Lynx Fund I (Master Fund),

L.P.

Fund Investment Objectives

The Lynx Fund invests primarily in the mortgage-related securities market. More specifically, the Fund concentrates its investment in the prepayment-sensitive and interest-rate sensitive sectors of this marketplace (better known as "the derivative mortgage market"), and financial instruments linked to mortgage-related securities. Furthermore, the Fund only invests in instruments that are issued by FHLMC, FNMA, and GNMA, therefore the portfolio maintains no exposure to 1) Credit Risk, 2) Event Risk, or 3) Currency Risk. The mortgage-related securities market is extremely dynamic and flexible for portfolio management because within its universe, securities exist that maintain a multitude of differing characteristics. Securities exist that appreciate when: 1) Short-term interest rates are declining, 2) Short-term interest rates are increasing, 3) Long-term mortgage rates are declining, 4) Long-term mortgage rates are increasing, 5) The Treasury yield curve is flattening, or 6) The Treasury yield curve is steepening.