Efficient markets theory tells us that securities prices are always right. That is, prices reflect all known and knowable information perfectly, leaving no opportunity for incremental gain by being better, smarter or more informed than the market in general. Our experience tells us otherwise. While the markets may be efficient on balance, there are pockets of inefficiency that can be exploited by experts who know where to look. Often these inefficiencies are the result of significant corporate events, events which are substantial enough to disrupt the status quo and to create an imbalance in the market place. For almost two decades, York Capital Management has applied its knowledge and expertise to trading these event-driven opportunities, reaping superior risk- adjusted returns independent of the overall market.