Caledon Asset Management caledon.altavra.com

Caledon Asset Management's trading programs are designed for sophisticated investors. An investment in an account to be traded by the Caledon Asset Management should only be considered by investors that can assume the significant risk of futures and/or forex trading, including losses in excess of their initial investment. In managing the accounts of its Clients, the Caledon Asset Management employs the trading concepts and strategies developed by its trading principal. Since the trading methods to be utilized by the Caledon Asset Management are proprietary and confidential, the discussion that follows is of a general nature and not intended to be exhaustive. No attempt has been or could be made to provide a precise description of the trading strategy or strategies to be used by the Advisor. While Caledon Asset Management believes that the description of the trading methods and strategies included in the Disclosure Document may be of interest to investors, investors must ultimately be aware of the inherent limitations of any such description.

Investment Objective and Types of Transactions
Caledon Asset Management’s principal investment objective is to realize capital appreciation while actively managing risk. For clients who choose Caledon Asset Management's Futures Managed Account Program, the Advisor will primarily trade commodity futures, and options thereon on all major commodity futures contracts, and options thereon, on all major exchanges. Caledon Asset Management also reserves the right to place trades on any exchange, foreign or domestic, at its sole discretion. For clients who choose the Advisor’s Forex Managed Account Program, Caledon Asset Management will trade off-exchange, over-the-counter, foreign currency contracts (“forex”) on behalf of a client’s account. In essence, the Advisor’s trading programs seek to achieve a high level of return commensurate with the risks of futures and forex trading.

Fundamental and Technical Analysis
Commodity Trading Advisors generally rely on either fundamental or technical analysis, or a combination thereof, in making trading decisions and attempting to identify price trends in a commodity or forex interest. "Fundamental analysis" is the consideration of factors external to the market of a particular instrument. For example, weather and political events which affect the supply and demand of a particular instrument, may be considered in order to predict future prices of that instrument. As an example, some of the fundamental factors that affect the supply of commodities (e.g., agricultural products such as corn and soybeans) include the acreage planted, weather during the growing season, harvesting and distribution of the commodity and the previous year's crop carryover. The demand for such commodities is determined in part by domestic consumption and exports and is a product of many factors, including general world economic conditions, exports and the cost of competing products which might be substituted as alternate sources of food or fiber.

Technical analysis is not based on the anticipated supply and demand of the "cash" or "physical" (i.e., actual) commodity; instead, technical analysis is based on the theory that a study of the markets themselves (in particular, of trends of prices established by the markets for various instruments during selected historical periods) provides a means of anticipating prices. Technical analysis of the markets often includes a study of the actual daily, weekly and monthly price fluctuations, as well as volume variations and changes in open interest, utilizing charts and/or computers for analysis of these items and other technical market data.

Both general methodologies have been employed with success by traders and investors in the past; however, neither trading method can be assured of success in a particular interval of time. Caledon Asset Management uses primarily technical analysis.

General Description
Both the futures and forex managed account programs will be based, in part, on trading systems licensed by Caledon Asset Management from a third party, and in part, on trading strategies developed by the trading principal of the Advisor. Caledon Asset Management may license additional trading systems from the third party or other third parties from time to time in the future without prior notice to customers. Both managed account programs will use a technical approach that identifies high probability turning points in individual markets. These levels are created using proprietary number sequences associated with a convergence of price and time. Price action (recognition or rejection) at these levels will determine whether reversal or continuation strategies will be initiated. Election of the trades (long or short) at these indicated points will provide a directional bias. Although this methodology can be used on any time frame, the Advisor will focus on the short-term (1 to 3 days holding period) in order to maintain the projected confidence window. The implementation of the appropriate strategy under the right market condition is the backbone of the managed account programs.

In addition to having a specific and consistently applied trading methodology, Caledon Asset Management believes that implementing a prudent risk management strategy is a crucial element to the long-term success of the program. This will be accomplished by introducing the concept of integrating the evaluation of correlation between markets, diversification (across markets, time frames and strategies) and controlling leverage by position sizing as a function of a percentage of capital.

