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Multi-Strategy Alternative
Income Fund

JASMX - S SHARES JAIMX - I SHARES JAAMX - A SHARES JACMX - C SHARES

Overview

AT A GLANCE
  • $13.17 M

    Portfolio Assets 10-22-2020

  • $9.32 NAV 10/22/2020
  • 4.16%

    Gross Expenses1

  • 2.92%*

    Net Expenses1

  • 803431 360

    CUSIP

  • 9-29-2014

    Inception Date

*The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses until at least December 31, 2019 for I Shares to ensure that net annual operating expenses will not exceed 1.99%, subject to possible recoupment from the Fund in future years.

Diversification

“Multi-Strategy funds are uniquely positioned as a fixed income alternative because of low volatility risk profile that results from strategy-level diversification”2

Potentially Attractive Risk and Return Characteristics

“Multi-Strategy funds have gained favor as a way to improve a portfolio’s overall risk and return characteristics”3

Investor Preference

“Multi-manager funds may be the preferred option for smaller investors who do not have the resources to do their own due diligence and may not qualify for investing directly in private funds.”4

FUND OBJECTIVE

The Portfolio seeks to provide long-term capital appreciation as its primary objective, with a secondary objective of providing income for its shareholders.

FUND STRATEGY

Dynamically allocates between managers and strategies to adjust for changing market conditions. Allocate 50% to 70% of the portfolio to income producing strategies through both traditional and alternative asset classes. Minimize underlying manager/strategy correlations while maintaining desired market exposure, allowing the portfolio to potentially benefit during times of market appreciation. Minimize downside during times of market distress through traditional portfolio hedging techniques and long/short exposure.5

 

Performance


Daily Prices and Returns as of 10/22/2020
Ticker Share Class NAV Chg % POP YTD
JASMX S 9.45 0.21% 4.07%
JAIMX I 9.32 0.32% 3.79%
JAAMX A 9.31 0.22% 9.88 3.50%
JACMX C 9.12 0.22% 2.88%

*Shares of Class S of the Portfolios are available exclusively to investment advisers and broker-dealers that are affiliated with the Manager as a means of implementing asset allocation recommendations for their clients

Inception date for I, A, C Shares was 9/29/2014; Inception for S Shares was 8/17/2017. Performance data quoted above is historical. Past performance does not guarantee future results and current performance may be lower or higher than the performance data quoted. The investment return and principal value of an investment will fluctuate, so that shares when redeemed may be worth more or less than their original cost. The Fund’s management has contractually waived a portion of its management fees until December 31, 2020 for I, A, C Shares and December 31, 2020 for S Shares. The performance shown reflects the waivers without which the performance would have been lower. Total annual operating expenses before the expense reduction/reimbursement are 4.39% for S Shares, 4.16% for I Shares, 4.40% for A Shares, and 5.16% for C Shares; total annual operating expenses after the expense reduction/reimbursement are 2.54% for S Shares, 2.92% for I Shares, 3.17% for A Shares, and 3.92% for C Shares. The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses until at least December 31, 2020 for I, A, C Shares and December 31, 2020 for S Shares, to ensure that net annual operating expenses will not exceed 1.49% for S Shares, 1.99% for I Shares,  2.24% for A Shares,and 2.99% for C Shares. 5.75% is the maximum sales charge on purchases of A shares. For more performance data please call 888.814.8180.


Performance as of 9/30/2020
Ticker Share Class 1 MO YTD 1 YR 3 YR 5 YR Since Inception
JASMX S -1.57% 2.64% 6.51% 5.18% N/A 6.12%
JAIMX I -1.60% 2.34% 6.00% 4.72% 4.20% 1.87%
JAAMX A -1.66% 2.06% 5.72% 4.43% 3.95% 1.63%
JACMX C -1.76% 1.53% 4.93% 3.68% 3.15% 0.89%

*Shares of Class S of the Portfolios are available exclusively to investment advisers and broker-dealers that are affiliated with the Manager as a means of implementing asset allocation recommendations for their clients

