Van Eck Hard Assets 2X Fund

Ltd.

Fund Investment Objectives

The Fund's investment objective is capital appreciation primarily through leveraged investments in hard asset securities and hard asset commodities. The term `hard asset securities' includes securities of companies that are directly or indirectly engaged in the exploration, development, production, servicing, or distribution of one or more of the following: (i) gas, petroleum, petrochemicals or other hydrocarbons, (ii) ferrous and non-ferrous metals, (iii) precious metals, (iv) forest products, (v) real estate and (vi) other basic and agricultural commodities. `Hard asset commodities' or `commodities' includes traded products and commodities in the above areas. `Hard assets' and `hard asset investments' includes both hard asset securities and hard asset commodities. The Fund currently intends to borrow up to 100% of its net assets to make investments. However, the Fund may employ any level of leverage to enhance returns, subject to regulatory limits, contractual limitations imposed by brokers and other lenders and risk management concerns.