For a full overview of investment performance, please refer to Section II: Summary of Historical Investment Performance. OPPORTUNITY IN THE HEALTHCARE SECTOR The Fund Managers believe a number of macro market factors have aligned to create attractive and lasting conditions for NLV-III’s targeted investment strategy in healthcare technology. These macro market factors include the following: e Strong and Sustained Growth in Global Healthcare Markets: Healthcare is one of the strongest and most dynamic markets within the global economy, with powerful demographic forces expected to drive growth at rates that will outpace GDP in major economies for at least the next decade.? This steady and sustained market growth creates a positive macro environment for investment in the sector. e Significant Opportunity Created By Healthcare Reform & Restructuring: Through at least the next decade, the healthcare industry will be going through a period of significant restructuring as government, private insurance companies, and employers implement broad reform initiatives that seek to slow the growth of healthcare spending and limit the threat this burden creates to their long term fiscal viability. In the U.S., the federal government laid the foundation for these changes with two key pieces of legislation: the Patient Protection and Affordable Care Act (“ACA”) and the Health Information Technology for Economic and Clinical Health Act (HITECH Act”), which are designed to reduce costs, improve quality, and significantly expand the percentage of the population with access to healthcare services. Importantly, a component of the legislation sets aside funding in the form of direct incentives to healthcare providers to be used to purchase technologies needed to meet the legislation’s requirements. As part of healthcare reform, government and private payers will need to migrate their traditional fee-for-service reimbursement models towards more value-centered approaches that reward outco