Hatteras Funds, a provider of alternative investment solutions for financial advisers and their clients, is marking the third anniversary of the Hatteras Disciplined Opportunity Fund (Class I: HDOIX).
The fund is designed to offer investors equity market exposure, while reducing volatility and limiting potential portfolio losses.
"We are excited that The Hatteras Disciplined Opportunity Fund has outperformed many of its peers since inception three years ago," says Mike Hutten (pictured), president of distribution for Hatteras Funds. "The Fund’s investors have benefited from the ability to maintain an equity allocation while mitigating their volatility. We believe it is a better way to invest in equities and certainly better than sitting on the sidelines in cash. Acertus Capital Management has delivered on its investment approach, as evidenced by the fund’s strong peer ranking."
The fund is an S&P 500 index-based options strategy that seeks to provide equity market exposure while offering investors the potential for downside protection and volatility mitigation. The fund’s disciplined, systematic investment process seeks to produce a predictable return pattern that looks to consistently outperform the broader equity market on a risk-adjusted basis.
Acertus Capital Management manages the fund’s investments. Based in Morristown, New Jersey, Acertus serves as Beacon Trust’s specialty alternative brand. Beacon Trust is a full service wealth management firm with approximately USD2.5 billion in assets under administration and decades of proven success, superior solutions and exceptional client service. Acertus’ goal is to help investors avoid irrational decision-making traps associated with market timing and hasty, emotionally driven tactical asset allocation adjustments.
The Hatteras Disciplined Opportunity Fund (Class I shares) placed in the top 24th percentile (28 out of 113 funds) for one-year performance and in the 25th percentile (19 out 74 funds) for three-year performance in Morningstar's Option Writing category.
Michael P Hennen, head of investment management for Hatteras Funds, adds: “We believe this strategy can help financial advisers and their clients experience a more predictable return profile within their equity allocations. With the strong performance of equities in 2016, and over the last 8 years, a greater number of investors may seek to allocate to strategies that moderate volatility and potentially hedge against stock market corrections. We believe the Disciplined Opportunity Fund can help realign the risk profile of portfolios that have become over-weighted to equities or help hesitant investors put cash back to work now.”
