CAI Global

Fund

Fund Investment Objectives

CAI's investment philosophy is defined as dynamic asset allocation with an Asian perspective. The Portfolio Managers capitalize on their Asian investment backgrounds and the firm's strength in equities, convertible bonds, and fixed income in order to provide investors with consistent, superior absolute returns. Primarily CAI invests across credit (including convertible bonds), equity long/short, and quasi-arbitrage strategies (including capital structure, mergers and convertible arbitrage). Primarily, CAI focuses on identifying market inefficiencies, and taking advantage of such inefficiencies to generate returns. A key characteristic of CAI is the ability to shift dynamically between various asset classes and strategies according to market conditions. CAI's idea generation is driven by top-down analysis and macro themes, and is supplemented by bottom-up fundamental research to determine the implementation strategy. Risk Management includes rigorous analysis and strict limits, such as liquidity analysis, VaR analysis, stress test scenario; limits on leverage, concentration limits on position size, asset class and geography, and stop losses.