Norcap

GovPlus Fund, L.P.

Fund Investment Objectives

GovPlus Fund is an absolute return strategy intended to generate monthly returns of 75 to 90 basis points over the Barclays 1 - 3 Year Government Bond Index. Investments consist of a volatility arbitrage strategy plus a short maturity (maximum 5 yr) government/agency bond portfolio and hedging strategies as needed. From May 2002 through August 2002, performance shown is that of a personal investment account belonging to David Norcom and managed pursuant to the GovPlus investment strategy. Performance information is based on bank statements. From September 2002 through August 2004, performance shown is that of a private investment fund ("Predecessor Fund") sponsored by an investment advisory firm with which David Norcom was previously employed. Mr. Norcom acted as lead portfolio manager for the Predecessor Fund's investment portfolio. The performance information for the Predecessor Fund is based on statements of account/bank statements relating to the Predecessor Fund. Incentive Fee: charged for performance above the Barclays 1-3 year government bond index and net the .90 bps management. This fund has a hurdle rate in order to receive the 20% incentive fee. That hurdle rate is the Barclays 1-3 year government bond index. AUM is not disclosed.