In broad terms, if the Income Plus Trading Strategy is performing well, the allocation to it within the Dynamic Portfolio is increased up to a maximum of 150% of the NAV. Alternatively, if the Income Plus Trading Strategy is performing poorly, the allocation to it is reduced in order to protect the Investor's Investment Amount from any future falls in the Income Plus Trading Strategy, subject to a minimum allocation of 0%.

The Dynamic Portfolio is administered by the Strategy Sponsor who compares the NAV of the Dynamic Portfolio with the value of the Protection Floor and calculates the allocation to the Income Plus Trading Strategy by setting the allocation equal to approximately 5 times the difference between the NAV of the Dynamic Portfolio and the value of the Protection Floor.

The following table illustrates the effect on the allocation to the Income Plus Trading Strategy given changes in various factors (assuming other factors are held constant):