CSFB/Tremont Hedge Fund Index Up 1.28% In January

Investors Offshore, London

20 February 2003

The CSFB/Tremont Hedge Fund Index is up 1.28% for January 2003, according to Oliver Schupp, President of Credit Suisse First Boston Tremont Index LLC.

"Markets remained jittery during January, responding to world news and uncertainty," said Mr. Schupp. "Despite the major sell-off we saw in equity-oriented long-only indices during the second half of January, hedge funds fared well, posting conservative, consistent returns for diversified investors."

Mr. Schupp also announced the introduction of a new Index, the CSFB/Tremont Multi-Strategy Index. "Due to the increased diversity we have seen over the past few years, it became apparent that this new category was important for us to track. These multi-strategy funds are characterized by their ability to dynamically allocate capital among different strategies."

"Managed futures funds continued to outperform all style-based sectors," said Robert I. Schulman, Co-Chief Executive Officer of Tremont Advisers. "The CSFB/Tremont Managed Futures Index posted 6.07% for January and is now up 27.13% over the past 12 months."

The CSFB/Tremont Hedge Fund Index January NAV is 251.68, returning 151.68% for the 109-month period since inception (January 1, 1994 through January 31, 2003).

The CSFB/Tremont Hedge Fund Index is comprised of 417 funds as of January 1, 2003, up from 402 as of December 1, 2002. Six funds were dropped due to liquidation including Ardsley Partners Fund I LP, D. E. Shaw Valence International Fund 2, Gryphon Hidden Values III Ltd, Mt. Everest Fund LP, Mt. Everest Fund Ltd, and Mt. Everest QP Fund LP. Twenty-two funds were added including The Advent Convertible Arbitrage (Cayman) Fund, Quottro Fund Ltd, Growth Management Limited, Henderson UK Equity Market Neutral Fund Ltd (USD), GLC Gestalt Europe Fund Ltd, Milton Leveraged Arbitrage Fund Ltd, Harvest Capital LP, Clinton Global Fixed Income Fund, San Gabriel Opportunity Fund LLC, Spyglass Capital, Vega Select Opportunities Fund Ltd,, AlphaGen Avior Fund Ltd (Class A), Futuris Fund, AlphaGen Cepheus Fund (Class B), AlphaGen Cepheus Fund (Class A), Bayou Fund LLC, Arcus Zensen Fund, OEI Mac Inc, AXA Futures, Systeia Futures USD Ltd, Systeia Futures Euro Ltd and Alpine Associates LP.

The Index is constructed using the TASS database of more than 2,600 hedge funds. It includes both open and closed funds located in the U.S. and offshore, 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 each of nine strategy-based sectors 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 on a going-forward basis for capitalization and return.

The CSFB/Tremont Hedge Fund Index, the largest hedge fund benchmark, was designed to establish a standard for tracking and comparing hedge fund performance against other major asset classes, like the S&P 500, on a global basis. Its web site provides interactive tools that allow users to manipulate the information and customize their research.

Tremont Advisers, Inc is one of the leading global alternative investment management firms, whose business lines include research and investment management services, sale and distribution of its proprietary investment products, and database sales and information services. Tremont advises on approximately $9 billion in alternative investment assets, including more than $1billion in its proprietary funds. Through its 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, headquartered in Rye, New York with offices in Toronto, Bermuda and London, is a wholly owned subsidiary of Oppenheimer Acquisition Corp, the parent company of Oppenheimer Funds, Inc., one of the nation's most respected asset managers.

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