Covenant Capital Management (CCM) is a commodity trading advisor founded in 1999 that manages over $520 million in client assets across global futures markets. CCM has offices in Nashville, TN, Naperville, IL, and Denver, CO. The original CCM program has achieved compound annual returns of 13.79% since inception in September 1999 with low correlation to stock indexes. CCM currently manages $46 million in its original program with a 2/20 fee structure and daily liquidity for managed accounts over $5 million.

1. Original Program Performance 3100 West End Avenue, Suite 1090
Nashville TN 37203
March 2012 www.covenantcap.com
615 678 6742
Company Covenant Capital Management, LLC (CCM) is registered with the Commodity Futures Trading
Statistics
Compound Annual % 13.79% Commission and the National Futures Association as a Commodity Trading Advisor (CTA), and manages
Average Monthly % 1.20% client assets in global futures markets. Founded in 1999, CCM has offices in Nashville, TN, Naperville, IL, and
Sharpe Ratio .66 Denver CO. CCM currently manages over $520 million in client assets.
CTA AUM $520M
6000
Program AUM $46M
CCM
3-Yr Return 41%
5-Yr Return 85% 5000 S&P 500
7-Yr Return 147%
10-Yr Return 404% NewEdge CTA Index
4000
Index Correlation Analysis
vs. S&P .08
vs. NewEdge CTA .52
3000
vs. Barclay Hedge Fund .53
Terms
Program Inception Sept 1999 2000
Fee Structure 2/20
Minimum $5,000,000
Vehicle Managed Acct 1000
Redemption Daily
Lock-Up None
0
M-00
M-01
M-02
M-03
M-04
M-05
M-06
M-07
M-08
M-09
M-10
M-11
S-99
S-00
S-01
S-02
S-03
S-04
S-05
S-06
S-07
S-08
S-09
S-10
S-11
J-00
J-01
J-02
J-03
J-04
J-05
J-06
J-07
J-08
J-09
J-10
J-11
J-12
Investment Strategy CCM’s investment strategy is rooted in strict adherence to a quantitative and mechanical trading program that is engineered
to generate profits from the non-normal distribution of price movements in financial markets. Freely traded market moves follow a non-normal distri-
bution curve highlighted by large tails, narrow mid-ranges and a high peak. This phenomenon is measurable and has been thoroughly evidenced in
academia. CCM does not try to predict when trends will emerge, how long they will last, or even how high or low they will go. The only prediction
that CCM makes is that trends will continue to emerge as a function of the market place. CCM’s goal is to capture these large and unexpected price
changes in the most efficient manner possible providing competitive risk adjusted returns over a five-year investment horizon.
Sector Allocations Monthly Returns
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YTD
7% 2012 0.17 0.76 (2.28) (1.38)
4%
2011 (2.00) 3.01 0.64 7.55 (7.11) (2.33) 4.30 3.05 (1.59) (2.49) 0.61 (0.16) 2.70
7% 29% 2010 (3.25) (0.98) (0.60) 4.48 1.96 1.14 (2.94) 4.97 6.38 5.21 (0.89) 6.74 23.77
2009 1.93 0.76 (2.86) 1.58 5.14 (2.56) 1.65 6.65 1.88 (5.64) 8.14 (1.31) 15.49
2008 2.51 15.41 (4.39) 3.29 2.84 4.78 (4.59) (3.79) 0.09 3.01 0.32 (0.27) 19.20
11%
2007 (4.02) 0.18 (6.02) 5.07 0.49 (0.35) 2.02 (6.07) 7.43 4.76 (0.67) (0.90) 0.93
2006 3.82 (4.28) 0.52 0.37 (5.15) (1.22) (2.03) 0.32 0.08 1.84 0.79 1.40 (3.83)
2005 (2.49) 11.14 0.57 1.09 2.20 (1.36) 3.44 2.19 7.59 (0.21) 6.46 4.71 40.49
11%
14% 2004 4.86 3.18 4.68 (5.99) (4.37) 2.11 (4.08) 3.08 2.81 (0.69) 14.54 6.60 28.16
2003 13.66 0.38 (7.33) 11.74 6.06 1.56 (3.86) 2.17 6.61 11.35 (2.29) 4.65 51.72
2002 (4.93) 0.95 8.37 (5.32) 25.11 4.45 (4.38) 1.54 4.85 4.42 2.82 3.08 44.98
18%
2001 (7.02) (0.41) 11.16 (5.39) 3.84 2.21 (4.46) (3.60) (6.92) 3.50 (9.67) (6.04) (22.18)
2000 (1.69) (3.99) (2.78) 0.00 (2.69) (4.53) 3.80 5.84 0.42 2.82 3.64 (3.52) (3.31)
Currencies Energies
1999 (1.72) (4.46) 3.88 4.37 1.80
Grains Softs
Metals Live Stock
