Explanatory Notes
- These explanatory notes are an integral part of the performance
data used on this website.
- For its Diversified Trend Program TRANSTREND provides compositized rates
of return data of various subsets.
- The rate of return is expressed as a percentage of the aggregate Nominal Account Size
of the subset at the beginning of a period. Nominal Account Size means the account
size agreed to by the client and TRANSTREND that establishes the level of trading.
Accounts in which the Nominal Account Size exceeds the amount of the Actual Funds
are Partially-Funded Accounts and such excess is defined as Notional Funds.
Drawdown information is expressed as a percentage of the aggregate Nominal Account Size.
- In order to aggregate and compare the rate of return of individual
accounts a pro forma reporting format is used, i.e. a standardized
format irrespective of specific terms and conditions that may
govern individual accounts.
- The rate of return takes into account actual profits and losses, actual transaction costs,
pro forma advisory fees (a monthly management fee of 0.25% and a performance fee of 25%; management
fee is a hurdle rate for performance fee, no performance fee on interest income and a book entry
reversal of performance fee in down months) and estimated interest income. As Transtrend is not privy
in all cases to the arrangements between Transtrend’s customers and their brokers, the amount of
interest income actually earned by such accounts is estimated at a rate equal to 90% of the prevailing
interest rate relevant to the underlying currency subset of the Diversified Trend Program. Before
May 1, 2004, pro forma interest income was calculated at a rate equal to 90% of the relevant 3-month
interest rate on the Nominal Account Size. As of May 1, 2004, the rate of return includes interest income
at a rate equal to 90% of the relevant 3-month interest rate earned by such accounts on Actual Funds.
As of September 1, 2008, pro forma interest income on Actual Funds is calculated at a rate equal to 90%
of the relevant overnight interest rate.
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- A negative monthly rate of return is mitigated by a consistent book entry reversal of the pro forma
performance fees accrued, and, before May 1, 2004, by pro forma interest income on the Nominal Account Size,
irrespective whether the book entry reversal was actually effectuated or interest was actually received.
- The rate of return on an individual account may deviate from the
composite rate of return of the subset it is part of, e.g. because of
differences in Nominal Account Size, portfolio composition or the amount of
Actual Funds in relation to the Nominal Account Size.
- TRANSTREND's current Disclosure Document is available upon
request. It can also be retrieved from this website. It contains composite
performance tables for each subset. It also provides further
explanations and itemizes risk factors.
- MSCI World TR stands for Morgan Stanley Capital Index World
Total Return in US Dollar resp. in Euro.
- Although TRANSTREND has exerted great care in creating this
performance report, it cannot be held responsible for computational
or clerical errors, nor for errors in transmission.
- THE VALUE OF YOUR INVESTMENT CAN FLUCTUATE. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE
RESULTS.
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