Terms & Privacy

September 2021

VISITORS TO THE CITY DIFFERENT INVESTMENTS WEB AND SOCIAL MEDIA SITES ARE ASKED TO READ THE FOLLOWING:

Terms and Conditions

The information offered by City Different Investments (“City Different”) on its web and social media sites (the “Sites”) is subject to certain terms and conditions (the “Terms and Conditions”). These Terms and Conditions apply to all users. By entering the Sites or by transmitting any information to the Sites you acknowledge and agree to all of the Terms and Conditions. Please read them carefully. If you do not agree to the Terms and Conditions, please do not use the Sites. Any use of the Sites in a manner inconsistent with these Terms and Conditions is deemed unauthorized access and may subject the user to civil or criminal penalties. We reserve the right to revise these Terms and Conditions at any time and for any reason, without notice or obligation, by updating this posting. Your continued use of the Sites following the posting of any changes to the Terms and Conditions will mean that you accept such amendments. We strongly recommend that you periodically visit this page of the Sites to review the Terms and Conditions.

Jurisdictional Limitations

City Different may only transact business or provide investment advice in those states and jurisdictions where it is authorized to do so. Any communications with prospective clients residing in states or jurisdictions where City Different is not registered or licensed shall be limited so as not to violate governing securities statutes. City Different will only render investment advice when properly registered to do so, and under the terms of a legal agreement between parties.

Copyrights and Trademarks

The content on the Sites, including the compilation of such content, and the software used on the Sites, is the exclusive property of City Different or others and is protected by U.S. and international copyright laws. No portion of the Sites, including, without limitation, the text or images may be used in any manner, or for any purpose, without the prior express written permission of City Different, except as provided herein under “Restricted Use of Sites Materials” below. City Different will aggressively enforce its intellectual property rights to the full extent of the law. Any unauthorized use of such materials may subject you to penalties or damages, including, without limitation, those related to violation of trademarks, copyrights, privacy, and publicity rights.

Restricted Use of Site Materials

City Different grants you a limited license to access and make use of the Sites. For your personal use only, you may print copies of the information from the Sites and you may store information from the Sites on your own computer. You may not modify the Sites, or any portion thereof, for any reason. Any unauthorized use terminates the permission or limited license granted by City Different, who reserves all other rights.

Not Investment Advice

All information contained on the Sites has been prepared by City Different for informational purposes only and should not be considered investment advice or a recommendation to invest in any particular security, strategy, or investment product. The information contained on the Sites has been prepared without regard to any particular user’s investment objectives or financial condition, and City Different is not soliciting any action based upon it. City Different is not engaged in rendering any tax, legal or accounting advice. Please consult with a qualified professional for this type of advice.

No Guarantee of Accuracy

While City Different makes all reasonable efforts to help ensure that material on the Sites is correct, accuracy cannot be guaranteed and City Different makes no warranties or representations that the Sites are accurate, reliable, or up to date, that the Sites will be available at any particular time or location, or that the Sites are free from viruses or other harmful components. The Sites, and all information and materials contained herein, are provided to you “as is” without warranty of any kind, either express or implied, including without limitation, the implied warranty of merchantability, fitness for a particular purpose, title and non-infringement to the full extent permitted by law.

Information Subject to Change without Notice

The opinions expressed on the Sites are subject to change at any time without notice.

Market Commentaries, Strategy Updates

For Information Purposes Only; Not Investment Advice
The information contained herein is educational in nature and not designed to be taken as advice or a recommendation for any specific investment product, strategy, plan feature, or other purpose in any jurisdiction, nor is it a commitment from City Different or any of its affiliates to participate in any of the transactions mentioned herein. Any examples used are generic, hypothetical, and for illustration purposes only. This material does not contain sufficient information to support an investment decision, and it should not be relied upon by you in evaluating the merits of investing in any securities or products. Under no circumstances does the information contained within represent a recommendation to buy, hold, or sell any security, and it should not be assumed that the securities, transactions, sectors, holdings, or strategies discussed were or will prove to be profitable.

Investors should consult their own investment, tax, legal, and/or accounting professionals before engaging in any transaction. Any discussion of tax matters contained herein is not intended or written to be used, and cannot be used, for the purpose of avoiding any penalties that may be imposed under federal tax laws. The opinions expressed are those of the author(s) and do not necessarily reflect the views of the firm, its clients, or any of its or their respective affiliates.

Investing Involves Risk
Investing involves risk, including risk of loss. Diversification does not ensure a profit or guarantee against loss. Investments in small-cap companies generally involve greater risks than investing in larger capitalization companies. Small-cap companies often have narrower commercial markets and more limited managerial and financial resources than larger, more established companies. As a result, their performance can be more volatile and they face greater risk of business failure, which could increase the volatility of a fund’s portfolio. Additionally, small-cap companies may have less market liquidity than larger companies.

