PacificFront PPT template - diversifywithfutures.comdiversifywithfutures.com/wp-content/uploads/2016/12/PacificFront_Capital_overview.pdfagreement of price action, pattern data, specific

July 2017

PASTPERFORMANCEISNOTNECESSARILYINDICATIVEOFFUTURERESULTS.FUTURESANDOPTIONSTRADINGINVOLVESUBSTANTIALRISKOFLOSSANDISNOT SUITABLEFORALLINVESTORS.

RiskDisclosureTHE RISK OF LOSS IN TRADING COMMODITIES CAN BE SUBSTANTIAL. YOU SHOULD THEREFORE CAREFULLY CONSIDER WHETHERSUCH TRADING IS SUITABLE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. THE HIGH DEGREE OF LEVERAGE THAT IS OFTENOBTAINABLE IN COMMODITY TRADING CAN WORK AGAINST YOU AS WELL AS FOR YOU. THE USE OF LEVERAGE CAN LEAD TOLARGE LOSSES ASWELL AS GAINS.

IN SOME CASES, MANAGED COMMODITY ACCOUNTS ARE SUBJECT TO SUBSTANTIAL CHARGES FOR MANAGEMENT ANDADVISORY FEES. IT MAY BE NECESSARY FOR THOSE ACCOUNTS THAT ARE SUBJECT TO THESE CHARGES TO MAKE SUBSTANTIALTRADING PROFITS TO AVOID DEPLETION OR EXHAUSTION OF THEIR ASSETS. THE DISCLOSURE DOCUMENT CONTAINS ACOMPLETE DESCRIPTION OF THE PRINCIPAL RISK FACTORS AND EACH FEE TO BE CHARGED TO YOUR ACCOUNT BY THECOMMODITY TRADING ADVISOR ("CTA").

THE REGULATIONS OF THE COMMODITY FUTURES TRADING COMMISSION ("CFTC") REQUIRE THAT PROSPECTIVE CUSTOMERS OFA CTA RECEIVE A DISCLOSURE DOCUMENT WHEN THEY ARE SOLICITED TO ENTER INTO AN AGREEMENTWHEREBY THE CTA WILLDIRECT OR GUIDE THE CLIENT'S COMMODITY INTEREST TRADING AND THAT CERTAIN RISK FACTORS BE HIGHLIGHTED. THIS BRIEFSTATEMENT CANNOT DISCLOSE ALL OF THE RISKS AND OTHER SIGNIFICANT ASPECTS OF THE COMMODITY MARKETS.THEREFORE, YOU SHOULD PROCEED DIRECTLY TO THE DISCLOSURE DOCUMENT AND STUDY IT CAREFULLY TO DETERMINEWHETHER SUCH TRADING IS APPROPRIATE FOR YOU IN LIGHT OF YOUR FINANCIAL CONDITION. YOU MAY ALSO REQUESTDELIVERY OF A HARD COPY OF THE DISCLOSURE DOCUMENT, WHICH WILL ALSO BE PROVIDED TO YOU AT NO ADDITIONAL COST.THE CFTC HAS NOT PASSED UPON THE MERITS OF PARTICIPATING IN ANY OF THESE TRADING PROGRAMS NOR ON THEADEQUACY OR ACCURACYOF ANY OF THESE DISCLOSURE DOCUMENTS.

OTHER DISCLOSURE STATEMENTS ARE REQUIRED TO BE PROVIDED YOU BEFORE A COMMODITY ACCOUNTMAY BE OPENED FORYOU. ADDITIONAL DISCLOSURE REQUIRED FOR ADMINISTRATIVE FEES. A COMPLETE DISCUSSION OF FEES AND CHARGES AREREPORTED IN THE CTA's DISCLOSURE DOCUMENT.


§ PacificFrontCapital, LLCisaregistered Commodity TradingAdvisor(“CTA”) and

member oftheNational FuturesAssociation (“NFA”).PacificFrontmanages

accounts forInvestors,buyingandselling contracts inavarietyoffuturesmarkets

usingproprietary investment strategies. Managed Futures isanalternative

investment thatprovidesalowcorrelation tothetraditional asset class ofstocks

andbonds .

§ PacificFrontCapital's tradingprogramwascreated totargetsuperiorannual

returnsforinvestorswithappropriate risk-returnmetrics. Itserves asan

alternative investment vehiclewith little tonocorrelation tomajormarkets and

otherCTAs.

