NEWS - 16

Salus Alpha products outperform equity markets

Thu, 10/11/2011

For the year up to 31/10/2011, all Salus Alpha Funds clearly outperformed global equity markets in a difficult environment.

The Salus Alpha Commodity Arbitrage had a performance of +4.84% for the year to date until , while the US S&P 500 Index lost -0.35%, and the German DAX30 index lost -11.18% in the same period. This is an outperformance against the S&P 500 Index of +5.19% and against the DAX 30 Index of +16.02%.

In such a difficult market environment, this outperformance results from the employment of an active management approach and from the diversification over numerous strategies and substrategies.

The Salus Alpha RN Special Situations had a performance of +3.76% for the month to date.

The Salus Alpha Real Estate had a performance of +1.98% for the month to date. Salus Alpha Real Estate is a single manager single strategy fund, which invests according to Salus Alpha’s proprietary Global Real Estate Model. The fund currently has an exposure of 100% to the Real Estate markets. Salus Alpha Real Estate has been awarded a 5 Star Rating by www.fondsprofessionell.de for its exceptional performance since inception on 21 January 2008. The fund outperformed the EPRA/NAREIT Real Estate Index by +23.14% in this timespan.

The Salus Alpha Event Driven had a performance of +0.72% for the month to date; the Salus Alpha Multi Style had a performance of +0.72% for the month to date; the Salus Alpha Managed Futures had a performance of -0.18% for the month to date; and the Salus Alpha Directional Markets had a performance of -1.00% for the month to date.

The Salus Alpha Equity Hedged had a performance of +3.18% for the year to date until 10/31/2011, outperforming the S&P 500 Index by +3.53%. The Salus Alpha Equity Hedged currently has a 14% exposure to Long Bias, 34% to Market Neutral, 22% to Long Short Variable Bias,  and 30% to Short Bias.

The Salus Alpha Commodity Arbitrage had a performance of +4.84% for the year to date until 10/31/2011, outperforming the S&P 500 Index by +5.19%. The fund outperformed the S&P GSCI Index by 2.29%, which booked a gain of 2.55% in the reporting period. The 12 month rolling alpha of Salus Alpha Commodity Arbitrage to the S&P500 is 4% p.a., the 12 month rolling beta is currently -0.1. This implies that in the past 12 months, the Salus Alpha Commodity Arbitrage had a return of 4% due to active management (alpha).

Salus Alpha Commodity Arbitrage tracks the CAX - Commodity Arbitrage Index. The CAX Index covers the performance of arbitrage strategies, which aim to extract consistent market neutral returns from valuation inefficiencies arising among related commodities - like for example Brent Crude vs. WTI Light Sweet Crude - or among different maturities of futures contracts on one commodity due to Contango, Backwardation and Seasonality.

Contango denotes a market situation where longer-dated commodity futures are priced higher than shorter-dated commodity futures. Markets in contango are characterised by low demand relative to available supply. In these markets, investors holding a long position suffer a roll loss when selling expiring contracts at low prices, and buying new contracts as higher prices. The CAX Index currently has a 10.00% spread position in Wheat, which is currently 24.70% p.a. contangoed.

NEWS - 15

Salus Alpha products outperform equity markets

Thu, 20/10/2011

For the year to 30/09/2011, all Salus Alpha Funds clearly outperformed global equity markets in a difficult environment.

The Salus Alpha Commodity Arbitrage had a performance of +7.71% for the year to date until 9/30/2011, while the US S&P 500 Index lost 10.04%, and the German DAX30 index lost -0.42% in the same period. This is an outperformance against the S&P 500 Index of +17.75% and against the DAX 30 Index of +28.13%.

Other products managed by Salus Alpha performed as follows for the year to date until 9/30/2011:  Salus Alpha Event Driven +1.87%; Salus Alpha Equity Hedged +5.80%; Salus Alpha Commodity Arbitrage +7.71%  

In such a difficult market environment, this outperformance results from the employment of an active management approach and from the diversification over numerous strategies and substrategies.

