Interim Report -12-

+-----------------------------------+--+--------------------+-------------------+ 
| Total losses                      |  |        (1,637,043) |       (3,560,983) | 
+-----------------------------------+--+--------------------+-------------------+ 
 
 
12.    STATEMENT OF PORTFOLIO MOVEMENTS 
 
 
A statement of changes in the schedule of investments is available to 
shareholders free of charge upon request. 
 
 
 
 
13.    STOCKLENDING 
 
 
The Company did not enter into any stocklending transactions during the period 
to which these financial statements relate. 
 
 
14.    EARNINGS PER SHARE 
Basic and diluted earnings per share is calculated by dividing net loss for the 
period attributable to redeemable participating shareholders of the Company by 
the weighted average number of shares outstanding during the period. The 
weighted average number of shares for the six month period ended 30 June 2009 
reflects the issue of shares in the period. The net loss used to calculate the 
earnings per share for the six month period ended 30 June 2009 was the 
pre-dividend loss. 
 
+-------------------------------+---------------+---------------+---------------+ 
|                               |       Company |  Consolidated |       Company | 
+-------------------------------+---------------+---------------+---------------+ 
|                               |    Six months |    Six months |    Six months | 
|                               |         ended |         ended |         ended | 
+-------------------------------+---------------+---------------+---------------+ 
|                               |  30 June 2009 |  30 June 2009 |  30 September | 
|                               |               |               |          2008 | 
+-------------------------------+---------------+---------------+---------------+ 
|                               |             EUR |             EUR |             EUR | 
+-------------------------------+---------------+---------------+---------------+ 
|                               |               |               |               | 
+-------------------------------+---------------+---------------+---------------+ 
| Operating (loss)/profit for   |   (7,060,488) |  (17,042,389) |   (1,456,294) | 
| the period                    |               |               |               | 
+-------------------------------+---------------+---------------+---------------+ 
|                               |               |               |               | 
+-------------------------------+---------------+---------------+---------------+ 
| Number of redeemable          |  139,994,837  |  139,994,837  |   50,025,000  | 
| participating shares for      |               |               |               | 
| basic and diluted earnings    |               |               |               | 
| per share                     |               |               |               | 
+-------------------------------+---------------+---------------+---------------+ 
|                               |               |               |               | 
+-------------------------------+---------------+---------------+---------------+ 
| Earnings per share            |        (0.05) |     (0.12)    |     (0.03)    | 
+-------------------------------+---------------+---------------+---------------+ 
  NOTES TO THE UNAUDITED FINANCIAL STATEMENTS (continued) 
 
 
For the six months ended 30 June 2009 
 
 
15.    DISTRIBUTIONS 
 
 
The Board declared a distribution of 1.5 cent (EUR0.0146) per Euro share in 
respect of the six month period ended 30 June 2009. This distribution was paid 
on 30 January 2009 (EUR0.0015) and 30 April 2009 (EUR0.0131) and was paid to 
shareholders on the share register as at the close of business on these dates. 
The total distribution amounted to EUR2,027,884 (September 2008: EURNil). 
 
 
16.     CHANGE IN ACCOUNTING YEAR END DATE 
 
 
On 16 October 2008 it was resolved to change the Company's accounting year end 
from 31 March to 31 December each year. As a result, the preceding condensed 
interim financial statements are for the six month period ended 30 September 
2008. 
 
 
17.    COMPARATIVES 
 
 
The comparatives used in the Company statement of financial position and in the 
Consolidated statement of financial position of these financial statements are 
for the nine month period ended 31 December 2008. All other comparatives used in 
these financial statements are for the six month period ended 30 September 2008, 
unless otherwise stated. 
 
 
18.SUBSEQUENT EVENTS 
 
 
On 13 July 2009, the Board declared an interim dividend of EUR0.0149 per share in 
respect of the quarterly period ended 30 June 2009. This dividend was paid on 31 
July 2009 to shareholders on the share register as at the close of business on 
24 July 2009. 
 
 
No other events have occurred in respect of the Company subsequent to the period 
end that may be deemed relevant to the accuracy of these financial statements. 
 
 
19.    APPROVAL OF THE FINANCIAL STATEMENTS 
 
 
The interim financial statements were approved for circulation to the 
shareholders by the Directors on 26 August 2009. 
 
 
 
UNAUDITED SCHEDULE OF INVESTMENTS - COMPANY 
 
 
As at 30 June 2009 
 
 
+----------------------------------------------+------------+--------------+------------+ 
|                                              |            |              |   % of Net | 
+----------------------------------------------+------------+--------------+------------+ 
|                                              |   Holdings | Market Value |      Asset | 
|                                              |            |            EUR |      Value | 
+----------------------------------------------+------------+--------------+------------+ 
| Collateralised Debt Obligations              |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
|                                              |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
| Region of trade                              |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
| North America                                |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
|                                              |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
| Country of incorporation                     |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
| Cayman Islands (December 2008: 54.78%)       |            |              |            | 
+----------------------------------------------+------------+--------------+------------+ 
| ACA 0% Bond 09/01/2021                       |  2,200,000 |      599,152 |       1.06 | 
+----------------------------------------------+------------+--------------+------------+ 
| Bering CDO I                                 |  2,000,000 |            - |          - | 
+----------------------------------------------+------------+--------------+------------+ 
| Capital Source Advisors                      |  1,500,000 |      450,968 |       0.80 | 
+----------------------------------------------+------------+--------------+------------+ 
| CIFC Funding 2006-II                         |  3,000,000 |      981,285 |       1.75 | 
+----------------------------------------------+------------+--------------+------------+ 
| Denali Capital CLO VI                        |  2,000,000 |      430,328 |       0.76 | 
+----------------------------------------------+------------+--------------+------------+ 
| E*Trade CDO I                                |  2,000,000 |            - |          - | 
+----------------------------------------------+------------+--------------+------------+ 
| Eaton Vance CDO VIII                         |  1,500,000 |      593,733 |       1.06 | 
+----------------------------------------------+------------+--------------+------------+ 
| FM Leveraged Capital                         |  3,000,000 |      456,208 |       0.81 | 
+----------------------------------------------+------------+--------------+------------+ 
| Foxe Basin CLO                               |  3,000,000 |      188,215 |       0.34 | 
+----------------------------------------------+------------+--------------+------------+ 
| Gale Force 0% Bond 15/04/2018                |  2,000,000 |      740,883 |       1.32 | 
+----------------------------------------------+------------+--------------+------------+ 
| Gale Force 1 CLO                             |  2,000,000 |      452,714 |       0.81 | 
+----------------------------------------------+------------+--------------+------------+ 
| Gale Force 2 CLO Income Note                 | 17,000,000 |    6,297,508 |      11.21 | 
+----------------------------------------------+------------+--------------+------------+ 
| Gale Force 3 CLO Income Note                 |  7,000,000 |    2,749,795 |       4.90 | 
+----------------------------------------------+------------+--------------+------------+ 
| Gale Force 4 CLO Income Note 20/08/2021      | 29,352,000 |    8,299,293 |      14.78 | 
+----------------------------------------------+------------+--------------+------------+ 
| Hudson Straits CLO                           |  6,750,000 |    1,696,824 |       3.02 | 
+----------------------------------------------+------------+--------------+------------+ 
| Inwood Park CDO                              |  9,000,000 |    1,523,473 |       2.71 | 
+----------------------------------------------+------------+--------------+------------+ 
| Longstreet CDO                               |  2,000,000 |            - |          - | 
+----------------------------------------------+------------+--------------+------------+