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Investment Products and Services Launches

American Century releases new alternative investments fund, and Thornburg Investment Management adds R6 share classes.

By Javier Simon editors@plansponsor.com | April 13, 2017
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American Century Releases New Alternative Investments Fund

The AC Alternative Disciplined Long Short Fund by American Century Investments will be available to clients and investors seeking equities with potentially lower volatility, the firm announced.

"AC Alternatives Disciplined Long Short is a welcome addition because it’s another way to help clients strive to mitigate risk in their portfolios," says Cleo Chang, senior vice president and head of alternative investments for American Century Investments. "We also believe long/short strategies can provide important diversification with the potential for more consistent returns over a full market cycle."

This fund builds on the firm’s AC Alternatives lineup, which it kicked off in 2015.

The fund, formerly known as Disciplined Growth Plus and launched in 2011, has been redesigned to be a long/short equity product with a variable net exposure to equities that will typically range from 30% to 70%.

American Century says it will continue to follow the same investment philosophy with modifications around the amount of the fund that can be long or short based on a dynamic, market-exposure model. These decisions will incorporate short-term market forecast models that have been employed within the firm for decades, enhanced with longer-term market forecasting tools. Previously, Disciplined Growth Plus was a 130/30 fund with 100% net exposure to equities. "We revamped the fund to adapt to changing market dynamics and client preferences," says Chang.

The fund is available in Investor (ACDJX), Institutional (ACDKX), A (ACDQX), C (ACDHX) and R (ACDWX) share classes.

AC Alternatives Disciplined Long Short is managed by Chief Investment Officer, Multi-Asset Strategies & Disciplined Equity, Scott Wittman, CFA, CAIA; and Vice President and Portfolio Manager Yulin Long, CFA.

NEXT: Thornburg Investment Management Adds R6 Share Classes

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