Global Crown Capital Technology Index (GCCNI)

An Investment Benchmark to Capitalize on the Growth in Nanotechnology

Overview

In December 2005, Global Crown Capital ("GCC") launched the first pure-play nanotechnology index. The Global Crown Capital Nanotechnology Index (GCCNI) is a price-weighted Index currently composed of twenty-nine pure Nanotechnology stocks. The Index includes select companies which have a significant share of their total revenues generated from involvement in the research, development and manufacturing of nano-materials and nano-devices across a broad spectrum of industries. as well as the tools and software necessary for nano-level development and production.

The stocks in the GCCNI are covered by high quality, objective and actionable fundamental research created by Global Crown Capital's top ranked analyst team. GCC is the only investment firm to publish systematic research on public Nanotechnology equities worldwide, representing a wide variety of different market segments.

GCCNI's Value

Investing in Nanotechnology equities is complex due to the underlying science and the lack of expertise in the marketplace. In general, it requires a greater level of sophistication to make intelligent and informed investment decisions. In a new field with literally thousands of possible applications, a huge gap often exists between what is theoretically possible in a lab and what can be reliably produced in volume for commercial use. Identifying the right investments is even challenging for a professional money manager. GCCNI provides investors with an attractive way to participate in a very promising technology without taking risks on individual companies.

GCCNI is a valuable investment tool for all types of investors. Professional money managers can use it to benchmark their Nanotechnology portfolios or to hedge against the exposure associated with investments in highly volatile Nanotechnology stocks. Individual investors can include it in their portfolios for diversification and potentially significant growth.

Index Member Selection Process

As a rule, the stocks selected for the GCCNI comply with the definition of Nanotechnology formulated by the U.S. National Science and Technology Council and the National Nanotechnology Initiative.

Member companies reflect various areas of the economy impacted by Nanotechnology, including Materials, Equipment, Software, Healthcare, Drug Development and Drug Delivery, Military, Industrial and Electronics. The initial number of components is twenty-eight. The number of components in the GCCNI will increase as the Nanotechnology industry grows. Based on estimates by the U.S. National Science Foundation and industry researchers, the cumulative annualized growth rate of Nanotechnology-based goods and services is likely to be in the 30% to 50% range reaching $1 trillion mark within the next seven to ten years.

The list of stocks included in the GCCNI is subject to change depending on developments in the Industry and the individual Nanotechnology companies. We expect the number of Index components to double in the next five years. The selection criteria include not just the business profile of the company (i.e., its involvement in Nanotechnology) but also the "tradability" of a stock including its price, trading volume etc. Note that the goal of the Index is to be an investment benchmark for professional investors.