Alternative Asset/Strategies Comparison

The chart below breaks down risks, benefits and traditional investment vehicle for each alternative investment asset/strategy.

Long/Short Strategy
Risks	Benefits	Traditional Investment Vehicle
Stocks may move in a way not anticipated by the investor. Specifically, long positions may go down and short positions may go up—moving in the opposite direction desired by the investor, potentially adding to losses. See Characteristics of Private Investment Vehicles for more information.	If stocks move in the direction expected, long positions may help increase profits and short positions may increase profits and reduce risk in a portfolio. See Characteristics of Private Investment Vehicles for more information.	Hedge Fund

Momentum Strategy
Risks	Benefits	Traditional Investment Vehicle
Predicting and monitoring the upward or downward direction of a stock may be difficult to do consistently over time. A stock may not move in the direction expected, increasing the potential for loss of some or all funds invested. See Characteristics of Private Investment Vehicles for more information.	If a stock continues moving in the direction expected, the investor potentially gains from increased value of the investment or from having sold a stock to avoid continued losses from the downward trend of the stock. See Characteristics of Private Investment Vehicles for more information.	Hedge Fund

Leverage Strategy
Risks	Benefits	Traditional Investment Vehicle
If investment moves in a direction not expected, losses are magnified by the increased exposure an investor holds through leverage. Investors must pay fees and interest for money borrowed.	When investments move in the direction expected, there is potential for increased profits through increased exposure provided by leverage.	Derivatives

Managed Futures Strategy
Risks	Benefits	Traditional Investment Vehicle
All money invested plus fees may be lost. The high amount of leverage that is often used adds to potential losses. Management of account is time intensive, generally making a fund advisor necessary. Investors must be approved to have a managed futures account.	Investors may profit from movements in the contract prices of commodities, stocks, bonds or currencies and potentially gain from increased profit from exposure provided by leverage.	Managed futures account

Absolute Return Strategy
Risks	Benefits	Traditional Investment Vehicle
Typically involves speculative investments, increasing the potential for loss of some or all funds invested. Investments may not meet stated goals, returns may be less than more common benchmarked or “relative” investments. See Characteristics of Private Investment Vehicles for more information.	Seeks to achieve positive returns in all types of markets. Returns are generally not tied to any specific index as a benchmark—giving the manager more freedom in investment choices. See Characteristics of Private Investment Vehicles for more information.	Hedge fund

Real Assets (Currency, Commodities, Real Estate)
Risks	Benefits	Traditional Investment Vehicle
The value of the asset may not move in the desired or expected direction, decreasing the holdings’ value. Real assets may be illiquid and/or volatile depending on variables such as weather, economic, political and regulatory conditions that may impact that asset	When an investment’s value increases, an investor’s overall portfolio value can also increase.	Direct investment, derivatives, ETFs or mutual funds

The alternatives strategies and asset classes mentioned are not suitable for all investors. Many alternative strategies use sophisticated and aggressive investment techniques such as leveraging, short selling and derivatives. The more you invest in leveraged instruments, the more the leverage will magnify any gains or losses on those investments. The use of short selling involves increased risks and costs. You risk paying more for a security than you received from its sale. Theoretically, stocks sold short have the risk of unlimited losses. The use of derivatives such as futures, options and swap agreements may expose an investment to additional risks that it would not be subject to if you invested directly in the securities underlying those derivatives. Additionally, certain alternative strategies tied to hard assets such as commodities, currencies and real estate, may be subject to greater volatility as they may be affected by overall market movements, changes in interest rates or factors affecting a particular industry, commodity or currency, -such as droughts, floods, weather, livestock disease, embargos, tariffs and international economic, political and regulatory developments. No investment strategy can guarantee a return in a declining market. Additionally, an investor could lose all or a substantial amount of their investment. For more information about these strategies and their risks please consult your financial advisor.

This material is not intended to be a comprehensive overview of the subject matters discussed. It is intended to be general in nature and should not be construed as investment advice or a recommendation of any specific security or strategy. Before investing in any of the investment products or strategies discussed, consult with your financial advisor to determine if they are appropriate for your objectives, risk tolerance, income level and investing time horizon.

Rydex SGI offers funds with investment strategies similar to those referenced on GetAlts.com.

Read the fund's prospectus and summary prospectus (if available) carefully before investing. It contains the fund's investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. Obtain a prospectus and summary prospectus (if available) at www.rydex-sgi.com or call 800.820.0888.

Rydex|SGI funds are distributed by Rydex Distributors, LLC (RDL). Security Investors, LLC (SI) is a registered investment advisor, and does business as Security Global Investors^® and Rydex Investments. SI and RDL are affiliates and are subsidiaries of Security Benefit Corporation, which is wholly owned by Guggenheim SBC Holdings, LLC, a special purpose entity managed by an affiliate of Guggenheim Partners, LLC, a diversified financial services firm with more than $100 billion in assets under supervision.

Alternative Asset/Strategies Comparison

Long/Short Strategy

Momentum Strategy

Leverage Strategy

Managed Futures Strategy

Absolute Return Strategy

Real Assets (Currency, Commodities, Real Estate)