Calaveras Trading & Investments

Leverage Extended (2X)

The Leveraged Extended Program was designed for the more aggressive private investor. This program trades identically to the Fully-Funded Extended program, but is based on trading at two times leverage ($150,000 accounts per unit). (Please see the special disclosure on page 16 of the disclosure document for information on the effect of leverage on risk and return). It started trading customer accounts in June of 2004. Calaveras' "Leveraged Extended" program has been specifically developed for the private investor with $150,000-$300,000 (in $150,000 increments) of risk-capital to invest. The number and volatility patterns of markets traded have been selected with this investment unit in mind, allowing even the private investors to benefit from the diversification and returns that Managed Futures can provide as part of a balanced investment portfolio. The "Leveraged Extended" program currently trades futures in currencies, interest rate instruments, energies, grains and cotton, but reserves the right to modify this portfolio in order to provide more optimal performance under the computer model. Calaveras has carefully selected the markets traded in this program to optimize diversification within the limitations of the account size, using "portfolio theory" to reduce volatility (risk) and provide more consistent returns. Due to limited capacity, the combined "Extended" programs are limited to a total nominal trading level of $4,800,000 (16 "units") and will be closed to new investments (and reinvestments) at that level. Calaveras Trading prefers to limit accounts in the "Extended" programs to nominal trading levels of $900,000 or less each (3 "units").