Interest Rates Indices Investment Process CCM’s investment process is technical and systematic. The model is designed to
minimize trading costs by trading on a long timeframe. As such the model is long-biased, as long posi-
Markets Traded
Trading Portfolio: Australian Dollar, British Pound, tions will always tend to outperform short positions as trading timeframes grow longer. The model utilizes
Canadian Dollar, Dollar Index, Euro Currency, price data as its only input for determining entry and exit parameters. CCM uses a statistical volatility
Japanese Yen, Swiss Franc, Mexican Peso,
Soybean Oil, Soybean Meal, Soybeans, Corn,
filter to identify the relative yield capacity of emerging trends. This filtering process reduces the number
Wheat, Cocoa, Sugar, Coffee, Orange Juice, of trades taken and preserves risk capital for trades that offer the potential for larger magnitude gains.
Cotton, Crude Oil, Heating Oil, Natural Gas, 30- CCM’s long bias, extended hold period, and low trading frequency may tend to diversify CCM’s returns
year Treasury Bond, Euro Bund, Lean Hogs, Live
Cattle, S&P 500, Nikkei, Silver, Gold, Copper from those of other CTAs.
(subject to change without notice)
THIS DOCUMENT CANNOT DISCLOSE ALL OF THE RISKS INVOLVED IN THE REFERENCED PROGRAM OR PROGRAMS. FUTURES AND OPTIONS TRADING INVOLVES A SUBSTANTIAL RISK OF
LOSS AND IT IS NOT SUITABLE FOR EVERYONE. READ AND EXAMINE THE DISCLOSURE DOCUMENT AND/OR INVESTMENT MEMORANDUM BEFORE SEEKING COVENANT CAPITAL
MANAGEMENT INVESTMENT SERVICES. THEY ARE AVAILABLE THROUGH THE OFFICES OF COVENANT CAPITAL MANAGEMENT. THIS DOCUMENT MAY NOT BE REPRODUCED WITHOUT
PRIOR WRITTEN CONSENT OF COVENANT CAPITAL MANAGEMENT. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.

2. Aggressive Program Performance 3100 West End Avenue, Suite 1090
Nashville TN 37203
March 2012 www.covenantcap.com
615 678 6742
Company Covenant Capital Management, LLC (CCM) is registered with the Commodity Futures Trading
Statistics
Compound Annual % 22.78% Commission and the National Futures Association as a Commodity Trading Advisor (CTA), and manages
Average Monthly % 1.90% client assets in global futures markets. Founded in 1999, CCM has offices in Nashville, TN, Naperville, IL, and
Sharpe Ratio 1.01 Denver CO. CCM currently manages over $520 million in client assets.
CTA AUM $520M
Program AUM $110M 6000
CCM
3-Yr Return 56%
5-Yr Return 111% 5000 S&P 500
7-Yr Return 234%
NewEdge CTA Index
Index Correlation Analysis 4000
vs. S&P .15
vs. NewEdge CTA .58
vs. Barclay Hedge Fund .62 3000
Terms
2000
Program Inception Feb 2004
Fee Structure 2/20
Minimum $3,000,000
1000
Vehicle Managed Acct
Redemption Daily
Lock-Up None 0
J-04
J-05
J-06
J-07
J-08
J-09
J-10
J-11
F-04
F-05
F-06
F-07
F-08
F-09
F-10
F-11
F-12
A-04
A-04
O-04
D-04
A-05
A-05
O-05
D-05
A-06
A-06
O-06
D-06
A-07
A-07
O-07
D-07
A-08
A-08
O-08
D-08
A-09
A-09
O-09
D-09
A-10
A-10
O-10
D-10
A-11
A-11
O-11
D-11
Investment Strategy CCM’s investment strategy is rooted in strict adherence to a quantitative and mechanical trading program that is engineered
to generate profits from the non-normal distribution of price movements in financial markets. Freely traded market moves follow a non-normal distri-
bution curve highlighted by large tails, narrow mid-ranges and a high peak. This phenomenon is measurable and has been thoroughly evidenced in
academia. CCM does not try to predict when trends will emerge, how long they will last, or even how high or low they will go. The only prediction
that CCM makes is that trends will continue to emerge as a function of the market place. CCM’s goal is to capture these large and unexpected price
changes in the most efficient manner possible providing competitive risk adjusted returns over a five-year investment horizon.