Growth companies are expected to increase their earnings at a certain rate. When these expectations are not met, investors may punish the stocks excessively, even if earnings showed an absolute increase. Growth company stocks also typically lack the dividend yield that can cushion stock prices in market downturns. Value investing is based on the potential for a company’s stock price to rise based upon anticipated changes in the market or within the company itself. Value stocks have historically been sensitive to economic cycles and investor sentiment that can affect volatility and risk. International investments involve additional risks, which include differences in financial accounting standards, currency fluctuations, geopolitical risk, foreign taxes and regulations, and the potential for illiquid markets. Investing in emerging markets may accentuate these risks.

Use of Indices
Any index referenced herein is for information purposes only; the composition of an index is different from the composition of the accounts managed by City Different. An index is unmanaged and has no expenses. It is not possible to invest directly in an index. Benchmark or index performance presented in this document does not reflect the deduction of advisory fees, transaction charges, or other expenses, which would reduce performance. Indexes are unmanaged. It is not possible to invest directly in an index. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce return.

The S&P 500 Index measures change in stock market conditions based on the average performance of 500 widely held common stocks. It is a market-weighted index calculated on a total return basis with dividends reinvested. The S&P 500 represents approximately 75% of the investable U.S. equity market.

The S&P 500 Net Adj. IndexCDI reports on exposure and performance for the S&P 500 Index adjusted for CDI’s Long/Short Net exposure monthly.

The Russell 1000® Value Index measures a value-oriented subset of the Russell 1000® Index, which tracks approximately 1,000 of the large mid-sized capitalization companies in the U.S. equities market. Frank Russell Company (Russell) is the source and owner of the trademarks, service marks and copyrights related to the Russell Indexes. Russell® is a trademark of Frank Russell Company. Neither Russell nor its licensors accept any liability for any errors or omissions in the Russell Indexes and/or Russell ratings or underlying data and no party may rely on any Russell Indexes and/or Russell ratings and/or underlying data contained in this communication. No further distribution of Russell data is permitted without Russell’s express written consent. Russell does not promote, sponsor, or endorse the content of this communication.

The Russell 2500 Index measures the performance of the small to midcap segment of the US equity universe, commonly referred to as “smid” cap. The Russell 2500™Index is a subset of the Russell 3000® Index. It includes approximately 2500 of the smallest securities based on a combination of their market cap and current index membership.

Gross Long Exposure, Gross Short Exposure, Net Exposure
Gross long exposure is the total exposure to all long (or adjusted long) positions in the long/short strategy. Gross short exposure is the total exposure to all short (or adjusted short) positions in the long/short strategy. Net exposure is the difference between gross long and gross short exposures.

The HFRI Equity Hedge Index
The HFRI®Indices are broadly constructed indices designed to capture the breadth of hedge fund performance trends across all strategies and regions. Equity Hedge: Investment Managers who maintain positions both long and short in primarily equity and equity derivative securities. A wide variety of investment processes can be employed to arrive at an investment decision, including both quantitative and fundamental techniques; strategies can be broadly diversified or narrowly focused on specific sectors and can range broadly in terms of levels of net exposure, leverage employed, holding period, concentrations of market capitalizations and valuation ranges of typical portfolios. EH managers would typically maintain at least 50% exposure to, and may in some cases be entirely invested in, equities, both long and short.

Style Benchmarks for SMID and Multi-cap are created by Kiski Analytics. Methodology is outlined on the slide titled “Building aBalanced Portfolio, Style Benchmark Construction.” The Style Benchmarks are designed to show an approximation of “Investing Across the Business Life Cycle” utilizing all the available stocks in each portfolio’s benchmark. CDI Style Benchmarks carry consistent 40%/40%/20% exposure to each basket, weighted by market cap, amongst those holdings that rank highest within Established, Mature and Emerging businesses.

The Bloomberg Barclays Custom 1-5 Year Blend Index
The Bloomberg Barclays U.S. Municipal Index covers the USD-denominated long-term tax exempt bond market. The index has four main sectors: state and local general obligation bonds, revenue bonds, insured bonds and prerefunded bonds. Primarily invests in securities of 1 –6 year maturities.

The Bloomberg Barclays Custom 1-10 Year Blend Index
The Bloomberg Barclays U.S. Municipal Index covers the USD-denominated long-term tax exempt bond market. The index has four main sectors: state and local general obligation bonds, revenue bonds, insured bonds and prerefunded bonds. Primarily invests in securities of 1 –12 year maturities.

The Bloomberg Barclays Custom 3-15 Year Blend
The Bloomberg Barclays U.S. Municipal Index covers the USD-denominated long-term tax exempt bond market. The index has four main sectors: state and local general obligation bonds, revenue bonds, insured bonds and prerefunded bonds. Primarily invests in securities of 2 –17 year maturities.

The Bloomberg US Aggregate Bond Index
The Bloomberg US Aggregate Bond Index is a broad-based flagship benchmark that measures the investment grade, US dollar-denominated, fixed-rate taxable bond market. The index includes Treasuries, government-related and corporate securities, MBS (agency fixed-rate pass-throughs), ABS and CMBS (agency and non-agency).

