Strategy

The following is a general description of the principal types of investments which the Investment Manager
currently contemplates making for the Fund, certain investing techniques that it may employ, the
investment criteria that it plans to apply, and the guidelines that it has established with respect to the
composition of its investment portfolio. The following description is merely a summary, and you should
not assume that any descriptions of the specific activities in which the Fund may engage are intended in
any way to limit the types of investment activities which the Fund may undertake or the allocation of
Fund capital among such investments. The Investment Manager reserves the right to alter any Fund
investment policy or strategy to respond to changes in market or economic conditions as deemed
appropriate from time to time in its discretion without obtaining Member approval. However, the Fund
will notify Members prior to any material alteration of the Fund’s investment policy or strategy.
6.1. FUND OBJECTIVE AND INVESTMENT STRATEGY
The Fund was formed with the objective of achieving capital appreciation over the short and long-term
and to product superior risk adjusted returns while concurrently seeking to use strategies designed to
reduce risk by making investments in a broad range of assets to take advantage of market opportunities,
including but not limited to publicly traded equities and options thereon, privately held equities and
convertible securities of early stage and late stage companies, distressed assets and special situations, real
estate assets, futures and various derivative instruments. The Fund will invest all of its cash from the
capital contributions of its investors into the Fund, put of which the foregoing investment strategy will be
executed.
While the Fund anticipates that most of its funds generally will be invested and does not generally intend
to maintain substantial cash balances for long periods of time, the Investment Manager retains discretion
to maintain some or all of JumpStart’s assets in cash or cash equivalents.
A substantial portion of the investment methods, strategies, and risk management policies used by the
Fund is proprietary and confidential. Therefore, this summary discussion is of a general and descriptive
nature and is not intended to be exhaustive of all of the nuances of the Investment Manager’s trading
strategies. Investors should take note that the practices of short-selling, leverage (as a result of margin
and from taking certain options positions) described below and limited diversification can, in certain
circumstances, maximize the adverse effects to which the Fund’s investment portfolio may be subject,
notwithstanding any risk management policies implemented by the Fund. The following general
discussion of the employment of short sales, the use of options and other investment activity is a general
description of the types of underlying financial instruments and derivatives that JumpStart’s portfolio may
contain for the purpose of implementing JumpStart’s overall investment objectives. These investment
methods are not themselves the Fund’s investment strategy.
6.2. USE OF OPTIONS
JumpStart’s investment strategy utilizes investing in publicly-listed options, both long-term and short-
term in lieu of holding a position in the underlying security or for hedging purposes. JumpStart may sell
call options on securities, including any underlying equity securities held in its portfolio. JumpStart may
also purchase call options on securities sold short by the Fund as a hedging technique, as well as enter
into a variety of combined options positions, such as ratios, strangles, straddles and other combinations.

