ACI Large Cap

130-30 Fund

Fund Investment Objectives

The strategy seeks to provide 3-4% return above the S&P 500 total return index while maintaining an annualized active risk of 3-4%. The strategy expects to have up to 130% of its net asset value in long positions and up to 30% of its net asset value in short positions. The universe is a proprietary set of 1500 US large- and mid-cap stocks. The stock selection process is based on three bottom-up investment models: earnings quality, relative value and catalysts. These strategies exploit opportunities created from behavioral biases among investors and by constraints imposed upon institutional fund managers. Each of these investment models are combined with estimates of risk and trading costs to construct a highly diversified, risk-controlled portfolio.