497AD 1 arbitrage.htm arbitrage.htm
Chief Investment Officer:
Anne Casscells - Menlo Park, CA
 For More Information Please Contact: Andrea Bollyky (212) 201-2518 abollyky@aetoscapital.com
  Brad Rudner (212) 201-2532 brudner@aetoscapital.com
Product Description:  The Aetos Capital Prime Portfolio is a tactically allocated portfolio comprised of allocations to Aetos Capital’s 1940 Act SEC-registered Hedge
 Funds of Funds, designed to provide U.S. and Offshore investors a consistent absolute return with lower volatility versus traditional markets. This
 Portfolio incorporates a fundamentally based investment process with a disciplined approach to strategy allocation, manager selection and portfolio
 monitoring where risk management is integrated in every step.
Investment Returns:
As of 11/30/10:
Aetos Capital Prime
Portfolio2
90-Day Treasury Bills
Barclays Capital
Aggregate Index
S&P 500 DRI
Index
MSCI World
Index
1 Year Annualized Return
5.01%
0.13%
6.04%
9.94%
5.98%
3 Year Annualized Return
0.13%
0.63%
6.39%
-5.15%
-7.48%
5 Year Annualized Return
3.97%
2.19%
6.23%
0.99%
1.43%
From Inception through 11/30/10:
 
 
 
 
Average Annualized Return
5.56%
2.01%
5.36%
5.20%
6.51%
Annualized Standard Deviation
4.62%
0.49%
3.81%
15.86%
16.95%
Sharpe Ratio
0.77
-
0.88
0.20
0.27
Largest Calendar Qtr. Drawdown
-8.22%
-
-2.44%
-21.95%
-21.77%
Beta: Barclays Capital Aggregate Index
0.06
-
-
-
-
Beta: S&P 500 DRI Index
0.18
-
-
-
-
Beta: MSCI World Index
0.19
-
-
-
-
 
 
 
 
 
 1 Allocations are subject to change over time.
 2 Performance figures shown for the period of September 1, 2002 through November 30, 2010 are of the Aetos Capital Prime Portfolio and are net of an investment advisory fee of 0.75% of assets annually. Aetos Capital formalized the Aetos Capital Prime Portfolio in April 2007. The performance figures shown for periods prior to April 2007
 are those of the Aetos Capital Funds comprising the Aetos Capital Prime Portfolio, weighted according to the allocations on April 1, 2007. For periods prior to the inception of the Aetos Capital Opportunities Fund in August 2005, the weightings to the three Aetos Capital Funds then in existence are increased pro rata. During the period from
 September 2002 through April 2007, it is likely that the Aetos Capital Prime Portfolio allocations to the Aetos Capital Funds would have differed from the allocations today, and the performance shown is not necessarily representative of the performance that would have been achieved had the Aetos Capital Prime Portfolio been in existence
 during the entire period. The returns also reflect Fund level expenses, some of which have been waived and/or reimbursed by the Investment Adviser. Returns would have been lower without such waivers and reimbursements.
 Absolute return investing involves substantial risks, including the risk of loss of invested capital.  Absolute return investments are typically made through investments in illiquid, unregulated investment funds that employ sophisticated investment techniques, often involving derivatives and leverage, in a wide range of financial instruments and
 markets.  These investments entail a wide variety of risks, which remain substantial notwithstanding the risk management practices we employ in selecting and monitoring funds we invest in.
 Prospective investors should consider the investment objectives, risks, and the charges and expenses discussed above carefully before investing. The prospectus contains this and other information; a free copy of the prospectus may be obtained by calling 212-201-2540. Please read the prospectus carefully before investing.
Aetos Capital, LP▪ 875 Third Avenue ▪ New York, NY 10022 ▪ (212) 201-2500
Aetos Alternatives Management, LLC ▪ 2180 Sand Hill Road ▪ Menlo Park, CA 94025 ▪ (650) 234-1860
   
Contribution Frequency / Notice Period
Monthly / 30 Days
Lock-Up Period
1 Year
Redemption Frequency / Notice Period
Quarterly / 90 Days
Minimum Investment
$1 million
Auditor
PricewaterhouseCoopers, LLC
Administrator
HedgeServ Limited
Aetos Capital: Portfolios and Products
Fees & Terms
Investment Performance2 (US$)
 
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sept
Oct
Nov
Dec
YTD
2002
-
-
-
-
-
-
-
-
-0.65%
0.36%
0.54%
1.05%
1.30%
2003
0.24%
-0.02%
0.25%
1.88%
1.90%
1.46%
0.43%
0.89%
0.68%
1.59%
1.25%
1.23%
12.42%
2004
2.07%
0.82%
-0.12%
-0.75%
-0.09%
0.41%
-0.19%
0.00%
0.74%
0.77%
1.74%
1.14%
6.71%
2005
0.14%
1.39%
0.30%
-0.57%
0.86%
0.89%
1.32%
0.71%
0.82%
-0.93%
0.75%
1.50%
7.39%
2006
2.20%
0.36%
1.39%
1.03%
-0.66%
0.15%
0.36%
0.74%
0.21%
1.07%
1.63%
1.21%
10.11%
2007
1.88%
0.54%
1.19%
1.66%
1.85%
0.42%
-0.72%
-1.59%
1.16%
1.77%
-0.12%
0.63%
8.96%
                           
                           
                           
Multi
-
Strategy Hedge Fund of Funds Portfolios
•
Available through commingled hedge fund of funds and/or direct
investments
•
Managed to specific return and volatility targets
•
Custom allocations available
•
Onshore and offshore funds
Single
-
Strategy Hedge Fund of Funds
•
Available through commingled hedge fund of funds and/or direct
investments
•
Implementation of tactical allocations
Separate Accounts & Strategic Relationships
•
Direct investments with underlying managers
•
Combination of direct investments and commingled hedge fund of
funds
Aetos Capital
Prime Portfolio
Aetos Capital
Balanced Portfolio
Aetos Capital
Growth Portfolio
Long/Short
Strategies
Fund
Multi
-
Strategy
Arbitrage
Fund
Distressed
Investment
Strategies
Fund
Gross Exposure
Long
Net Exposure
Short