AXS Alternative Growth Fund
Class I: EEHIX Class A: EEHAX
Seeks to provide investors both upside potential through equity market exposure and downside protection through an innovative portfolio of diversifying strategies.
Capital-efficient equity exposure pursued through S&P 500 index futures contracts.
Balanced risk and reward complemented by a dynamic hedging strategy designed to dampen portfolio risk.
Diversifying programs designed to provide uncorrelated sources of return.
Inception Date: 9/9/2013
Distribution Frequency: Annual
Management Fees: 0.75%
Total Operating Expense: 5.37%
Net Expense*: 1.03%
*The Fund’s investment advisor has contractually agreed to waive its fees and/or absorb expenses of the Fund to ensure that the Fund’s total annual operating expenses do not exceed on an annual basis: 0.99% Class I and 1.24% Class A of the Fund’s average daily net assets effective until January 31, 2023. The Gross/Net Expense Ratio for the Fund does not include costs associated with any over-the-counter derivatives that provide the Fund exposure to the Overlay Strategy. The advisor anticipates that any investment in the Overlay Strategy through a derivative instrument will further indirectly subject the Fund to aggregate management fees of up to 1.25% of notional exposure and performance-based incentive fees of up to 25% of new high net trading profits. The advisor anticipates that the Fund’s average notional exposure to the Overlay Strategy during the current fiscal year will range approximately between 100% and 200% of Fund assets. The performance of the Fund is net of all such embedded counterparty, management and incentive/performance fees.
Ampersand Investment Management is a research-grounded institutional investment manager that develops and manages alternative investment strategies, including long/short equity and managed futures. Ampersand has been an industry leader in structuring and managing innovative solutions that seek to meet the needs of a wide range of investors.
Dr. Ajay Dravid
Chief Investment Officer
There is no assurance that the Fund will achieve its investment objective.
Exposure to the commodities markets may subject the Fund to greater volatility than investments in traditional securities. Many of the derivative contracts entered into by the Fund, the Subsidiary or a trading company will be privately negotiated in the OTC market. These contracts also involve exposure to credit risk, since contract performance depends in part on the financial condition of the counterparty. Credit risk refers to the possibility that the issuer of the security will not be able to make principal and interest payments when due. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. Derivative instruments come in many varieties and have a wide range of potential risks and rewards, and may include futures contracts, options on futures contracts, options, swaps, and forward currency exchange contracts. Derivatives typically have economic leverage inherent in their terms. The use of leverage tends to exaggerate the effect of any increase or decrease in the value of the Fund’s portfolio securities or other investments. Furthermore, derivative instruments and futures contracts are highly volatile and are subject to occasional rapid and substantial fluctuations. Investments in foreign securities could subject the Fund to greater risks, including currency fluctuation, economic conditions, and different governmental and accounting standards. Derivative instruments and futures contracts are highly volatile and are subject to occasional rapid and substantial fluctuations.