Advocate EVO

Partners LP

Fund Investment Objectives

Note: This fund has been restructured as of April 2014 with the addition of an options component. The fund seeks aggressive growth and low correlation returns by pairing a basket of VIX futures and equity options in dynamic ratios. A core objective is for the fund to remain neutral to the direction of volatility, and to profit from collecting the differential in volatility along different time periods in the volatility forward curve, though there are times when a long or short volatility bias is expressed. The investment positioning responds systematically to implied equity volatility using one of several quantitative modes..Through March/2014, the strategy primarily relied on the VIX futures curves as a source of return, and nominally, on S&P500 options to hedge directional volatility bias. Starting in April/2014, the fund was restructured to incorporate a significant and complementary equity options component that is designed to offensively and systematically exploit the structural mispricing of equity volatility and skew. The combined strategy of VIX futures and equity options is designed to significantly improve the reward per unit of risk for the strategy and bound the tail risk of loss associated with many volatility strategies (including some of the loss periods exhibited by the fund prior to April/2014).