Invest in a mix of stocks and world-class alternative investment strategies that are otherwise only accessible to institutional investors and generate high expected returns with less risk compared to all equity strategies.
Key features
Exclusive access
Many of the alternative strategies in the fund have individual minimum investment amounts of EUR 5 million and more.
Long track record of reduced drawdowns
Since inception in 2014 the largest drawdown was -15%.
Easy and free access
The Sunrise Active Opportunities fund is available via standard brokerage accounts and does not have a sales or redemption charge
Investment strategy
Equities are the prime choice for long term investments. However, they come with a significant caveat: the valuation of companies are highly volatile. Putting many companies in a fund reduces that volatility somewhat, however, the investor in an all equity fund always needs to be prepared for draw downs of 30% and more. Knowing this is one thing, beingable to withstand the urge to sell at the time of a large draw down is much harder than one would think, especially when the stakes are high. And no matter how much money one has, a 30% draw down on one million Euro is always a lot of money. Thus, in particular for very large investment amounts, we believe an investment strategy that reduces the amplitude of draw downs is a better fit than an all equity strategy.
Traditionally, the means to reduce the volatility of equities was to add bonds and other traditional asset classes like gold or commodities. We don't like gold as an asset class because its long term real return is more or less zero, which makes sense given that there is no monetary yield attached to it. And while we appreciate high quality government bonds for their sometimes negative correlation with equities, we think a well structured portfolio of time tested alternative investment strategies can make more money and provides similar downside protection.
We have been investing in alternative assets for more than a decade. Today, the portfolio of alternative investment managers in the Sunrise Active Opportunities fund is a tested selection of blue chip hedge funds. The fund has been invested in GoldenTree's master fund for almost a decade. In addition to GoldenTree, the fund currently invests in two other rmanagers focusing on event driven opportunities: KiteLake and Empyrean. In addition to managers focusing on event driven strategies, the fund holds a position in Marshall Wace's TOPS strategy, which historically has shown very low correlation with equity markets while producing strong returns. And the fund recently invested in what we believe to become a star in the European credit investing space: a fund called Axebrook. And, to ensure downside protection in times of high downside price pressure on equities, the fund holds a large position in Saba Capital's master fund, a long volatility strategy that has historically done very well in months with large equity draw downs.
The strong performance of the funds we invest in and the lower fee load of our fund has enabled us to out perform our main competitors in the sophisticated mixed allocation space, LGT's Princely Strategy and Flossbach von Storch's Multiple Opportunities strategies, over the last five years. And our return comparison does not include any sales charge which may come with those funds. The Sunrise Active Opportunities fund has no sales and no redemption charge.
Fund manager
The Sunrise Active Opportunities Fund is run by Thomas Niss together with Christian McFadden. Both have a long history of investing in alternative asset managers.
Data, Documents and Performance
Further information on opportunities and risks as well as the fund's financial statements can be found on the management company's website IQAM Invest.