Inception date for I, A, C Shares was 9/29/2014; Inception for S Shares was 8/17/2017. Performance data quoted above is historical. Past performance does not guarantee future results and current performance may be lower or higher than the performance data quoted. The investment return and principal value of an investment will fluctuate, so that shares when redeemed may be worth more or less than their original cost. The Fund’s management has contractually waived a portion of its management fees until December 31, 2020 for I, A, C Shares and December 31, 2020 for S Shares. The performance shown reflects the waivers without which the performance would have been lower. Total annual operating expenses before the expense reduction/reimbursement are 4.39% for S Shares, 4.16% for I Shares, 4.40% for A Shares, and 5.16% for C Shares; total annual operating expenses after the expense reduction/reimbursement are 2.54% for S Shares, 2.92% for I Shares, 3.17% for A Shares, and 3.92% for C Shares. The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses until at least December 31, 2020 for I, A, C Shares and December 31, 2020 for S Shares, to ensure that net annual operating expenses will not exceed 1.49% for S Shares, 1.99% for I Shares,  2.24% for A Shares,and 2.99% for C Shares. 5.75% is the maximum sales charge on purchases of A shares. For more performance data please call 888.814.8180.

Dividend and Capital Gains Distributions: S Shares (JASMX)

Distribution  Date Distribution  NAV Long-Term  Capital Gain Short-Term  Capital Gain Return of  Capital Dividend  Income Distribution  Total
03/27/2020 7.83 0.0000 0.0000 0.0000 0.0600 0.0600
12/30/2019 9.27 0.0000 0.0000 0.0000 0.0800 0.0800
09/27/2019 9.00 0.0000 0.0000 0.000 0.0800 0.0800
06/27/2019 9.19 0.0000 0.0000 0.0000 0.0800 0.0800
03/27/2019 9.20 0.0000 0.0000 0.0000 0.0800 0.0800
12/27/2018 8.32 0.0000 0.0000 0.0000 0.0900 0.0900
09/27/2018 9.51 0.0000 0.0000 0.0000 0.1000 0.100
06/27/2018 9.21 0.0000 0.0000 0.0000 0.1000 0.100
03/28/2018 8.76 0.0000 0.0000 0.0000 0.1000 0.100
12/27/2017 8.99 0.0000 0.0000 0.0000 0.1000 0.100
09/27/2017 8.75 0.0000 0.0000 0.0000 0.0700 0.0700

Dividend and Capital Gains Distributions: I Shares (JAIMX)

Distribution  Date Distribution  NAV Long-Term  Capital Gain Short-Term  Capital Gain Return of  Capital Dividend  Income Distribution  Total
03/27/2020 7.74 0.0000 0.0000 0.0000 0.0600 0.0600
12/30/2019 9.17 0.0000 0.0000 0.0000 0.0800 0.0800
09/27/2019 8.92 0.0000 0.0000 0.0000 0.0800 0.0800
06/27/2019 9.12 0.0000 0.0000 0.0000 0.0800 0.0800
03/27/2019 9.13 0.0000 0.0000 0.0000 0.0800 0.0800
12/27/2018 8.26 0.0000 0.0000 0.0000 0.0900 0.0900
09/27/2018 9.46 0.0000 0.0000 0.0000 0.1000 0.1000
06/27/2018 9.17 0.0000 0.0000 0.0000 0.1000 0.1000
03/28/2018 8.73 0.0000 0.0000 0.0000 0.1000 0.1000
12/27/2017 8.98 0.0000 0.0000 0.0000 0.1000 0.1000
09/27/2017 8.92 0.0000 0.0000 0.0000 0.0700 0.0700
06/28/2017 8.96 0.0000 0.0000 0.0000 0.0900 0.0900
03/30/2017 9.11 0.0000 0.1100 0.0000 0.0012 0.1112
12/28/2016 8.92 0.0000 0.1643 0.0000 0.0000 0.1643
09/29/2016 9.18 0.0000 0.0000 0.0000 0.0035 0.0035
06/28/2016 8.81 0.0000 0.0000 0.0000 0.0135 0.0135
03/30/2016 8.42 0.0000 0.0000 0.0000 0.0470 0.0470
12/28/2015 8.75 0.0035 0.0000 0.0000 0.0000 0.0035
09/28/2015 8.81 0.0000 0.0800 0.0000 0.0000 0.0800
06/26/2015 10.11 0.0000 0.0900 0.0000 0.0000 0.0900
03/30/2015 10.19 0.0000 0.0500 0.0000 0.0000 0.0500
12/19/2014 9.87 0.0000 0.0402 0.0000 0.0000 0.0402

Dividend and Capital Gains Distributions: A Shares (JAAMX)

