Monterosso Investment Management monterosso.altavra.com

Monterosso Investment Management will trade your account in accordance with a proprietary trading program developed and refined by Monterosso Investment Management: the Monterosso Short-Term Managed Futures Program. Monterosso Investment Management believes that its trading program will generate substantially above-average returns over time, creating an attractive opportunity for investors looking for enhancement and diversification. No assurance can be made that this objective will be met. Past results are not necessarily indicative of future results.  The risk of loss in trading futures and options is substantial. The program has the following features:

Systematic

The models are generally systematic, i.e., each model's buy and sell signals are generally automated and nondiscretionary. Only under unusual circumstances are a model’s signals preempted and discretion employed.

Intraday Holding Period

All positions have an intraday holding period. In other words, Monterosso Investment Management opens and closes its positions in the same trading day and does not hold positions overnight. As a result, the turnover rate of Monterosso Investment Management's trading program will be substantial, involving a corresponding increase in transaction costs.

Technical Analysis

The program will use "technical" analysis based on the theory that a study of the markets themselves provides a means of anticipating price movements.

Risk Management

Effective risk management is a crucial aspect of the trading program. With the goal of limiting potential loss, Monterosso Investment Management uses calculated risk assessment techniques. Account size, expectation, volatility of market traded and the nature of other positions taken are all factors in deciding whether to take a position and determining the amount of equity committed to that position. Protective stops are used to control risks. Trades are made either within the prevailing trend or, when there is an indication of a reversal in the prevailing trend, a counter trend trade will be initiated.

Monterosso Investment Management’s trading program is systematic, i.e., non-discretionary, but Monterosso Investment Management will exercise its judgment and discretion in interpreting and applying its program. In addition, Monterosso Investment Management will determine the time at which orders are to be placed with and executed by a broker, the method by which orders are to be placed, the types of orders that are to be placed and the overall leverage for the portfolio.

Monterosso Investment Management currently solely trades in stock index futures contracts.

Monterosso Investment Management may expand its trading program to track other global exchange traded futures products, including, but not limited to, the following markets: grain, meat, foodstuff, fiber, lumber, metals, interest rate, currency and energy. Monterosso Investment Management may also trade in off-exchange instruments, including forex. In short, the markets in which Monterosso Investment Management will trade may grow and there are no restrictions on such growth. The preference of a trade will depend upon which market Monterosso Investment Management determines will provide the best opportunities for profit.

The decision by Monterosso Investment Management not to trade certain markets or not to make certain trades may result at times in missing price moves and hence profits of great magnitude, which other trading managers who are willing to trade these commodities may be able to capture. Monterosso Investment Management's approach is dependent in part on the existence of certain technical indicators. There have been periods in the past when there were no such market indicators, and those periods may recur.

The trading program utilized by Monterosso Investment Management is proprietary and confidential. The foregoing description is of necessity general and is not intended to be exhaustive. Consequently, clients of Monterosso Investment Management will not be able to determine the full details of this strategy, or whether this strategy is being followed. Also, Monterosso Investment Management may adapt or cease trading its current strategies, or introduce new trading strategies at any time without notice. There can be no assurance that any trading strategy of Monterosso Investment Management will produce profitable results or will not result in losses.

Ryan Deming earned his B.A. in Philosophy from the University of California at Los Angeles in 1998. In 2002, he received a Juris Doctor and Masters in Business Administration from the University of Southern California. From February 2003 to June 2003, he worked as a Sales Assistant for Citigroup Global Markets, Inc., the brokerage and securities arm of banking behemoth Citigroup. Mr. Deming was a self-employed private trader from June 2003 to February 2004, at which time he co-founded Monterosso Investment Management. Mr. Deming has been, along with Mr. Busch, responsible for Monterosso Investment Management’s investment activity since February 2004. He has been listed by the NFA as a principal of Monterosso Investment Management since December 9, 2008, and as an associated person since December 31, 2008.

Mark Busch received his B.S. in Physics at the University of California, Davis, in 1985. In 1991, he earned a Masters of Science in Electrical Engineering at the University of California, Los Angeles. Mr. Busch has been working as an aerospace engineer at Raytheon since March 1986. Raytheon is a major American defense contractor and industrial corporation with core manufacturing concentrations in defense systems and defense and commercial electronics. Mr. Busch co-founded Monterosso Investment Management in February 2004. Mr. Busch has been, along with Mr. Deming, responsible for Monterosso Investment Management’s investment activity since February 2004 and has been listed by the NFA as a principal of Monterosso Investment Management since December 17, 2008.

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.