Forex Managed Account Program
The second program will trade in the forex market. The forex market is a worldwide decentralized over-the-counter financial market for the trading of currencies. Financial centers around the world function as anchors of trading between a wide range of different types of buyers and sellers around the clock, with the exception of weekends. The purpose of the foreign exchange market, Forex, is to assist international trade and investment. There is no unified or centrally cleared market for the majority of FX trades. Although Caledon Asset Management may trade in any currency pairs deemed appropriate, the focus of the trading will be currency pairs consisting of the following currencies: the Australian Dollar, the Canadian Dollar, the Euro, the British Pound, the Japanese Yen, the New Zealand Dollar, the Swiss Franc and the U.S. Dollar. The minimum investment for the Forex Managed Account Program is $15,000, subject to Caledon Asset Management accepting a lesser amount in its sole discretion.

Jerry Winter is the sole manager and AP of the Caledon Asset Management.  Mr. Winter has been listed as a principal of the Caledon Asset Management since April 7, 2010 and registered as an associated person of the Advisor since April 9, 2010. Jerry Winter is also a Vice President of Striker Securities, Inc., a full service futures and forex independent introducing broker, and has been registered as an associated person of Striker Securities, Inc. since March 27, 1998. Jerry holds a Series 3, Series 7, Series 24 & Series 63 license. In 1986, Jerry received a BS in Finance at the University of Arizona.

THE RISK OF LOSS IN FOREX TRADING CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHER SUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. IN CONSIDERING WHETHER TO TRADE OR TO AUTHORIZE SOMEONE ELSE TO TRADE FOR YOU, YOU SHOULD ALSO BE AWARE OF THE FOLLOWING:

FOREX TRANSACTIONS ARE NOT TRADED ON AN EXCHANGE, AND THOSE FUNDS DEPOSITED WITH THE COUNTERPARTY FOR FOREX TRANSACTIONS MAY NOT RECEIVE THE SAME PROTECTIONS AS FUNDS USED TO MARGIN OR GUARANTEE EXCHANGE-TRADED FUTURES AND OPTIONS CONTRACTS. IF THE COUNTERPARTY BECOMES INSOLVENT AND YOU HAVE A CLAIM FOR AMOUNTS DEPOSITED OR PROFITS EARNED ON TRANSACTIONS WITH THE COUNTERPARTY, YOUR CLAIM MAY NOT RECEIVE A PRIORITY. WITHOUT A PRIORITY, YOU ARE A GENERAL CREDITOR AND YOUR CLAIM WILL BE PAID, ALONG WITH THE CLAIMS OF OTHER GENERAL CREDITORS, FROM ANY MONIES STILL AVAILABLE AFTER PRIORITY CLAIMS ARE PAID. EVEN CUSTOMER FUNDS THAT THE COUNTERPARTY KEEPS SEPARATE FROM ITS OWN OPERATING FUNDS MAY NOT BE SAFE FROM THE CLAIMS OF OTHER GENERAL AND PRIORITY CREDITORS.

THE HIGH DEGREE OF LEVERAGE THAT IS OFTEN OBTAINABLE FOREX CAN WORK AGAINST YOU AS WELL AS FOR YOU. THE USE OF LEVERAGE CAN LEAD TO LARGE LOSSES AS WELL AS GAINS.

MANAGED ACCOUNTS MAY BE SUBJECT TO SUBSTANTIAL CHARGES FOR MANAGEMENT AND ADVISORY FEES AND THE ACCOUNT MAY NEED TO MAKE SUBSTANTIAL TRADING PROFITS TO AVOID DEPLETING OR EXHAUSTING ITS ASSETS.  THE DISCLOSURE DOCUMENT CONTAINS A COMPLETE DESCRIPTION OF EACH FEE TO BE CHARGED TO YOUR ACCOUNT BY THE ACCOUNT MANAGER.