Distribution  Date Distribution  NAV Long-Term  Capital Gain Short-Term  Capital Gain Return of  Capital Dividend  Income Distribution  Total
03/27/2020 7.73 0.0000 0.0000 0.0000 0.0545 0.0545
12/30/2019 9.15 0.0000 0.0000 0.0000 0.0701 0.0701
09/27/2019 8.90 0.0000 0.0000 0.0000 0.0785 0.0785
06/27/2019 9.10 0.0000 0.0000 0.0000 0.0743 0.0743
03/27/2019 9.10 0.0000 0.0000 0.0000 0.0743 0.0743
12/27/2018 8.24 0.0000 0.0000 0.0000 0.0844 0.0844
09/27/2018 9.43 0.0000 0.0000 0.0000 0.0939 0.0939
06/27/2018 9.15 0.0000 0.0000 0.0000 0.0943 0.0943
03/28/2018 8.71 0.0000 0.0000 0.0000 0.0939 0.0939
12/27/2017 8.95 0.0000 0.0000 0.0000 0.0940 0.0940
09/27/2017 8.90 0.0000 0.0000 0.0000 0.0640 0.0640
06/28/2017 8.94 0.0000 0.0000 0.0000 0.0844 0.0844
03/30/2017 9.09 0.0000 0.1100 0.0000 0.0000 0.1100
12/28/2016 8.91 0.0000 0.1643 0.0000 0.0000 0.1643
03/30/2016 8.40 0.0000 0.0000 0.0000 0.0000 0.0422
12/28/2015 8.73 0.0035 0.0000 0.0000 0.0000 0.0035
09/28/2015 8.79 0.0000 0.0800 0.0000 0.0000 0.0800
06/26/2015 10.10 0.0000 0.0900 0.0000 0.0000 0.0900
03/30/2015 10.18 0.0000 0.0500 0.0000 0.0000 0.0500

Dividend and Capital Gains Distributions: C Shares (JACMX)

Distribution  Date Distribution  NAV Long-Term  Capital Gain Short-Term  Capital Gain Return of  Capital Dividend  Income Distribution  Total
03/27/2020 7.59 0.0000 0.0000 0.0000 7.59 0.0235
12/30/2019 8.97 0.0000 0.0000 0.0000 0.0529 0.0529
09/27/2019 8.73 0.0000 0.0000 0.0000 0.0731 0.0731
06/27/2019 8.94 0.0000 0.0000 0.0000 0.0566 0.0574
03/27/2019 8.94 0.0000 0.0000 0.0000 0.0574 0.0574
12/27/2018 8.10 0.0000 0.0000 0.0000 0.0681 0.0681
09/27/2018 9.27 0.0000 0.0000 0.0000 0.0754 0.0754
06/27/2018 8.99 0.0000 0.0000 0.0000 0.0764 0.0764
03/28/2018 8.56 0.0000 0.0000 0.0000 0.0776 0.0776
12/27/2017 8.80 0.0000 0.0000 0.0000 0.0770 0.0770
09/27/2017 8.75 0.0000 0.0000 0.0000 0.0475 0.0475
06/28/2017 8.79 0.0000 0.0000 0.0000 0.0681 0.0681
03/30/2017 8.94 0.0000 0.1100 0.0000 0.0000 0.1100
12/28/2016 8.78 0.0000 0.1643 0.0000 0.0000 0.1643
03/30/2016 8.33 0.0000 0.0000 0.0000 0.0301 0.0301
12/28/2015 8.66 0.0035 0.0000 0.0000 0.0000 0.0035
09/28/2015 8.74 0.0000 0.0800 0.0000 0.0000 0.0800
06/26/2015 10.06 0.0000 0.0900 0.0000 0.0000 0.0900
03/30/2015 10.15 0.0000 0.0500 0.0000 0.0000 0.0500

PORTFOLIO MANAGERS

Andrew J. Duffy, CFA

(Ranger Global Real Estate Advisors, LLC)

Founded in June 2016, Ranger Global Real Estate Advisors manages public and private global real estate funds for both institutional and retail investors. With a dedicated focus on the publically-traded real estate market, Ranger aims to provide its investors with access to the highest quality, income-producing real estate in the world. Managed by Andrew J. Duffy, CFA, President and Chief Investment Officer, Ranger Global Real Estate Advisors benefits from his more than 20 years of dedicated REIT expertise. Mr. Duffy, amongst other roles, launched and built the public real estate securities platform for TIAA-CREF, eventually managing over $3 billion in assets.