NEWS - 14

PDL International launches new range of UCITS hedge fund products

Wed, 12/10/2011

PDL International, a global provider of alternative investment services, has announced the UK launch of an innovative range of UCITS-compliant hedge funds.

The funds, which are regulated by the Financial Services Authority, are designed to deliver growth irrespective of market conditions and are available to both institutional and retail investors.

The funds are being distributed in the UK by PDL International on behalf of Swiss-based fund manager Salus Alpha. Formed in 2001 and with assets of over USD 1.2bn under management, the company was the first to obtain UCITS status for a range of hedge fund products and has a strong track record of fund performance.

Sven Kuhlbrodt, Managing Director of PDL International, says: “With the outlook uncertain in the global financial markets, the appetite for alternative, uncorrelated products is increasing among both retail and institutional investors. Our new product range is a unique proposition in the UK, offering investors the chance to grow and preserve capital in uncertain times.”

Oliver Prock, CEO and CIO at Salus Alpha Capital, says: “These funds exhibit attractive absolute return with a low or no correlation to financial markets and low volatility, making them ideal for investors looking to diversify their portfolios. They offer the added benefits of daily liquidity and the comfort UCITS compliance brings.”

NEWS - 13

Pictures of the introduction of the first logo for Universal Human Rights

Sep 26, 2011, 

On 23 9th took place in New York in the presentation of Guastavino's competition winner takes the election of the Universal logo on Human Rights.

"Cinema for Peace" and international film sizes supported on Friday evening, global human rights, celebrating the launch of the first universal human right logos, and the power of cinema to highlight social ills. 

Renowned Acting sizes sat down in recent years for "Cinema for Peace", so were Sean Penn, George Clooney, Leonardo DiCaprio, Richard Gere, Nicole Kidman and Susan Sarandon already renowned speakers at the event. 250 guests came to New York's precious Location Guastavino's in order to make this evening together for a good cause. 

Oliver Prock of Salus Alpha, a international asset management group, supported the event as main sponsor and welcomed cooperation with "Cinema for Peace Foundation" founder and host of Jaka Bizilj numerous well-known special guests, including the actor Robert de Niro's daughter Drena De Niro, singer Jessye Norman and Foreign Minister Guido Westerwelle from Germany . Prock: "As CEO of Salus Alpha, it is important to send me a sign - Capital needs conscience. "

Guido Westerwelle, Oliver Prock

Oliver Prock, Robert de Niro

NEWS - 12

Salus Alpha products outperform equity markets

Mon, 12/09/2011

For the year to 31 August 2011, all Salus Alpha Funds clearly outperformed global equity markets in a difficult environment.

The Salus Alpha Commodity Arbitrage had a performance of +9.13% for the year , while the US S&P 500 Index lost 3.08%, and the German DAX30 index lost 16.33% in the same period. This is an outperformance against the S&P 500 Index of +12.21% and against the DAX 30 Index of +25.46%.

Other products managed by Salus Alpha performed as follows for the year to date until 8/31/2011:  

Salus Alpha Commodity Arbitrage: +9.13% 

Salus Alpha Equity Hedged: +6.34% 

Salus Alpha Event Driven: +2.49%  

In such a difficult market environment, this outperformance results from the employment of an active management approach and from the diversification over numerous strategies and substrategies.

The Salus Alpha Real Estate had a performance of +0.68% for the month to date, outperforming the EPRA / NAREIT Index by +8.93%. The 12 month rolling alpha of Salus Alpha Real Estate to the Epra/Nareit Europe Index  is 7% p.a., the 12 month rolling beta is currently 0.2. This implies that in the past 12 months, the fund had a return of approximately 7% due to active management (alpha), and 0.19% return due to the positive market beta.

Salus Alpha Real Estate is a single manager single strategy fund, which invests according to Salus Alpha’s proprietary Global Real Estate Model. The Salus Alpha Real Estate outperformed the EPRA/NAREIT Real Estate Index by 8.93% and the GPR 250 Europe Index by 6.14% during the month of August. The fund currently has an exposure of 42% to the Real Estate markets.

