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HORSEMAN CAPITAL MANAGEMENT

Horseman Global Fund

This is neither an offer to sell nor a solicitation of any offer to buy shares in any fund managed by us. Any offering is made only pursuant to the relevant information memorandum, together with the current financial statements of the relevant fund, if available, and the relevant subscription application, all of which must be read in their entirety. No offer to

purchase shares will be made or accepted prior to receipt by the offeree of these documents and the completion of all appropriate documentation.  

The shares have not and will not be registered for sale, and there will be no public offering of the shares. No offer to sell (or solicitation of an offer to buy) will be made in any jurisdiction in which such offer or solicitation would be unlawful.

 Past performance of a fund is no guarantee as to its performance in the future.

 This presentation is not an advertisement and is not intended for public use or distribution.

Issued in the UK by Horseman Capital Management Limited which is regulated by FSA for the conduct of investment business.

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HORSEMAN CAPITAL MANAGEMENT LTD

• Founded by John Horseman in July 2000 to provide money management expertise to institutional and private clients on a discretionary basis.

• Owned entirely by the founding partners of the Company:

- John Horseman - Christopher Harrison

- Mark Driver

• Horseman Global Fund was launched on February 1st, 2001. • Total assets managed under same strategy $180m

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Horseman Global Fund Key Characteristics

• The Horseman Global Fund is a global long short fund investing both long and short in large capitalised companies in the G7 and the larger Asian markets.

• The fund aims to provide superior absolute returns, while exhibiting a low correlation with stock market indices and lower short and long term volatility than the markets in which it is investing.

• The investment style is fundamentally driven with industry selection both long and short being the primary source of return.

• The fund adopts a fundamental investment style, with around forty long and fifty short positions.

• The fund does not use leverage. Average gross exposure since inception of 103%, net exposure of – 13%. Net exposure to remain within – 40 to + 40%.

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Horseman Global Fund Investment Philosophy

• Invest in successful businesses at the right price.• Sell short deteriorating businesses at overvalued prices. • Trust our ideas. Limit the fund to around forty long and

forty short positions.• Question the consensus - The best ideas are rarely popular.• Good long investments deliver over long periods.

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Horseman Global Fund – Since Inception

• Fund volatility around 60% of underlying market volatility.• Beta has averaged approximately -0.4 derived from net short position

of 0-20% since inception.• Average gross exposure of 103% since inception (gross longs plus

gross shorts – no leverage used).• 95% of total return to date derived from short portfolio.• Median market capitalisation of holdings exceeds $4bn. Two long

positions of less than $1bn.• Average position size of 1.3% for longs, 1% for shorts.• Short portfolio turnover is approximately 300% per annum: Long

turnover is approximately 100% per annum.