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JumpStart will invest primarily in short-duration options, although some positions will be established in
medium to longer-term options (generally up to one year or less).
JumpStart may also purchase put options on securities in which case it will pay a premium to obtain a
right to sell the underlying security at the put exercise price. In certain situations, JumpStart may
purchase put options as a substitute for establishing a short position in a particular security. JumpStart
may also sell put options in which case the premium received will hedge against a loss resulting from an
increase in value of the underlying security.
JumpStart may also engage in “uncovered” option transactions (e.g., where the writer of a call option
does not own an equivalent number of shares of the underlying security; or, in the case of a put option, the
writer has not sold an equivalent number of shares or does not own a put option covering an equivalent
number of shares with an exercise price equal to or greater than the exercise price of the put written).
JumpStart may, for example, engage in hedging techniques which involve the sale of call options on a
greater number of shares of the underlying securities than are held by the Fund (either directly or through
the ownership of call options). This type of hedging provides an opportunity, through the receipt of
premiums on the options written, to hedge against a decline in the market value of the underlying
instrument on a basis beyond that available in covered option transactions. However, the use of such
technique also entails greater risk of potential loss to the Fund, since a sharp rise in the market price of the
underlying instrument will result in the Fund realizing a loss on the calls written, which may be offset
only partially by the increase in the value of the underlying instruments held by the Fund. Were
JumpStart to write an options contract without holding a position in the underlying instrument, such a
position could, in theory, lead to an unlimited amount of loss.
Although the major U.S. stock exchanges attempt to provide continuously liquid markets in which
holders and writers of options can close out their positions at any time prior to the expiration of the
option, there is no assurance that such a market will exist at all times for all outstanding options
purchased or sold by the Fund. If an options market were to become unavailable, the Fund would be
unable to realize its profits or limit its losses until it could exercise the options it holds, and JumpStart
would remain obligated until the options it sold were exercised or expired.
Since option premiums paid or received by JumpStart, as compared to the underlying investments, are
small in relation to the market value of such investments, buying and selling put and call options offer
large amounts of leverage. Thus, the leverage offered by trading in options, in addition to the leverage
that the Fund will employ in the form of paying for securities with margin, could result in the Fund’s Net
Asset Value being more sensitive to changes in the value of the underlying securities.
6.3. PERMITTED USE OF SHORT POSITIONS
Although the Investment Manager intends to mainly make investments taking a long position for the
assets held in the Fund’s portfolio, JumpStart’s investment strategy may involve short selling securities or
holding short positions in futures contracts for the primary purpose of realizing gains due to the fall in
value of any fund asset, and in some cases, for hedging purposes. A short sale is a transaction in which
the Fund sells a security or other asset it does not own, but borrows. In order to execute a short sale (i.e.,
deliver the asset sold to the buyer), the Fund must borrow the security, commodity or other asset from a
third party and then “short sell” it in the market. At some point in the future, the short-seller will be
obligated to return the asset to the third-party lender, which is accomplished by the Fund purchasing the
asset in the market and delivering these new assets to the lender. When the Fund executes a short sale, a
portion of the proceeds thereof must remain with the Fund’s broker or other intermediary, which may also

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require additional cash or other assets sufficient under current margin regulations to collateralize the
shares that have been sold short. During the period in which the securities or other assets are borrowed,
the lender typically retains the right to receive interest and dividends accruing to the securities or other
assets. In exchange, in addition to lending the securities or other assets, the broker generally pays the
Fund a fee (based upon prevailing interest rates and other market factors) for the use of the Fund’s cash.
JumpStart does not have any policies limiting the amount of its assets it may deposit to collateralize its
obligations to replace borrowed securities sold short. A short sale involves the risk of a theoretically
unlimited increase in the market price of the security against the Fund.
6.4. USE OF LEVERAGE
The Investment Manager intends to leverage the Fund’s assets and investment positions by borrowing,
including use of margin and other financing methods. There are no restrictions on JumpStart’s margin
account borrowing or other borrowing capacity other than limitations imposed by brokers and lending
institutions themselves and applicable credit regulations imposing limits on margin accounts. The
Investment Manager will employ leverage when doing so, in the opinion of the Investment Manager, is in
the best interests of JumpStart’s investors. JumpStart’s assets will be pledged to such brokers or lenders
will be used to secure margin. The use of leverage may expose the Fund to risk of loss of capital
substantially in excess of risk of loss of capital if leverage were not employed by the Fund.
JUMPSTART’S INVESTMENT PROGRAM IS SPECULATIVE AND ENTAILS A SUBSTANTIAL
RISK OF LOSS OF INVESTOR CAPITAL. MARKET RISKS ARE INHERENT IN ALL
SECURITIES TO VARYING DEGREES AND SUCH RISKS MAY BE COMPOUNDED IF
TRADING OPTIONS ON SECURITIES IS INVOLVED. INVESTMENT IN SECURITIES, OPTIONS,
REAL ESTATE, FUTURES, DERIVATIVE INSTRUMETNS, CRYPTOCURRENCIES AND OTHER
FINANCIAL INSTRUMENTS, ALONE OR IN COMBINATION, ENTAILS SPECIAL RISKS THAT
ARE NOT ASSOCIATED WITH INVESTMENT IN OTHER FINANCIAL INSTRUMENTS. NO
ASSURANCES CAN BE GIVEN TO PROSEPCTIVE INVESTORS THAT THE FUND’S
INVESTMENT OBJECTIVE WILL BE REALIZED OR THAT THE INVESTMENT MANAGER’S
USE OF HEDGING AND RISK MANAGEMENT TECHNIQUES WILL BE SUFFICIENT TO
PREVENT LOSS OF INVESTOR CAPITAL (SEE “RISK FACTORS”).