Andrew J. Duffy, CFA serves as the Senior Portfolio Manager of the James Alpha Global Real Estate Investments Fund. Mr. Duffy has more than 20 years of global real estate securities investment experience. Prior to Ranger Global Real Estate Advisors, Mr. Duffy served as the President of Ascent Investment Advisors from February 2009 to May 2016. Previously, he was a Managing Director with Citigroup Principal Strategies, where he managed a long/short portfolio of global real estate securities. From February 2006 until January 2008 he was with Hunter Global Investors, L.P. where he was the Co-Portfolio Manager of the Hunter Global Real Estate Securities Fund.

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Founded in June 2016, Ranger Global Real Estate Advisors manages public and private global real estate funds for both institutional and retail investors. With a dedicated focus on the publically-traded real estate market, Ranger aims to provide its investors with access to the highest quality, income-producing real estate in the world. Managed by Andrew J. Duffy, CFA, President and Chief Investment Officer, Ranger Global Real Estate Advisors benefits from his more than 20 years of dedicated REIT expertise. Mr. Duffy, amongst other roles, launched and built the public real estate securities platform for TIAA-CREF, eventually managing over $3 billion in assets.

Andrew J. Duffy, CFA serves as the Senior Portfolio Manager of the James Alpha Global Real Estate Investments Fund. Mr. Duffy has more than 20 years of global real estate securities investment experience. Prior to Ranger Global Real Estate Advisors, Mr. Duffy served as the President of Ascent Investment Advisors from February 2009 to May 2016. Previously, he was a Managing Director with Citigroup Principal Strategies, where he managed a long/short portfolio of global real estate securities. From February 2006 until January 2008 he was with Hunter Global Investors, L.P. where he was the Co-Portfolio Manager of the Hunter Global Real Estate Securities Fund. Before that he was a Portfolio Manager at TIAA-CREF for over six years, during which time he was responsible for managing over $3 billion in global real estate equity and debt securities held in pension portfolios, college savings plans, mutual funds and the firm’s proprietary general account. Between 1993 and 1999, Mr. Duffy was a Senior Research Analyst at Eagle Asset Management, where he launched and managed a dedicated real estate securities investment program in which he was responsible for fundamental analysis, security selection and portfolio construction.

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William H. Bales

(Bullseye Asset Management)

Mr. Bales is a Principal and Portfolio Manager for Bullseye Asset Management, sub-advisor to the Fund. Mr. Bales has more than 20 years of professional investment experience. He previously served as the Portfolio Manager at Janus Capital Management where he was responsible for the Janus Venture Fund and separately managed portfolios in the Small Cap Growth discipline. Mr. Bales joined Janus Capital Management in 1991, and became an analyst in 1993. He served as co-manager of the Janus Venture Fund from 1997 and became the sole portfolio manager in 2001. Mr. Bales was selected as one of Barron’s Top 100 Fund Managers in 2001 and 2005, and received multiple awards from Lipper in 2008 for “Best Fund over 5 Years” and “Best Fund over 3 Years.”

Mr. Bales received a Master of Science degree in Marketing and Finance and a Bachelor of Science in Marketing from the University of Colorado. Mr. Bales has been in the investment industry since 1992.

Jakob V. Holm

(Bullseye Asset Management)

Mr. Holm is a Principal, Portfolio Manager and Chief Compliance Officer for Bullseye Asset Management, sub-advisor to the Fund. He has more than 16 years of professional investment experience. Prior to Bullseye, he served as the Portfolio Manager at Janus Capital Management where he was responsible for the Janus Adviser Small Company Value Fund, Janus Aspen Small Company Value Fund and separately managed portfolios in the Small Company Value discipline. Prior to joining Janus in 2005, Mr. Holm spent time at Bay Isle Financial and Sand Hill Advisors in California.

Mr. Holm received a Master’s degree from Thunderbird School of Global Management in International Management, focusing on Finance and earned a Bachelor’s degree in Economics from Augustana College, where he graduated Cum Laude. He holds the Chartered Financial Analyst designation and is a member of the CFA Institute and the CFA Society of Colorado.

