The primary investment objective of the Partnership is capital appreciation. The business of the Partnership is the buying and selling of securities, including, without limitation, stocks, options, warrants, and rights of U.S. and non-U.S. entities as well as related derivatives. The Partnership may invest and trade in public and private securities and may lend funds or assets and borrow money, with and without collateral. The Partnership ordinarily will invest in securities that trade in sufficient volume to allow for swift execution of transactions. Positions in securities may be held for very short periods, even as little as a portion of one day. The Partnership may engage in transactions in exchange-listed options in conjunction with or in lieu of taking a position in the underlying securities, including writing uncovered options. The Partnership also may engage in short sales of securities and margin transactions. The Partnership may also invest or trade in cash commodities, commodity futures, or commodity options contracts after securing all necessary registrations (or exemptions) from the National Futures Association (the “NFA”), the United States Commodity Futures Trading Commission (the “CFTC”), and/or other regulatory agencies. The Partnership shall have the power to do any and all acts necessary, appropriate, proper, advisable, incidental or convenient to or for the furtherance of the purposes and business described herein, and shall have, without limitation, any and all of the powers that may be exercised on behalf of the Partnership by the General Partner. The General Partner has delegated discretionary authority over the Partnership’s trading activity and management of the Partnership’s portfolio to the Investment Advisor. The Investment Advisor is registered in California as an Investment Advisor pursuant to section 25230 of the California Corporations Code Section (CA Corp Code § 25230).
The Investment Advisor intends to utilize fundamental analysis to identify opportunities for market outperformance. In furtherance of the Partnership’s investment objectives, the Partnership may buy or sell call or put options, or any combination thereof, in order to leverage potential returns or hedge potential risks. The Partnership expects to have a long bias, but may make opportunistic short investments that will benefit from market-wide or issuer-specific price decreases. The Partnership does not intend to maintain substantial cash balances for long periods of time, however the Investment Manager retains discretion to maintain some or all of the Partnership’s assets in cash or cash equivalents to take advantage of market opportunities.
The Investment Advisor may utilize research and recommendations from selective brokerage firms and will use such firms for execution of transactions in return for such services. It also may use the services of outside advisers and consultants in seeking to implement the Partnership’s investment objectives.
There can be no assurance that the investment objectives of the Partnership will be achieved. The strategies intended to be implemented by the Investment Advisor may create risks of underperformance or loss of invested capital.