REGISTERED INVESTMENT ADVISOR

Disclosures

Liberty Hill Capital is subject to the principal risks summarized below. These risks could adversely affect our client’s asset value, yield and total return. It is possible to lose money by investing with Liberty Hill Capital.

Equity Securities Risk: Equity securities are subject to greater fluctuations in market value than other asset classes as a result of such factors as a company’s business performance, investor perceptions, stock market trends and general economic conditions. The rights of equity holders are subordinate to all other claims on a company’s assets including debt holders. The value of equity securities could decline if the financial conditions of the companies decline or if the overall market and economic conditions deteriorate. Equity investments risk a loss of all or a substantial portion of the investment.

Market Risk: Risk that securities markets and individual securities will increase or decrease in value. Market risk applies to every market and every security. Security prices may fluctuate widely over short or extended periods in response to market or economic news and conditions, and securities markets also tend to move in cycles. If there is a general decline in the securities markets, it is possible your investment may lose value regardless of the individual results of the companies in which the Adviser invests. The magnitude of up and down price or market fluctuations over time is sometimes referred to as “volatility,” and it can be significant. In addition, different asset classes and geographic markets may experience periods of significant correlation with each other. As a result of this correlation, the securities and markets in which the Adviser invests may experience volatility due to market, economic, political or social events and conditions that may not readily appear to directly relate to such securities, the securities’ issuer or the markets in which they trade.

Value Style Risk: The Adviser intends to buy securities, on behalf of the client, that it believes are undervalued. Investing in “value” stocks presents the risk that the stocks may never reach what the Adviser believes are their full market values, either because the market fails to recognize what the Adviser considers to be the companies’ true business values or because the Adviser misjudges those values. In addition, value stocks may fall out of favor with investors and underperform growth stocks during given periods.

Database Errors: The investment strategy used by the Adviser relies on proprietary databases and third-party data sources. As a result, any errors in the underlying data entry, database or the assumptions underlying the strategies may result in the Adviser acquiring or selling investments based on incorrect information. Additionally, data entry made by the Adviser’s internal team of financial analysts may contain errors, as may the database system used to store such data. When strategies and data prove to be incorrect, misleading, flawed or incomplete, any decisions made in reliance thereon expose the client to potential risks. For example, the Adviser may be induced to buy certain investments at prices that are too high, to sell certain other investments at prices that are too low, or miss favorable opportunities. As a result, the client could incur losses on such investments before the errors are identified and corrected. Neither the Adviser nor any other person will reimburse the client for any database errors.

Systems Risk: The Adviser relies extensively on computer programs and systems to implement its strategies, to trade, clear and settle securities transactions, to monitor the client’s portfolio, and to generate risk management and other reports that are critical to oversight of the Adviser’s activities. These programs or systems may be subject to certain defects, failures or interruptions, including, but not limited to, those caused by computer “worms,” viruses and power failures. There can be no guarantee that such defects will be identified in time to avoid a material adverse effect on the client. For example, such failures could cause settlement of trades to fail, lead to inaccurate accounting, recording or processing of trades, and cause inaccurate reports, which may affect the Adviser’s ability to monitor its investment portfolio and its risks.

Small and Mid Cap Securities Risk: Investments in small and mid cap companies may be riskier that investments in larger, more established companies. The securities of smaller companies may trade less frequently and in smaller volumes, and as a result, may be less liquid than securities of larger companies. In addition, smaller companies may be more vulnerable to economic, market and industry changes. As a result, share price changes may be more sudden or erratic than the prices of other equity securities, especially over the short-term. Because smaller companies may have limited product lines, markets or financial resources or may depend on a few key employees, they may be more susceptible to particular economic events or competitive factors than large capitalization companies.

Management Risk: As with any managed portfolio, the Adviser may not be successful in selecting the best-performing securities or investment techniques, and the portfolios performance may lag behind that of similar funds. The Adviser may also miss out on an investment opportunity because the assets necessary to take advantage of the opportunity are tied up in less advantageous investments.

Portfolio Turnover Risk: The Adviser may sell its securities, regardless of the length of time that they have been held if the Adviser determines that it would be in the client’s best interest to do so. High turnover rates generally result in higher brokerage costs to the client and in higher net taxable gain for shareholders, and may reduce the client’s returns.