§ Theprogramutilizes proprietarymodels togenerate tradeideas based onthe

agreement ofpriceaction,patterndata,specific technical indicators, and

fundamentals. Themodels aregearedtodirect themanager’sattention toa

particularmarket,butexecution isultimately based ondiscretion.

PacificFrontTradingProgram


BenefitsofManagedFutures

ReducedVolatility

Theopportunity toreducethevolatilityriskofaportfolio.

GlobalDiversification

Theopportunity toparticipate inglobalmarkets.

EnhancedReturn

Theopportunity toenhance aportfoliosreturns.

ProfitPotential

Theopportunity toprofitinbothrisingandfallingmarkets.

ReducedVolatility

EnhancedReturns

GlobalDiversification

ProfitPotential

Awellbalancedmanaged futures portfoliocanprovideadiversified global investmentopportunity forinvestors. Themainbenefits include:

Theadditionofmanagedfuturestoaclient'sportfoliodoesnotmeanthataportfoliowillbeprofitableorthat itwillnot experiencesubstantiallossesandthatthestudiesconductedinthepastmaynotbeindicativeofcurrenttimeperiodsoroftheperformanceofanyindividualCTA.


MichaelAbdulSalam

Michael istheFounderandCEOofPacificFrontCapital. Bornandraised inNewport Beach,CA,Michael hasbeen developing hisstrategyforoversixyears.Hecamefromafuturesindustryfamily,wherehewasmentored byhisfather,whowasasuccessful traderovermultipledecades, andhismotherwhoranherownbrokeragefirm.

Michael attendedUniversity ofCalifornia, Irvinewherehereceived aBAinBusiness EconomicsandwaspartoftheCampuswide HonorsProgram.Whileattending school,MichaelworkedatRothCapital Partners,afull-serviceinvestment bank.

ChiefExecutiveOfficer


EstherGoodman

EstheristheCOOofPacificFrontCapitalandisresponsibleformanagingalloperationalaspectsofthefirm.

Formostofher30+yearcareerinthealternativeinvestment/futuresindustry,EstherwasSeniorExecutiveVicePresidentandGlobalChiefOperatingOfficerofTheKenmar Group,afundoffundswithpeakassetsof$4.5billionand55employees.AtKenmar,Estherwasresponsibleformanagingthefronttobackofficeoperationsofthefirm,includingmarketingandclientservices,legal,compliance,operationsandadministration,financeandIT.ShewasamemberofKenmar’s InvestmentCommitteeandservedasChairmanoftheOperationalRiskCommittee.

Ms.GoodmanwasaFoundingMemberandDirectoroftheManagedFuturesTradeAssociation,theindustry’sfirsttradeassociationandin2014shereceivedtheLifetimeAchievementAwardfromCTAExpo.Shehasspokenatnumerousinvestmentseminarsandconferences.

EstherreceivedherBAinChildPsychologyfromStanfordUniversity.

ChiefOperatingOfficer


ProgramOverview

GeneralInformation

Long/Short- Nodirectionalbias

85%Technical/15%Fundamental

Diversificationovernumeroushighvolumeliquidmarkets.

Executestradesondiscretionaccompaniedbyproprietarymodels.

Proprietarymodels havebeen builtonyearsofexperiencethroughnumerousmarketconditions.

Programisuncorrelatedtomajormarketsandothermoneymanagers.• CorrelationtoS&P 500:-0.03

TradingStyle

PositionTrading:• LowFrequency,nodaytrades• 1– 5trades permonth• 20–50tradesperyear

TypicalTradeLength:• Winningtrades: 1to8weeks• Losingtrades:0to2weeks

Returnto Risk:A5:1ReturntoRiskRatioisrequiredtoinitiatetrade

Programmayremainin100%cashforextendedperiodsoftime

Typically,positionsstartwith25-50%ofintendedfinalpositionsize.Contractsareaddedaccordingly.

