According to the announcement, the fund seeks long-term capital appreciation with an emphasis on risk-adjusted returns and reduced volatility compared to traditional broad-based equity market indices. The fund allocates its assets among what was described as “a carefully chosen group of skilled hedged equity managers who employ various long/short equity investment strategies”. To assist in manager selection, portfolio construction and risk management, Orinda Asset Management has selected SkyView Investment Advisors, an experienced, institutional multi-manager hedge fund advisory firm, to act as the lead sub-adviser to the fund.
“While long/short equity investing has existed for decades, the ability to access this approach with experienced hedge fund managers in a multi-manager construct has historically been limited to high net worth and institutional investors. Given the increased desire for greater transparency, daily liquidity and regulatory oversight by all investors, we are very excited to offer an institutional caliber multi-manager hedged equity mutual fund, and to be partnering with the team at SkyView,” said Lawrence Epstein, chief investment officer for Orinda Asset Management.
According to the firm, the Orinda Multi-Manager Hedged Equity Fund has been constructed to allow focused hedged equity managers the opportunity to seek the most compelling opportunities in their investment universe. The press release notes that the fund can be utilized as either an attractive complement to an alternative asset allocation, or as an adjunct or substitute for traditional active long-only exposure.
“We are delighted to work closely with Orinda Asset Management, and to extend our expertise in manager selection, portfolio construction and risk management for long/short equity strategies to a mutual fund format,” said Steve Turi, chief investment officer for SkyView Investment Advisors. “We believe the convergence of traditional and alternative approaches to money management will accelerate the appeal of this type of fund to both experienced alternative investment managers and a broader investor universe,” he added.
Orinda Asset Management LLC is an independent investment management firm that specializes in offering liquid alternative investment strategies in a mutual fund format to the professional investment adviser community. According to a press release, the firm utilizes a disciplined process to identify suitable alternative investment strategies, “as well as to identify and partner with experienced hedge fund managers to implement these strategies in a mutual fund construct”. SkyView Investment Advisors LLC, an independent investment adviser, specializes in providing alternative investment advisory services and customized multi-manager solutions.