CSFB/Tremont Hedge Fund Index Up 0.79% In April

Investors Offshore, New York

17 May 2002

The CSFB/Tremont Hedge Fund Index is up 0.79% for April 2002, according to Roland Lorenzo, President and Chief Operating Officer of Credit Suisse First Boston Tremont Index LLC.

"As traditional, long-only strategies continue to disappoint investors, hedge funds provide a valuable alternative with good returns and low correlation," said Mr. Lorenzo. "Hedge funds represent vital risk management for the sophisticated investor, returning over 1.5% this year while other benchmarks have languished."

"Dedicated short bias funds performed well in April, delivering returns in excess of 2%," said Robert I. Schulman, President of Tremont Advisers. "But, emerging markets funds remain in the spotlight year-to-date, up over 10%."

Second best performing strategy in April was Global Macro, up 1.7%, while the worst performing strategy was Managed Futures, down 1.6%. The S&P 500 was down more than 6% for the month, and 6.2% year-to-date.

The CSFB/Tremont Hedge Fund Index has returned 144.82% for the 1009-month period since inception (January 1, 1994 through April 30, 2002). The Index is comprised of 391 funds as of April 1, 2002 up from 377 funds as of March 1, 2002.

The Index is constructed using a database of more than 2,600 hedge funds. It includes both U.S. and offshore funds, but does not include funds of funds. In order to qualify for inclusion in the index selection universe, a fund must have US $10 million under management, a 12-month track record, and an audited financial statement. Index funds are selected using a formula based on assets under management that ensures the Index always represents at least 85% of total assets in the selection universe. Once added, funds are not excluded until they liquidate or fail to meet the financial reporting requirements, in order to minimize survivorship bias. The Index is calculated on a monthly basis and adjusted for capitalization and return.

Credit Suisse First Boston Tremont Index LLC is the joint venture company of Credit Suisse First Boston Index Co., Inc., a subsidiary of Credit Suisse First Boston Inc., and Tremont Advisers, Inc. The company's management team includes from CSFB, Paul Calello, Managing Director and Roland Lorenzo, Managing Director; and from Tremont Advisers, Robert I. Schulman, Co-Chairman.

Tremont Advisers, Inc. is a wholly owned subsidiary of Oppenheimer Acquisitions Corp., the parent company of OppenheimerFunds, Inc., one of the nation's most respected asset managers. Tremont is a diversified holding company, which, through its subsidiaries, is engaged in three core businesses: advisory services, information & research, and investment products for the global alternative investment industry. Tremont holds leadership positions in each of its specialty areas and advises on approximately $9 billion in alternative investment assets. Through its London-based information and market intelligence unit, TASS Research, the firm provides data on the performance of more than 2,600 alternative investment managers and funds. Tremont manages in excess of $1 billion in proprietary funds and has more than $200 million in insurance policies related to alternative investments.

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