THIS BRIEF STATEMENT CANNOT DISCLOSE ALL THE RISKS AND SIGNIFICANT ASPECTS OF THE FOREX MARKETS.  THEREFORE, YOU SHOULD CAREFULLY REVIEW THIS DISCLOSURE DOCUMENT BEFORE YOU TRADE, INCLUDING THE DESCRIPTION OF THE PRINCIPAL RISK FACTORS OF THIS INVESTMENT. 

You are encouraged to access the disclosure document AND/OR MANAGEMENT AGREEMENT by clicking the links provided AT Forms.altavra.com. You will not incur any additional charges by accessing the documents. You may also request delivery of a hard copy at formsbymail.altavra.com, which will also be provided to you at no additional cost.  the CFTC has not passed upon the merits of participating in any of these trading programs nor on the adequacy or accuracy of any of these disclosure documents OR MANAGEMENT AGREEMENTS..

YOU SHOULD ALSO BE AWARE THAT THIS TRADING ADVISOR MAY ENGAGE IN TRANSACTIONS ON MARKETS LOCATED OUTSIDE THE UNITED STATES, THESE MAY BE SUBJECT TO REGULATIONS WHICH OFFER DIFFERENT OR DIMINISHED PROTECTION. FURTHER, UNITED STATES REGULATORY AUTHORITIES MAY BE UNABLE TO COMPEL THE ENFORCEMENT OF THE RULES OF REGULATORY AUTHORITIES OR MARKETS IN NON-UNITED STATES JURISDICTIONS WHERE YOUR TRANSACTIONS MAY BE EFFECTED. BEFORE YOU TRADE YOU SHOULD INQUIRE ABOUT ANY RULES RELEVANT TO YOUR PARTICULAR CONTEMPLATED TRANSACTIONS AND ASK THE FIRM WITH WHICH YOU INTEND TO TRADE FOR DETAILS ABOUT THE TYPES OF REDRESS AVAILABLE IN BOTH YOUR LOCAL AND OTHER RELEVANT JURISDICTIONS.  THE TRADING ADVISOR IS PROHIBITED BY LAW FROM ACCEPTING FUNDS IN THE TRADING ADVISOR’S NAME FROM A CLIENT FOR TRADING. YOU MUST PLACE ALL FUNDS FOR TRADING IN THIS TRADING PROGRAM DIRECTLY WITH A FUTURES COMMISSION MERCHANT.

THE FOLLOWING PERFORMANCE NUMBERS HAVE BEEN SUPPLIED BY THE MANAGERS DIRECTLY TO VARIOUS DATA COLLECTION SERVICES.  THE INFORMATION PRESENTED HAS BEEN OBTAINED FROM DATA COLLECTION SOURCES THAT ALTAVRA BELIEVES TO BE RELIABLE.  ALTAVRA IN NO WAY GUARANTEES THE ACCURACY OF THESE NUMBERS AND HAS SUPPLIED THEM FOR INFORMATIONAL PURPOSES ONLY.  ALTAVRA HAS NOT AND CANNOT VERIFY THE ACCURACY OF SUCH INFORMATION AND POTENTIAL INVESTORS SHOULD BE AWARE THAT SUCH INFORMATION IS SUBJECT TO CHANGE WITHOUT NOTICE.  THIS DOES NOT CONSTITUTE A SOLICITATION TO BUY OR AN OFFER TO SELL.  Other disclosure statements are required to be provided before an account may be opened for you.

questions or COMMENTS:  please email clientservices@altavra.com or call 1-800-998-7870.

Peregrine Financial Group, Inc may act as counterparty to your forex transactions.  Past performance is not necessarily indicative of future results.   There are substantial risks associated with leveraged products and additional risks with off-exchange transactions such as those in this managed forex account program. 

The descriptions above are from the manager's disclosure document.

THE RISK OF LOSS IN TRADING FUTURES, OPTIONS AND OFF-EXCHANGE FOREX CAN BE SUBSTANTIAL.  PAST RESULTS ARE NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.  PLEASE READ THE CTA'S RISK DISCLOSURE DOCUMENT CAREFULLY BEFORE INVESTING MONEY.