George Kellner

(Multi-Strategy Alternative Income Fund)

Mr. Kellner is the founder and CEO of Kellner Capital, sub-advisor to the Fund. He has more than 30 years of hedge fund experience. Prior to Kellner Capital, Mr. Kellner was a Senior Vice President and founded the arbitrage department of Donaldson, Lufkin & Jenrette. Before commencing his arbitrage career, Mr. Kellner was a Vice President and House Counsel of the Madison Fund where he had broad responsibilities as a Financial Analyst and Portfolio Manager.

Mr. Kellner began his professional career as a securities lawyer at the Wall Street law firm of Carter, Ledyard and Milburn and holds a B.A. from Trinity College, a J.D. from Columbia Law School and an M.B.A. from New York University’s Leonard Stern Graduate School of Business. He is a Chartered Financial Analyst and a former Adjunct Assistant Professor of Finance at New York University and serves on the Stern School’s Board of Overseers.

Chris Pultz

(Kellner Capital)

Mr. Pultz is the Managing Director and Portfolio Manager of merger arbitrage for Kellner Capital, sub-advisor to the Fund. Mr. Pultz joined Kellner Capital in 1999 and leads the firm’s merger arbitrage investing activities. In addition, Mr. Pultz is a member of the firm’s management committee where he provides broad input on strategic matters.

Mr. Pultz began his career at Neuberger Berman LLC where he was a government bond trader and also provided allocation recommendations to the firm’s internal investment management teams. Mr. Pultz holds a B.S. in Finance from Fairfield University and an M.B.A from Fordham University Graduate School of Business.

Sal Naro

(Chief Executive Officer, Chief Investment Officer, Coherence Capital Partners)

Mr. Naro is the managing member, Chief Executive Officer, and Chief Investment Officer of Coherence Capital Partners which he founded in January 2012. Prior, Mr. Naro was the Vice Chairman of Jefferson National Financial Corp and CEO of Jefferson National Asset Management. Prior to Jefferson National, Mr. Naro has held several senior management positions most recently as Executive Director at Markit Group, a financial services technology firm. After being a shareholder and board member from inception through UBS and Sailfish, Mr. Naro joined Markit Group as one of their senior executives. Over 2 1/2 years, Mr. Naro led various businesses and, as co-head of the acquisitions committee, oversaw four strategic and accretive acquisitions. Additionally he restructured two other business and drove the sale of some non core assets. Mr. Naro continues as an advisor and shareholder to Markit.

Prior to Markit, Mr. Naro was the Co-CEO and President of Sailfish Capital Partners, LLC, an asset management company he co-founded in 2005. Prior to Sailfish, Mr. Naro worked at UBS Investment Bank where he was a Managing Director and the Global Co-Head of Fixed Income.

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Mr. Naro is the managing member, Chief Executive Officer, and Chief Investment Officer of Coherence Capital Partners which he founded in January 2012. Prior, Mr. Naro was the Vice Chairman of Jefferson National Financial Corp and CEO of Jefferson National Asset Management. Prior to Jefferson National, Mr. Naro has held several senior management positions most recently as Executive Director at Markit Group, a financial services technology firm. After being a shareholder and board member from inception through UBS and Sailfish, Mr. Naro joined Markit Group as one of their senior executives. Over 2 1/2 years, Mr. Naro led various businesses and, as co-head of the acquisitions committee, oversaw four strategic and accretive acquisitions. Additionally he restructured two other business and drove the sale of some non core assets. Mr. Naro continues as an advisor and shareholder to Markit.

Prior to Markit, Mr. Naro was the Co-CEO and President of Sailfish Capital Partners, LLC, an asset management company he co-founded in 2005. Prior to Sailfish, Mr. Naro worked at UBS Investment Bank where he was a Managing Director and the Global Co-Head of Fixed Income. He was also a member of the Board of Directors of UBS Investment Bank. Prior to joining UBS, he was a Senior Managing Director and Global Head of Credit Trading at Bear Stearns from 1989 to 1998. Mr. Naro served on the global risk committees of both firms. While at UBS and Bear Stearns, Mr. Naro managed an investment team and traded a significant proprietary book. Mr. Naro began his career on Wall Street in 1982 as a fixed income associate for Dreyfus and has been a member of senior management in fixed income for the last 22 years. Mr. Naro is a 1983 graduate of C.W. Post College of Long Island University and currently sits on the Board of Trustees of Long Island University.

