Strategy. The Fund seeks to achieve its investment objective by investing under normal circumstances in long and short positions of equity and equity-related securities, primarily of companies traded on U.S. markets. The Adviser seeks to maintain the Funds net equity exposure, which is the value of the Funds long positions minus its short positions, at 50% net short. The Adviser expects that the Funds gross equity exposure, which is the value of the Funds long positions plus its short positions, will generally be below 250%. The Fund may invest in companies of any size and the Fund generally holds several hundred positions. The Fund generally takes long positions in securities that the Adviser believes to be undervalued and short positions in … Show more… The Fund seeks to achieve its investment objective by investing under normal circumstances in long and short positions of equity and equity-related securities, primarily of companies traded on U.S. markets. The Adviser seeks to maintain the Funds net equity exposure, which is the value of the Funds long positions minus its short positions, at 50% net short. The Adviser expects that the Funds gross equity exposure, which is the value of the Funds long positions plus its short positions, will generally be below 250%. The Fund may invest in companies of any size and the Fund generally holds several hundred positions. The Fund generally takes long positions in securities that the Adviser believes to be undervalued and short positions in securities that the Adviser believes to be overvalued, based on the Advisers analysis of the issuers financial reports and market valuation. The Adviser seeks to capitalize on pricing inefficiencies in the market by employing a systematic, bottom-up, valuation approach based on the Advisers proprietary analytical framework to identify companies that appear to be undervalued or overvalued on both an absolute and relative basis. This approach consists of: ? Researching and analyzing each company in the Advisers coverage universe according to a methodology that emphasizes fundamentals such as recurring earnings, cash flows, capital efficiency, capital structure, and valuation; ? Identifying and excluding companies that do not conform to the Advisers valuation methodology or companies judged by the Adviser to have questionable financial reporting; ? Updating the analysis for earning releases, annual (Form 10-K) and quarterly (Form 10-Q) reports and other corporate filings; and ? Recording analysis in a centralized database enabling the Adviser to compare companies and identify longs and shorts based on the Advisers assessment of value. Generally the long portfolio is weighted most heavily towards those stocks that are priced at the largest discount to the Advisers assessment of value. Similarly, the short portfolio is generally weighted most heavily towards those short positions selling at the largest premium to the Advisers measures of value. The portfolio is also subject to the Advisers risk controls, which include liquidity and diversification considerations. The Fund is rebalanced (generally daily) to maintain exposure levels, manage risk and reposition the portfolio to reflect changes resulting from earnings releases and other new information related to particular companies. The Funds short sales create leverage in the Fund which may amplify changes in the Funds net asset value. The Fund currently obtains its short exposure, and may also gain long exposure, through the use of one or more swaps. The Fund may also lend portfolio securities to brokers, dealers and other financial organizations meeting capital and other credit requirements or other criteria established by the Funds Board of Trustees. Loans of portfolio securities will be collateralized by liquid securities and cash. The Fund may invest cash collateral received in securities consistent with its principal investment strategy. Because the Fund generally rebalances its long and short positions daily, the Fund will experience a high portfolio turnover rate. Show less