Bloomberg US Treasury Total Return Unhedged USD
The Bloomberg US Treasury Index measures US dollar-denominated, fixed-rate, nominal debt issued by the US Treasury. Treasury bills are excluded by the maturity constraint, but are part of a separate Short Treasury Index. STRIPS are excluded from the index because their inclusion would result in double-counting.

Bloomberg US Corporate High Yield Total Return Index
The Bloomberg US Corporate High Yield Bond Index measures the USD-denominated, high yield, fixed-rate corporate bond market. Securities are classified as high yield if the middle rating of Moody’s, Fitch and S&P is Ba1/BB+/BB+ or below. Bonds from issuers with an emerging markets country of risk, based on Bloomberg EM country definition, are excluded

If not otherwise provided, definitions of indices referenced herein are available by contacting us at info@citydifferentinvestments.com.

Past Performance
Both past performance and yields are not reliable indicators of current and future results.

Social Media Guidelines

To keep social media communities useful for everyone, please keep the following guidelines in mind:

Avoid investment specifics: do not post personal information; account information; testimonials; investment advice; or recommendations about specific securities, products, or services. Such opinions and experiences may not apply to others and their individual situations.
Post prudently: contribute to the discussion with information that would be of interest to others. Do not post advertisements.
Be respectful: maintain a friendly environment. Do not post inappropriate or offensive material.
Respect your own privacy: do not send or post personal information or account information via social media.

City Different reserves the right to remove and moderate comments. City Different reserves the right to restrict users who don’t follow these guidelines, have online pages containing offensive content or serving as promotional sites, or for any other reason. Comments and opinions posted by users are the responsibility of the person who posted them. City Different does not adopt, endorse, or guarantee the accuracy of content posted by others, and such content does not represent the views of City Different.

Followers who have a business relationship with City Different or other beneficial interest in commenting are responsible for adhering to any restrictions for interacting online and any obligations to disclose that relationship or interest in their posts.

About City Different Investments

City Different Investments was launched in January 2021 to provide investment management services to high net worth and institutional clients. The firm is an independent, privately held investment management firm that allows investors to work, with freedom and flexibility, on strategies that excite them. We are inspired by and headquartered in the “City Different,” Santa Fe, New Mexico.

Certified B Corporation

City Different Investments’ certification as a B corporation is currently pending, which signifies our intent to be fully certified within the next 12 months, rather than a sign of achievement over the previous 12 months. B Corporations are for-profit companies certified by the nonprofit B Lab to meet rigorous standards of social and environmental performance, accountability, transparency and aspire to use the power of markets to solve social and environmental problems. References to certification do not represent a statement of any City Different Investments client and does not describe any experience with or endorsement of City Different Investments as an investment adviser by any such client.

For More Information

For more information about City Different or the information found on its Sites, contact us at info@citydifferentinvestments.com

Privacy Notice

Introduction and Purpose
Thank you for visiting the City Different Investments (“City Different”) web and/or LinkedIn sites (“Sites”). Please carefully read the following Privacy Notice (“Notice”), which applies to those individuals who browse and use our Sites (“visitors”). This Notice describes how City Different (‘we” or “us”) gathers and uses information from visitors (“you” and “your”) to our Sites. To ensure your privacy, the information we collect from visitors to these Sites is used only in the manner and for the purposes described in this Notice.

The purpose of this Notice is to explain the type of information that City Different collects, what we do with that information, and with whom we share this information. Anyone who provides personally identifiable information (“Personal Information”) or any other information to us consents to the collection, use and disclosure of such information under the terms of this Notice.

Your privacy is important to us, and City Different is committed to handling your information with care.

City Different’s Public Sites
The only personal information we record on our public Sites is information collected through user-submitted forms. City Different uses this information for internal business purposes and it may be shared with select trusted third parties for the limited purpose of providing services on behalf of City Different.

City Different is committed to continuously improving the experience for our Site visitors. We may collect aggregate data about our visitors such as page views, visitor frequency, Internet browser usage, and length of time spent on the Sites. This information may be analyzed internally to understand the effectiveness of our Sites.

The providers of third-party plug-ins and widgets on our Sites, such as embedded videos and social media sharing tools, may use automated means to collect information about your use of the Sites and your interactions with the plug-ins and widgets. This information is subject to the privacy policies or notices of the providers of the plug-ins and widgets. City Different’s public Sites may contain links to other sites, which are not subject to this Privacy Notice. We recommend that you read the privacy policies of any linked sites, as we are not responsible for the privacy practices of such third-party sites.

Privacy Notice Subject to Change
Please note that our Privacy Notice may change from time to time. Accordingly, visitors are strongly encouraged to review our Privacy Notice regularly. If we decide to change our Privacy Notice, we will post those changes or an updated version, so our users are always aware of what information we collect, how we use it, and under what circumstances, if any, we disclose it. If at any point we decide to collect additional personally identifiable information or use any collected information in a manner different from that stated at the time it was collected, we will notify users by posting changes on this notice. Your continued use of these Sites following any changes to this Privacy Notice will constitute your acceptance of the changes.