The financial activity of STARHEDGE is strongly correlated with its existing strategy and is based on portfolio diversification and optimum risk management. One of the principal elements of the Company’s strategy is the use of structured financial instruments bearing an acceptable and reasonable risk. Structured (hybrid) financial instruments yield higher returns than traditional instruments, while allowing investors to protect their capital. In addition, they offer investors an opportunity to invest in markets that are not easily accessible; besides, one can benefit from mechanisms that are typical of derivatives such as leverage, whereby returns on successful investments are multiplied. Exposure to a variety of financial instruments is one of the investment solutions envisaged in STARHEDGE’s current strategy. The Company is also involved in M&A (Mergers and Acquisition) investing operations that result in company mergers and takeovers or in the acquisition of controlling stakes.