August 12, 2010

Natixis Global Associates Rolls Out Managed Futures Mutual Fund

Natixis Global Associates added another alternative investment fund to its product lineup on Monday, August 9, with the launch of a managed futures mutual fund. AlphaSimplex Group (ASG), an affiliate, will manage the new product, Natixis ASG Managed Futures Strategy Fund.

The fund pursues its absolute return objective using multiple trend-following models across a broadly diversified portfolio of asset classes and markets, Natixis said in a statement. ASG seeks to limit risk by managing to a strict annualized volatility target and by employing dynamic drawdown controls.

"Strategies like managed futures are among the few diversifying investment styles that can be effective even in the midst of a market crisis," Andrew Lo, one of the new fund's portfolio managers, said in the statement. "This fund answers a growing need for a broader set of diversification tools that are available in a highly liquid, transparent and passive low-cost format." Lo founded ASG in 1999, and serves as chief investment strategist.

The Natixis ASG Managed Futures Strategy Fund is a U.S. '40 Act fund, available only to U.S. investors through A, C and Y shares. According to the statement, the fund is designed to offer a risk-controlled managed futures strategy, using highly liquid futures and currency forward contracts to gain desired market exposures. Fund management employs a proprietary trend-following approach that dynamically adjusts position weights in response to changing market conditions. An annualized volatility target and dynamic drawdown controls help manage its risk.

The minimum investment is $2,500 for A and C shares, $100,000 for Y shares.

Natixis Global Associates is the distribution arm of Natixis Global Asset Management, which is headquartered in Paris and Boston. As June 30, it had $651 billion in assets under management. The firm, which currently offers investors six alternative investment products, launched the Westpeak ActiveBeta Equity Fund in early August.

Michael S. Fischer (msf7@columbia.edu) is a New York-based financial writer and editor and a frequent contributor to WealthManagerWeb.com.

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