InvestmentInformation

AccountStructure: SeparatelyManagedAccounts

Investors: RetailClients,High-Net WorthInvestors,FamilyOffices,Institutions

ManagementFee: 1%

PerformanceFee: 25%

Start Date: April2016

MinimumInvestment: $100,000

TradingFrequency: ≈1500RTs/Million/Year

Capacity: $500,000,000

HighWaterMark: Yes

NotionalFunding: Yes


PortfolioExposure

Commodities50%

Currencies20%

InterestRates20%

StockIndices10%

MajorCommodities§ CrudeOil,Gold,Copper,Soybeans,

Wheat,SoybeanOil,Corn,Sugar,Cocoa

Currencies§ EUR,YEN,AUD,CAD

Interest Rates§ 30YearBonds,10YearNotes

StockIndices§ S&P500Index

GeneralMarketConcentration


Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Year

2016 11.61 38.76 -9.58 16.36 3.93 9.05 9.19 0.58 12.64 128.44%

2017 -0.65 -7.92 2.48 -1.28 7.82 -2.13 -6.74 -8.93%

*InformationCompiledbyComplianceSupervisorsInternationalInc.Formattedforbestvisualeffect.FullPDFavailableonrequest.(1)TheWorstPeak-to-Valleyistheworstdrawdown%lossovertheindicatedperiodoftime,(2)theSharpeRatioiscalculatedbasedona0%RiskFreeRateofReturn,and(3)theSortinoRatioiscalculatedusinga0%MinimumAcceptableROR

TradingAdvisor: PacificFrontCapital,LLC

TradingProgram: PFCFuturesTradingProgram

InceptionofTradingfortheAdvisor: 4/1/2016

FundsbegantradinginProgram: 4/1/2016

TotalNominalAssetsunderAdvisor'sManagement: $18,065,631

TotalNominalAssetsinthisCapsule: $18,065,631

WorstMonthlyDrawdown: (9.58%)- Jun-16

WorstPeaktoValleyDrawdown(1): (9.58%)

DrawdownDates May2016– June2016

FrominitialclienttradingperiodbeginningApril2016**

ClientPerformanceCapsule*

Return/RiskSummary

Avg.MargintoEquity: 10-15%

Avg.EquityRiskperTrade: 2%

SharpeRatio(2): 1.6

SortinoRatio(3): 4.5

CalmarRatio: 7.6

AverageMonthlyGain: 11.24%

AverageMonthlyLoss: -4.72%

TotalReturn: 108.04%

**TheperformancepresentedinthefollowingcapsulefromApril2016toSeptember2016representsthetradingresultsfortwoaccountstradedpursuanttopowerofattorneyprovidedtotheAdvisor'ssoletradingprincipalMichaelSalam.ThefirstaccountbegantradinginApril2016andthesecondaccountbegantradinginJune2016.MichaelSalamoperatedpursuanttoanexemptionprovidedforinCommodityExchangeActsection4mwherebyhedidnotholdhimselfoutgenerallytothepublicasaCTA andhehadnotfurnishedcommoditytradingadvicetomorethan15personsduringthecourseofthelasttwelvemonths.ClientreturnsfromApril2016toSeptember2016arepro-formaata 1%managementfeeand25%performancefee.BeginningOctober2016,theAdvisor,beganmanagingclientaccountsandthetradingresultsarethecomposite'sactualperformance.


VAMI(ValueAddedMonthlyIndex)*

VAMI(Value ofinitial $1,000Investment)

PacificFrontclient returnshavesignificantly outperformedtheS&P500TRIndex fromApril2016toJune2017withacorrelation of-0.03

*VAMIisanindexthattracksthemonthlyperformanceofahypothetical$1,000investment.

$1,000

$1,200

$1,400

$1,600

$1,800

$2,000

$2,200

$2,400

Mar-16 Apr-16 May-16 Jun-16 Jul-16 Aug-16 Sep-16 Oct-16 Nov-16 Dec-16 Jan-17 Feb-17 Mar-17 Apr-17 May-17 Jun-17 Jul-17

PacificFront S&P500TR


§ MichaelA.Salaminvestshisownfundsintothetradingprogram

§ Typically,everypositionthatisplacedinthePFCFuturesTradingProgram

isincludedintheprincipal’spersonalaccount

§ Generally,greaterleverageisusedintheprincipal’saccountcomparedto

clients

§ InadditiontothepositionstakeninthePFCFuturesTradingProgram,the

principalalsomakestradesonnewstrategiesthatareinthedevelopment

phaseandareconsideredtohavemorerisk

Principal’sParticipation

HRF542

Documents

PacificFront PPT template - diversifywithfutures.comdiversifywithfutures.com/wp-content/uploads/2016/12/PacificFront_Capital_overview.pdfagreement of price action, pattern data, specific