Dynamic Funds has launched the Dynamic Alpha Performance II Fund and Dynamic Premium Yield PLUS Fund (the Funds). Both Funds are based on the Canadian Securities Administrators’ ‘alternative funds’ proposal, which is governed under National Instrument 81-102 Investment Funds.
Liquid alternative funds allow more investors to access innovative investment strategies that offer the potential for enhanced diversification, decreased volatility and improved risk-adjusted returns.
“Dynamic Funds has a long history of managing alternative solutions that advisors can use to build better investment portfolios for their clients,” says Glen Gowland, President & CEO, Dynamic Funds. “With the use of alternatives, we want to help advisors evolve their approach to portfolio construction for a market environment that continues to change.”
Dynamic Alpha Performance II Fund seeks to protect capital during a wide range of economic and market environments while earning superior risk-adjusted equity or equity-related returns that are not correlated to major stock market indices. The Fund identifies investment opportunities on both the long and short side of the portfolio to seek positive returns – regardless of the overall direction of the market. The Fund is managed by Noah Blackstein, who has been running a similar mandate to Dynamic Alpha Performance II Fund for over 16 years.
Dynamic Premium Yield PLUS Fund seeks to achieve long-term capital appreciation primarily by investing directly in US equity securities, writing call options on these securities, and/or by writing put options, which generate premium yield. The Fund will use alternative investment strategies including the use of leverage, primarily created through the use of derivatives. The Fund is managed by Damian Hoang. Since he joined the firm, investors have placed over USD2 billion in assets in his options-based and alternative strategies.
