Why Invest?

• Low correlation with financial markets, in particular equity markets.
• Some discounts are still very high.
• Carrousel portfolio discount which was on average below 10% before the 2008 crisis is above 63% discount at end of December 2011.
• Historically there is a high correlation between portfolio discount and portfolio future return.
• Unlike other relative value and arbitrage strategies, Carrousel can close its trades independently of the market conditions.
• Careful Risk Management control, well disciplined Operational procedures.
• Carrousel activism benefits from the current market conditions:
  • Easier to convince other shareholders as stronger desire to redeem their investment at NAV.
  • With deeper discounts there’s more room to negotiate with the boards of directors and exit negotiations tend to be quicker.