Ranger Alternative Management, L.P.

Ranger Alternative Management, L.P. acts as a sub-adviser and provides discretionary portfolio management and reporting services to the AdvisorShares Ranger Equity Bear ETF (HDGE), which is currently its sole client and a registered investment company. The firm’s advisory services include establishing short-only equity objectives, executing trades on a discretionary basis, and regular investor reporting.

Ranger implements a short-only Equity Bear Strategy that emphasizes short sales of mid- and large-cap U.S. equities, ETFs, ETNs and other exchange-traded products, and may hold short-term high-quality fixed income and cash to cover short positions. Its investment process is bottom-up and fundamental, focusing on identifying low earnings quality or aggressive accounting, assessing management and governance, and seeking catalyst-driven opportunities, with ongoing fundamental and technical risk reviews.

What distinguishes Ranger from many peers is its set of financial-industry affiliations and its fund-focused business model: SLW Financial (a subsidiary of First United Bank and Trust Company) is an owner and provides operations, marketing and investor-relations support, and the firm is affiliated with an insurance solutions provider, disclosures the Brochure highlights as potential referral and affiliation considerations. Ranger is relatively small in assets under management and concentrates its portfolio-management activities on a single public ETF while retaining the ability to sub-advise other pooled vehicles or separately managed accounts in the future.