Salus Alpha Real Estate has been awarded a 5 Star Rating by www.fondsprofessionell.de for its exceptional performance since inception on 21 January 2008. The fund outperformed the EPRA/NAREIT Real Estate Index by +22.30% in this timespan.

The Salus Alpha Commodity Arbitrage had a performance of +0.38% for the month to date, outperforming the S&P 500 Index by +6.06%. The fund outperformed the S&P GSCI Index by 2.04%, which booked a loss of -1.66% in the reporting period. The 12 month rolling alpha of Salus Alpha Commodity Arbitrage to the S&P500 is 9% p.a., the 12 month rolling beta is currently 0.0. This implies that in the past 12 months, the Salus Alpha Commodity Arbitrage had a return of 9% due to active management (alpha). Salus Alpha Commodity Arbitrage tracks the CAX - Commodity Arbitrage Index.

The CAX Index covers the performance of arbitrage strategies, which aim to extract consistent market neutral returns from valuation inefficiencies arising among related commodities - like for example Brent Crude vs. WTI Light Sweet Crude - or among different maturities of futures contracts on one commodity due to Contango, Backwardation and Seasonality. Contango denotes a market situation where longer-dated commodity futures are priced higher than shorter-dated commodity futures. Markets in contango are characterized by low demand relative to available supply. In these markets, investors holding a long position suffer a roll loss when selling expiring contracts at low prices, and buying new contracts as higher prices. The CAX Index currently has a 4.85% spread position in Lean Hogs, which is currently 37.55% p.a. contangoed.   

The Salus Alpha Equity Hedged had a performance of +6.34% for the year to date until 8/31/2011, outperforming the S&P 500 Index by +9.42%. The 12 month rolling alpha of Salus Alpha Equity Hedged to the S&P500 is 6% p.a., the 12 month rolling beta is currently -0.1. This implies that in the past 12 months, the fund had a return of 6% due to active management (alpha). The Fund outperformed the HFRX Equity Hedge Index by 20.22%. The Salus Alpha Equity Hedged currently has a 14% exposure to Long Bias, 34% to Market Neutral, 22% to Long Short Variable Bias,  and 30% to Short Bias.  

The Salus Alpha Event Driven had a performance of +2.49% for the year to date until 8/31/2011, outperforming the S&P 500 Index by +5.57%. The fund's performance for the period was 5.41% higher than the performance of the HFRX Event Driven Index.  The SA FX Strategies had a performance of -0.67% for the month to date, outperforming the S&P 500 Index by +5.01%. The product outperformed the industry benchmark Barclay BTOP FX Index by 0.70%. The index had a return of -1.37%. The FX Managers in the SA FX Strategies Portfolio profited by the USD's weakness vs. Russian Rouble, Norwegian Krone, Canadian Dollar, Australian Dollar, Swedish Krone, British Pound, Swiss Franc, Singapore Dollar, Mexican Peso, Polish Zloty and Brazilian Real. The managers incurred losses due to the Dollar's strength vs. New Zealand Dollar, and due to the USD devaluation vs. Euro, Japanese Yen and Danish Krone.  

The Salus Alpha Directional Markets had a performance of -2.24% for the year to date until 8/31/2011, outperforming the S&P 500 Index by +0.84%.

The Salus Alpha Multi Style had a performance of -0.76% for the year to date until 8/31/2011, outperforming the S&P 500 Index by +2.32%. The fund's performance was 4.39% above the performance of HFRX Global Index for the period.  

The Salus Alpha RN Special Situations had a performance of -7.71% for the year to date until 8/31/2011.  

The Salus Alpha Managed Futures had a performance of -0.03% for the year to date until 8/31/2011, outperforming the S&P 500 Index by +3.05%. The fund's performance was 0.41% better than the performance of the HFRX Macro Index for the period.