Falcon Point Long/Short Tax

Exempt Fund

Fund Investment Objectives

The focus of the Falcon Point Long/Short Tax Exempt Fund is maximum appreciation through long and short investments in growth-oriented companies. Falcon Point Long/Short Tax Exempt Fund is for tax-exempt clients only. Falcon Point Capital manages a similar fund, the Falcon Point Long/Short Fund, on an after-tax basis. The Partnership's core portfolio holdings consist of 20-30 high quality, profitable, market dominant companies with sustainable earnings growth of greater than 20%. Short candidates consist of companies that the firm believes are demonstrating deteriorating fundamentals and/or are likely to report earnings results which are below Wall Street expectations. Holdings are established with a 12-18 month investment time horizon. The Falcon Point Long/Short Tax Exempt Fund will not generate unrelated business taxable income (UBTI).