Kopis Capital Management, LLC : Commodity Long Short Separate Account

Summary

The Commodity Long Short Program, which is currently being offered by Kopis to new clients, commenced trading in May 2015. The Commodity Long Short Program will trade a portfolio of Futures Interest Contracts limited to futures on physical commodities. These Futures Interest Contracts are traded on a highly leveraged basis. The decision to periodically add or subtract markets from the Commodity Long Short Program shall be at the sole discretion of Kopis. Clients will not be informed of these changes as they occur. When the Commodity Long Short program is traded for separately-managed accounts, variations in performance attributable to different fee structures, as well as different levels of leverage, may cause variations in resulting performance.

Investment Strategy

The Commodity Long Short works through applying a uniquely specialized multilevel cross valuation strategy consisting of over 250 pair trade evaluations to determine the individual commodity inclusion, side of the market, and position weighting. This process seeks to produce a return distribution with positive skew while keeping kurtosis low, thus helping to reduce the potential of large negative tail events. Our entry system is a simple channel break entry. Next all positions are followed with a trailing stop that adjusts along with price movement in a manner determined by the volatility of those price movements.

Risk Management

Position sizing is determined by our mathematical framework. All positions are initiated with a protective stop and followed with a trailing stop that adjusts along with price movement in a manner determined by the volatility of those price movements.