CSV Capital Partners

Since market-oriented reforms were initiated in 1978, China has successfully transformed itself from an agriculture-based economy into a manufacturing and service-based economy and from an economy almost entirely composed of state-owned enterprises to one with increasing private ownership and market-based incentives Real gross domestic product (GDP) growth in China has exceeded 8% per annum on average since 1997

CSV Capital Partners expects China to continue to increase its presence in global manufacturing and to further develop other industries, such as information technology, retail, tourism and financial services The Fund may also opportunistically sell short other Chinese equities it believes are overvalued CSV is attracted to companies that have more than one and preferably all of the following characteristics: • Significant barriers to entry • Recurring revenue • Pricing power and high margins • High returns on equity and assets • Revenue growth