Overview of our Absolute Alpha innovative investment solutions which utilise derivative instruments, striving to provide clients’ with consistent, absolute, risk managed returns. Cortex Wealth has shifted its focus to developing and sustaining a product range which maximizes wealth creation through the use of alternative investment products. Product range includes four portfolios namely the Absolute Alpha Neutral, Absolute Alpha Informed, Absolute Alpha Performance and Absolute Alpha Dynamic.

1. Cortex Asset Management t/a Cortex Wealth, An Authorised Financial Services Provider (FSP No. 564)

2. Eliminate market risk and generate absolute returns
Enlightened directional trading for optimum performance
Proprietary intra-day trading

3. “…the portfolio is non directional in nature, focused on market neutral strategies of
which pair trades are the primary tool …Our aim is to deliver consistent positive
investment performance above benchmark, with capital preservation and low
correlation to the general equity market.”
Portfolio Manager: Michele Santangelo
Investment Strategy: Equity Market Neutral
Benchmark: STEFI + 4%
Target return: 20 – 30%/annum
Inception date: 1st February 2008
• 67.48% return net of fees since inception, relative to the JSE AllShare down –19.91%
• Average monthly returns of 4.04%
• YTD return for 2009, 21.46%
• 14 out of 15 positive months. Worst month –0.72%
• Low levels of gearing, between 1 – 2 x geared
• Low correlation with AllShare, currently –0.541

4. “…patiently waiting like a master chess player we are constantly on the lookout for
opportunities to take on directional trades. Our proprietary trading system allows us to
time our entry to perfection, while our conservative money management system
allows us to lock in profits and limit losses in volatile as well as trending markets. ”
Portfolio Manager: Gerhard Labuschagne
Investment Strategy: Directional Long/Short
Benchmark: STEFI + 2%
Target return: 2 – 3%/month
Inception date: 1st February 2009
• Cautious, short-term stock-picking
• Limited to liquid, blue chip stocks
• Gearing used to magnify profits
• Trend reversal
• Market timing
• Discipline/money management

5. Portfolio Manager: Danie Sidders
Investment Strategy: Intra-day opportunistic
Benchmark: STEFI + 4%
Target return: 2 – 3%/month
Inception date: 1st March 2009
Performance fee: 25%
• Participate in a professional day traders performance
• Aggressive intra-day trading eg. Purchase when stock is 5% down on an up day
• Only trade Top40 stocks and main Indices
• Trade commodity stocks based on Rand/commodity prices
• Ability to trade in both directions and include short-term pairs
• Trade around important economic numbers
• Trade any dual-listing arbitrage
• Trade obvious intra-day ranges
• No overnight positions and strict money management/stop-losses
• Portfolio manager incentives to produce positive returns