MARIETTA, GA, September 30, 2010 /24-7PressRelease/ -- Lindner Capital Advisors (LCA) announces that it is now offering a managed futures solution for non-accredited investors. Using the MutualHedge instrument from Equinox Fund Management, LCA is incorporating a managed futures component into its Contemporary Portfolio Series, designed to offset downside risk.
MutualHedge is a portfolio of actively managed Commodity Trading Advisor (CTA) programs structured as a mutual fund. "With this fund, we can bring our unique investment approach to non-accredited investors," said LCA President Randal Langdon. "Retail investors can now incorporate managed futures into their portfolios just like institutional investors."
MutualHedge has distinct advantages over other alternative asset class investments such as limited partnerships. With its diversified access to the world's commodity, interest rate, equity and currency markets, it provides an investment class that is designed to deliver negative correlation to equities, bonds and other traditional investments. In this way, it may offer profit potential in bull and bear markets by exposure to both long and short strategies. It also offers daily liquidity and pricing.
"We feel a tremendous sense of accomplishment in gaining Lindner Capital Advisors as an enthusiastic adopter of MutualHedge Frontier Legends Fund, as they acknowledge the value of MutualHedge and its objective of lowering volatility and providing non-correlation, both of which are essential to managing a successful investment portfolio in this uncertain economic climate," said Bob Enck, President and CEO of Equinox Fund Management.
LCA introduced its Contemporary Portfolio Series in 2009, which initially was available only to accredited investors through qualified registered investment advisors. With the inclusion of MutualHedge, the Contemporary Portfolio option is also available to non-accredited investors.
"The effective use of managed futures and alternative investment asset classes requires a portfolio commitment of about 25% of the portfolio. While an overall portfolio too heavy in managed futures may be inadvisable for individual investors, one that's too light, or under-weighted, lacks a sufficient impact against volatile and fast-moving markets," Langdon said.
Disclosure Statement: Past results are not indicative of future results. There is risk of loss when investing in managed futures or [hedge funds]. This is not an offer to sell securities.
Lindner Capital Advisors is a registered investment adviser and does not offer securities for sale. There is a risk of loss when investing according to the advice provided based upon the Contemporary Portfolio Series.
Because the Lindner Contemporary Portfolio Series includes advice related to investing in managed futures, investors should carefully consider whether their financial condition permits then to participate in a commodity pool. This brief statement cannot disclose all the risks and other factors necessary to evaluate an individual's participation in a commodity pool. Therefore, before deciding to participate in a commodity pool, carefully study the required disclosure documents that will be provided to you, including a description of the principal risk factors of the investment, a complete description of each expense to be charged to a pool and a statement of the percentage return necessary to break even, that is, to recover the amount of an initial investment. Managed futures trading of the type related to the lindner contemporary portfolio series involve a high degree of risk and can quickly lead to large losses as well as gains; such trading losses can sharply reduce the net asset value of a pool and consequently the value of an interest in a pool. Commodity pools often engage in leveraging and other speculative investment practices can be highly illiquid, are not required to provide periodic pricing or valuation information to investors, may involve complex tax structures and delays in distributing important tax information, are not subject to the same regulatory requirements as mutual funds, often charge high fees which may offset any trading profits, and in many cases the underlying investments are not transparent and are known only to the investment manager. In addition, restrictions on redemptions may affect your ability to withdraw your participation in a pool. There is often no secondary market for an investor's interest in alternative investments, and none is expected to develop. Often, alternative investment fund and account managers have total trading authority over their funds or accounts; the use of a single advisor applying generally similar trading programs could mean lack of diversification and, consequently, higher risk. Further, commodity pools may be subject to substantial charges for management, advisory and brokerage fees. Pools that are subject to these charges may need to make substantial trading profits to avoid depletion or exhaustion of their assets. Be aware that commodity pools may trade foreign futures or options contracts and that transactions on markets located outside the United States, including markets formally linked to a United States market, may be subject to regulations which offer different or diminished protection to a pool and its participants. Further, United States regulatory authorities may be unable to compel the enforcement of the rules of regulatory authorities or markets in non-United States jurisdictions where transactions for a pool may be affected.
About Lindner Capital Advisors
Robert Lindner, Founder and CEO of Lindner Capital Advisors, is a fee-based investment advisor who has specialized in building portfolios with extensive diversification and asset class coverage since 1996. Lindner Capital Advisors offers fee-based turnkey asset management programs designed for the clients of other financial representatives of broker/dealers, certified public accountants, attorneys and independent registered investment advisors. To learn more, visit www.lcaus.com.
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