of any common elements. The reverting cycle is intraday to weekly. Furthermore the Strategy adopts a mutualisation approach to such opportunities, in so much as that profitability is not sought on each and every opportunity exploited by the Strategy but rather the probable contribution of that opportunity to the Strategy's stability of returns. To this end the Fund's portfolio will be diversified, however occasionally, the Fund may seek concentration on one or several given opportunities where the risk-adjusted return is favourable.