Sector Allocations Monthly Returns
7% Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec YTD
4% 2012 (1.42) 2.73 (2.82) (1.59)
7% 29% 2011 (2.05) 2.40 (0.89) 5.51 (4.87) (2.53) 2.20 2.08 (0.54) (4.47) 1.14 0.88 (1.64)
2010 (5.88) 0.09 (1.66) 5.42 (0.45) 0.44 (0.34) 1.76 10.54 6.82 (0.61) 7.08 24.44
2009 3.27 1.40 (5.13) 2.82 9.06 (3.96) 1.89 10.02 3.40 (6.92) 12.29 (2.21) 26.76
11%
2008 5.26 21.53 (5.01) 3.92 3.83 6.38 (7.46) (5.42) 0.80 3.40 0.49 (0.24) 27.58
2007 (4.70) 0.81 (9.69) 8.50 0.60 0.45 3.66 (9.69) 12.42 6.15 (0.03) (2.02) 4.10
2006 8.49 (6.77) 0.57 0.04 (8.71) (0.92) (1.94) 0.40 0.65 3.36 1.36 4.15 (0.47)
11%
14% 2005 (2.77) 17.12 2.19 2.85 6.19 0.97 3.84 3.72 9.36 (0.78) 14.15 10.12 88.55
2004 1.28 6.97 (5.57) (3.60) 3.32 (5.25) 4.46 4.13 (1.51) 23.11 10.34 40.46
18%
Currencies Energies
Grains Softs
Investment Process CCM’s investment process is technical and systematic. The model is de-
Metals Live Stock
signed to minimize trading costs by trading on a long timeframe. As such the model is long-biased,
Interest Rates Indices
as long positions will always tend to outperform short positions as trading timeframes grow longer.
The model utilizes price data as its only input for determining entry and exit parameters. CCM uses
Markets Traded a statistical volatility filter to identify the relative yield capacity of emerging trends. This filtering proc-
Trading Portfolio: Australian Dollar, British Pound,
Canadian Dollar, Dollar Index, Euro Currency, ess reduces the number of trades taken and preserves risk capital for trades that offer the potential
Japanese Yen, Swiss Franc, Mexican Peso, for larger magnitude gains. CCM’s long bias, extended hold period, and low trading frequency may
Soybean Oil, Soybean Meal, Soybeans, Corn,
Wheat, Cocoa, Sugar, Coffee, Orange Juice,
tend to diversify CCM’s returns from those of other CTAs.
Cotton, Crude Oil, Heating Oil, Natural Gas, 30-
year Treasury Bond, Euro Bund, Lean Hogs, Live
Cattle, S&P 500, Nikkei, Silver, Gold, Copper
(subject to change without notice)
THIS DOCUMENT CANNOT DISCLOSE ALL OF THE RISKS INVOLVED IN THE REFERENCED PROGRAM OR PROGRAMS. FUTURES AND OPTIONS TRADING INVOLVES A SUBSTANTIAL RISK OF
LOSS AND IT IS NOT SUITABLE FOR EVERYONE. READ AND EXAMINE THE DISCLOSURE DOCUMENT AND/OR INVESTMENT MEMORANDUM BEFORE SEEKING COVENANT CAPITAL
MANAGEMENT INVESTMENT SERVICES. THEY ARE AVAILABLE THROUGH THE OFFICES OF COVENANT CAPITAL MANAGEMENT. THIS DOCUMENT MAY NOT BE REPRODUCED WITHOUT
PRIOR WRITTEN CONSENT OF COVENANT CAPITAL MANAGEMENT. PAST PERFORMANCE IS NOT NECESSARILY INDICATIVE OF FUTURE RESULTS.