LJM Partners, Ltd. (LJM

Fund, L.P.)

Fund Investment Objectives

The LJM Fund, L.P. is traded in the LJM Moderately Aggressive Strategy: Annualized profit objectives are targeted at 24-28%. Given the potential variability in short term performance the moderately aggressive investor should have a two to four year timeline or longer. The trading strategy for the Moderately Aggressive adds hedging to reduce risk and to limit exposure to gap down movements of 20% or less in the underlying S&P index. The hedging strategy will include long puts (i.e. put spreads) with the goal of reducing maximum capital loss relative to purely unhedged positions. Pricing for all instruments purchased or sold to facilitate the hedging portion of the strategy will be modeled using commercially availability risk management tools such as ProOpticus(R) (ProOpticus(R) is a registered trademark of Prime Analytics, Inc.) along with the proprietary LJM STORMsm system. The Moderately Aggressive strategy does not hedge short call exposure.