361 Capital, a provider of alternative investment portfolios to institutions, financial intermediaries, and high-net-worth investors, has launched two mutual funds built on two of the firm’s existing alternative strategies, the 361 Long/Short Equity Fund and the 361 Managed Futures Strategy Fund.
The new funds are intended to complement the firm’s existing market neutral mutual fund, the 361 Absolute Alpha Fund, offering advisors additional alternative investment strategies for their clients.
"Our philosophy begins with the belief that alternative investments have a place in most investment portfolios," says Tom Florence (pictured), CEO of 361 Capital. "Providing access to two more of our proprietary strategies through liquid mutual funds will allow investors and their advisors to utilize alternatives in their asset allocation models."
The 361 Long/Short Equity Fund (class a shares:ALSQX and Class I Shares) seeks to outperform the S&P 500 Index and the HFRX Equity Hedge Index with lower volatility and lower correlation. The Fund employs a strategy that seeks to evaluate and replicate the returns of long/short hedge fund strategies through the use of ETFs. 361 Capital has previously been managing the long/short equity strategy in a separate account portfolio.
The 361 Managed Futures Strategy Fund (class a shares:AMFQX and Class I Shares) seeks positive absolute returns that have a low correlation to the returns of the broad stock and bond markets. The Fund attempts to track the firm’s proprietary 361 Capital Systematic Index, a rules-based index that generates counter-trend signals based on a combination of medium-term price and volume trends on the equity markets. With its actively-managed futures strategy, the Fund’s goal is to capitalise on both up and down moves in various markets. 361 Capital has been offering a similar counter-trend strategy in a hedge fund form.
"We’re convinced that alternatives will play a greater role in most investment portfolios as investors and their advisors become more educated on how to best use them," says Florence. "Our single focus is to create alternative investment products that will help meet that need."
To assist advisors and their clients in understanding and utilising different alternative strategies, 361 Capital has created the "361 Alternatives Education Center." The AEC can be accessed through 361 Capital’s website.