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Vincent Mistretta

(Coherence Capital Partners)

Mr. Mistretta serves as President of Coherence Capital Partners. Prior, Mr. Mistretta was the Senior Portfolio Manager at Jefferson National Asset Management. Prior to Jefferson National, Mr. Mistretta was a founding partner and portfolio manager at L Plus LLC, an asset manager. Prior to L Plus, Mr. Mistretta worked at UBS Investment Bank where he was a Managing Director and Head of GCS (Global Credit Strategies), a multi-strategy proprietary investment business he founded in 2006. Prior to establishing GCS, Mr. Mistretta was the Global COO for Credit Fixed Income from 2004-2005 and Head of U.S. Credit Derivatives Trading from 2003-2004. Mr. Mistretta also served on several management committees and was instrumental in recruiting new talent to UBS. During his time at UBS, Mr. Mistretta was a member of the board of directors of ISDA (International Swaps Dealers Association 2005-2006) and Markit Group (2004-2005). Prior to joining UBS, Mr. Mistretta held senior Trading and Portfolio Management positions at SAC Capital Advisors, HSBC, DLJ and Bear Stearns. Mr. Mistretta is a 1986 graduate of Bucknell University where he earned a Bachelor of Arts in Economics.

Michael Cannon

(Coherence Capital Partners)

Prior to Coherence Capital, Mr. Cannon spent 16 years at UBS Investment Bank, most recently as Managing Director and Co-Head of Investment Grade Credit Trading. Mr. Cannon has extensive experience in trading Distressed, High Yield, and Investment Grade Credit. At UBS, Mr. Cannon worked directly for Coherence CEO, Sal Naro, from 1999 to 2005 in addition to trading alongside Coherence partner, Vincent Mistretta. Additionally, Mr. Cannon worked with fellow Coherence colleagues, Edgar Benavides and Robert Del Grande. Mr. Cannon is a 1993 graduate of the Cooper Union for Advancement of Science and Art where he earned a Bachelor’s of Engineering, Electrical Engineering.

Documents

Title Release Date Download PDF
Second Quarter Fact Sheet June 30, 2020 Download
First Quarter Fact Sheet March 31, 2020 Download
Fourth Quarter Fact Sheet December 31, 2019 Download
Third Quarter Fact Sheet September 30, 2019 Download
Commentary September 30, 2016 Download
Commentary June 30, 2016 Download
Commentary January 31, 2016 Download
Commentary December 31, 2015 Download
Commentary November 30, 2015 Download
Commentary September 30, 2015 Download
Commentary July 31, 2015 Download
Commentary April 30, 2015 Download
Commentary March 31, 2015 Download
Commentary February 28, 2015 Download
Commentary January 31, 2015 Download
Prospectus December 27, 2019 Download

Risks

There is no assurance that the portfolio will achieve its investment objective. Stock values fluctuate in response to activities specific to the company as well as general market, economic and political conditions. Certain “over-the-counter” derivative instruments, such as over-the-counter swaps and options, are subject to the risk that the other party to a contract will not fulfill its contractual obligations. Derivatives may be volatile and some derivatives have the potential for loss that is greater than the Portfolio’s initial investment. Investments in foreign securities could subject the Fund to greater risks including, currency fluctuation, economic conditions, and different governmental and accounting standards. In addition to the risks associated with investing in securities of foreign companies, countries with emerging markets also may have relatively unstable governments, social and legal systems that do not protect shareholders, economies based on only a few industries, and securities markets that trade a small number of issues.

ETNs are subject to credit risk and their value will be influenced by time to maturity, supply and demand, volatility and lack of liquidity in underlying commodities markets, changes in interest rates, changes in the issuer’s credit rating, and economic, legal, or political events. The energy infrastructure MLPs in which the Portfolio invests are subject to risks specific to the industry they serve. To the extent the Portfolio invests a greater amount in any one sector or industry, such as real estate or energy, the Portfolio’s performance will depend to a greater extent on the overall condition of that sector or industry. Leverage created from borrowing money or certain types of transactions or instruments, including derivatives, may impair the Portfolio’s liquidity, cause it to liquidate positions at an unfavorable time, increase volatility or otherwise not achieve its intended objective. Prior to the Portfolio, the Manager had no experience directly managing an open-end mutual fund. The investment techniques and risk analysis used by the portfolio managers for each of the Portfolio’s investment strategies may not produce the desired results. Investments in underlying funds that own small and mid-capitalization companies may be more vulnerable than larger, more established organizations. An MLP is a public limited partnership or limited liability company. MLP interests may be less liquid than conventional publicly traded securities. The risks of investing in an MLP are similar to those of investing in a partnership , including more flexible governance structures, which could result in less protection for investors than investments in a corporation. A change in current tax law, or a change in the underlying business mix of a given MLP, could result in an MLP being treated as a corporation for U.S. federal income tax purposes, which would result in such MLP being required to pay U.S. federal income tax on its taxable income.

