Hedge Funds Eclipse Traditional Indices in 2005; Greenwich-Van Global Hedge Fund Index Gains 8.4%.

GREENWICH, Conn. -- The Greenwich-Van Global Hedge Fund Index gained +1.5% in December finishing 2005 up 8.4% according to hedge fund index provider Greenwich-Van Advisors, LLC. By comparison, the S&P 500 and the Lehman Brothers Aggregate Bond closed 2005 up 4.9% and 2.5%, respectively.

"Over its 18-year history, the Index generated a net compound annualized return of 15.5% versus 12.0% for the S&P 500, marking eighteen consecutive years of positive annual performance for the Greenwich-Van Global Hedge Fund Index," observes Wade McKnight, Vice President, Greenwich-Van. "This strongly suggests downside protection and diversification benefits of hedge funds within a comprehensive asset allocation plan can greatly enhance a portfolio's reward/risk profile."

December 2005 Greenwich-Van Hedge Global Hedge Fund Index returns follow below and are comprised of 972 funds reporting thus far. Final Index returns will be calculated and posted at www.vanhedge.com the end of January after additional funds have submitted returns.

DECEMBER    YTD
                                               2005      2005

      Greenwich-Van Global Hedge Fund Index    1.5%      8.4%

      Market Neutral Group                     1.1%      5.2%

        Equity Market Neutral                  1.1%      7.1%

        Event-Driven                           1.2%      7.3%

           Distressed Securities               1.3%      9.6%

           Merger Arbitrage                    1.1%      5.6%

           Special Situations                  1.1%      6.2%

        Market Neutral Arbitrage               1.0%      3.1%

           Convertible Arbitrage               0.9%     -1.7%

           Fixed Income Arbitrage              0.6%      5.9%

           Other Arbitrage                     2.0%      5.2%

           Statistical Arbitrage               0.0%      4.7%

      Long/Short Equity Group                  2.3%     10.9%

        Aggressive Growth                      2.5%      8.5%

        Opportunistic                          2.5%     13.4%

        Short Selling                         -0.4%      3.7%

        Value                                  2.3%     11.6%

      Directional Trading Group                0.0%      4.6%

        Futures                               -0.5%      2.8%

        Macro                                  1.2%      8.6%

        Market Timing                          0.7%      0.9%

      Specialty Strategies Group               2.6%     12.0%

        Emerging Markets                       3.4%     16.8%

        Income                                 1.0%      6.4%

        Multi-Strategy                         1.8%      7.8%

Greenwich-Van Investable Index

The Greenwich-Van Composite Investable Hedge Fund Index gained 1.0% in December ending up 5.0% for 2005. The Investable Index, comprised of 45 funds, adds investability, active management and liquidity to the diversification and performance benefits of the broad Greenwich-Van Global Hedge Fund Index.

Since its inception January, 2003, the Investable Index achieved an annualized return of 10.7% versus 11.4% for the Greenwich-Van Global Hedge Fund Index. Its correlation of 0.96 and Beta of 0.96 to the Greenwich-Van Global Hedge Fund Index further demonstrate the Investable Index's ability to track the hedge fund universe.

The Investable Index is reported monthly net of a .04% Index calculation fee.

Past performance and index construction rules may be viewed at www.vanhedge.com.

Greenwich-Van Advisors, LLC manages one of the world's largest hedge fund data bases and is among the oldest providers of hedge fund indices and research to institutional investors worldwide.

Accuracy of information reported by managers is not audited or verified and may not be representative of all hedge funds. Greenwich-Van does not necessarily perform due diligence on reporting managers. Hedge fund returns are net of underlying fees and performance allocations. Timing of fee and performance allocations may affect the reported performance. Averages are equal-weighted. Past results are not indicative of future performance.