ACM High Yield Fixed Income Fund
Seeks to achieve consistent, monthly returns through a diversified fixed income allocation, with a volatility based market hedge
Fund Overview
The ACM High Yield Fixed Income Fund seeks to provide investors with consistent returns by identifying unique opportunities in fixed income and credit markets, both public and private, while applying a dynamic volatility based broad market hedge to safeguard principal against cyclical and event driven market drawdowns.
Our investment team takes a quantitative risk based approach to its portfolio allocation, by seeking uncorrelated diversification across market segments and geographies, while balancing its income producing strategy. The hedging part of the strategy has successfully been applied to other funds managed by ACM, where it was able to minimize draw downs in periods of high market stress, such as August 2015 and February 2018. Subsequently, the same hedging strategy was effectively applied directly in the ACM High Yield Fixed Income Fund to avoid losses in February, March and April 2020 during the Coronovirus crisis.
Highlights
Annualized Return: 7.95%
Range of Monthly Return: +2.378% to +0.032%
Sharpe Ratio: 2.09
Sortino Ratio: 2.50
Historical Return
Monthly returns are available to prospective accredited investors through:
or by Contacting Us for an Investment Prospectus.
Prior performance is not indicative of future results. The awards and rankings listed are provided by each individual database, and are based on a comparison with other firms and funds in the same category, listed in each individual database. The awards and rankings do not represent a comparison with all firms or funds.
Past performance is not a guarantee of profits. Investments may lose value.
Please read the full disclaimer in the Private Placement Memorandum for full details on risks and performance.
Risks
The fund's risk primarily relates to the default or failure of the fixed income or credit instruments it invests in. Risk is limited by allocating no more than 1.5% of the portoflio to any individual issuer, and diversifying across various, generally uncorrelated sectors and geographic regions. Systemic global risk factors, such as pandemics can create broad based correlation across asset classes that would not otherwise be forseeable and not sufficiently addressed through diversification alone. Such risk is managed by a global, volatility driven dynamic hedge, which although previously successful, cannot be guaranteed to always be fully succesful as to its heding coverage or timeliness, which can lead to losses.
The potential for profit is not guaranteed, and risk of loss exists. Investments may lose value.
Minimum Investment
The minimum investment is currently $100,000. Smaller investments may be considered on a case by case basis.
Fees
Subscription Fee: None (currently)
Management Fee: 1% p.a.
Incentive Fee: 10% of profit above High Water Mark
Liquidity
The fund's strategy focuses on publicy traded or private liquid fixed income investments. This strategy provides for higher liquidity than typically available in fixed income or private credit strategies, and redemption from the fund is typically available on a monthly basis.
This information does not constitute an offering of the Fund. Please request an Offering Memorandum for full details of the Fund. Investments are subject to risk.