The Advisor is registered as a CTA and a member of NFA. The Advisor will trade client accounts in commodity interests which include, among other things, futures contracts, physical commodities, forward contracts, foreign exchange, and options on each of these. Its principals are also Associated Persons of MF Global, a registered Futures Commission Merchant.

The Advisor's program consists of a series of trading systems. Each system is generally technical, systematic and robust. Effective risk management is a crucial aspect of the Advisor's trading program.

Trading in commodities should not be considered a replacement for investing in traditional asset classes, but rather as a possible enhancement to a traditional portfolio. There has historically been a degree of non-correlation between the returns realized on certain commodity interest trading and those on stocks and bonds. This non-correlation suggests that commodity trading can, in certain circumstances, be a valuable complement to a traditional portfolio.

Trading Method

SPREAD ARBITRAGE is a discretionary spread trading program that trades in several markets including meats, agriculturals, and options. The system searches for spreads that deviate from their normal range. If, in the Advisors opinion, there is no economic justification for the spread to deviate from its normal pattern, then the advisor will look to take advantage of this discrepancy by placing trades that will be profitable if the spread moves back to its normal range. Andrei Kirsanov is the trading principle for the Spread Arbitrage Program. Detailed information regarding the Spread Arbitrage Program is set forth in the Advisor Disclosure Document. Past performance is not indicative of future performance. Trading futures and options involves substantial risk of loss and is not suitable for all investors.

Key Principals - BIO

MICHAEL CONNOR has been involved as a trader in the futures markets since 1974. From 1979 through 1989, he was a registered floor broker and member of the Chicago Mercantile Exchange during which time he handled trading for both his own account as well as client accounts and proprietary accounts of several clearing firms. From March 1984 through February 1986, he was also a registered associated person of Glasgow & Gorman Futures Corporation, an introducing broker he owned. Mr. Connor became registered as a sole proprietor commodity trading advisor in March 1988, and incorporated the business as Market Watch, Inc. in September 1989. In September 1990, the firm was registered additionally as a commodity pool operator. Initially, Market Watch produced market letters and market price information primarily oriented towards professional traders. In addition to editing and producing Market Watch, Inc. publications, he also managed trading in proprietary accounts for clearing firms on the floor of the Chicago Mercantile Exchange until shortly before June 1989, when he sold his CME membership to devote himself exclusively to customer advisory activities through Market Watch, Inc. Mr. Connor has also been a registered securities representative with Winthrop Securities Inc. from November 1984 through December and from January 1986 through August 1986 with Rodman & Renshaw, Inc. subsequent to that he has been an inactive registered representative with Republic Securities, Inc. In February 1996, Mr. Connor closed and Market Watch, Inc. and Dupage Trader, a small introducing broker he owned, to join LFG as an associated person. In addition to being an associated person with LFG, Connor not only continued to produce overnight reports but also offered his clients the expanded execution and research capabilities of LFG. In January of this year, after LFG merged with Refco, Inc., Mr. Connor, along with several other LFG associated persons, joined Fox, Inc., a non-clearing FCM that is a division of Man Financial, Inc.