NuWave Long/Short Portfolio

Ltd. - Class A

Fund Investment Objectives

The Long/Short Equity Portfolio employs a divergence-oriented trading strategy premised upon a series of pattern recognition-based algorithms that are similar in nature to those utilized by the firm's flagship futures trading strategy. The portfolio is devoid of any inherent long bias, offering investors a risk/return profile that is truly market neutral (i.e, beta neutral) in nature, while seeking to capture relative directional opportunities (rather than mean reverting opportunities) from a highly liquid portfolio of approximately 400 large cap U.S. equities. Holding periods range from mere hours to several days in length (depending upon directional price persistence), and portfolio leverage is relatively modest (averaging 2 to 1).