The Ramius Merger Fund LLC pursues a merger arbitrage strategy. The primary instruments the Fund utilizes are equities, listed options, corporate bonds and convertible bonds. The Fund is intended to be highly liquid. The Fund tracks the recent historical liquidity of its investments and seeks to maintain the ability to liquidate at least 80% of its portfolio within 5 trading days without materially affecting the markets for the securities it owns or is short. Because historically most definitive transactions have closed, the Fund will in general be net long; however the Fund will generally carry short positions for capturing arbitrage spreads; if it believes that a transaction or anticipated transaction will not be completed or announced; or for hedging purposes. Although the Fund may carry short positions in anticipation of spread widening or transaction terminations, in general the majority of the Fund's short exposure is related to hedges in stock-for-stock transactions. The Fund is not limited geographically, but currently has a primary focus on investment opportunities in North America, and seeks to avoid investing outside of mature markets.