The Portfolio does not invest in real estate directly, but because the Portfolio invests in REITs and publicly traded real estate and real estate-related securities, its portfolio will be significantly impacted by the performance of the real estate market and may experience more volatility and be exposed to greater risk than a portfolio that does not make such investments. Short sales may cause the Portfolio to repurchase a security at a higher price, thereby causing the Portfolio to incur a loss. The Portfolio’s investment techniques, including use of covered call options, short-term trading strategies, and high portfolio turnover rate, may result in more of the Portfolio’s income dividends and capital gains distributions being taxable to you at ordinary income tax rates than it would if it did not engage in such techniques. The Portfolio may have investments that appreciate or decrease significantly in value over short periods of time.

An MLP is a public limited partnership or limited liability company. MLP interests may be less liquid than conventional publicly traded securities. The risks of investing in an MLP are similar to those of investing in a partnership, including more flexible governance structures, which could result in less protection for investors than investments in a corporation. A change in current tax law, or a change in the underlying business mix of a given MLP, could result in an MLP being treated as a corporation for U.S. federal income tax purposes, which would result in such MLP being required to pay U.S. federal income tax on its taxable income. The Portfolio does not invest in real estate directly, but because the Portfolio invests in REITs and publicly traded real estate and real estate-related securities, its portfolio will be significantly impacted by the performance of the real estate market and may experience more volatility and be exposed to greater risk than a portfolio that does not make such investments.

Short sales may cause the Portfolio to repurchase a security at a higher price, thereby causing the Portfolio to incur a loss. The Portfolio’s investment techniques, including use of covered call options, short-term trading strategies, and high portfolio turnover rate, may result in more of the Portfolio’s income dividends and capital gains distributions being taxable to you at ordinary income tax rates than it would if it did not engage in such techniques. The Portfolio may have investments that appreciate or decrease significantly in value over short periods of time.

1Inception date for I, A, C Shares was 9/29/2014; Inception for S Shares was 8/17/2017. Performance data quoted above is historical. Past performance does not guarantee future results and current performance may be lower or higher than the performance data quoted. The investment return and principal value of an investment will fluctuate, so that shares when redeemed may be worth more or less than their original cost. The Fund’s management has contractually waived a portion of its management fees until December 31, 2019 for I, A, C Shares and December 31, 2020 for S Shares. The performance shown reflects the waivers without which the performance would have been lower. Total annual operating expenses before the expense reduction/reimbursement are 4.39% for S Shares, 4.16% for I Shares, 4.40% for A Shares, and 5.16% for C Shares; total annual operating expenses after the expense reduction/reimbursement are 2.54% for S Shares, 2.92% for I Shares, 3.17% for A Shares, and 3.92% for C Shares. The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses until at least December 31, 2019 for I, A, C Shares and December 31, 2020 for S Shares, to ensure that net annual operating expenses will not exceed 1.49% for S Shares, 1.99% for I Shares,  2.24% for A Shares,and 2.99% for C Shares. 5.75% is the maximum sales charge on purchases of A shares. For more performance data please call 888.814.8180.

2Van Eck® Global, 2014. Alternative Strategies in a Rising Rate Environment. An “alternative” to fixed income.

3Advisor Perspectives, February 7, 2019. Multi-Strategy Alternative Funds: Not All Are Created Equal.

4Steben & Company, September 2015. Single Manager vs. Multi-Manager Alternative Investment Funds.

5Long/short strategy is an investing strategy of taking long positions in stocks that are expected to appreciate and short positions in stocks that are expected to decline. A long/short strategy seeks to minimize market exposure, while profiting from stock gains in the long positions and price declines in the short positions. Although this may not always be the case, the strategy would be profitable on a net basis as long as the long positions generate more profit than the short positions, or the other way around.