Key Takeaways
- • Balter Liquid Alternatives, a subsidiary of Balter Capital Management, launched the Balter Discretionary Global Macro Fund, a '40 Act alternative mutual fund sub-advised by Willowbridge Associates Inc.
- • Co-Portfolio Managers Phil Yang and Frank Marrapodi run the fund using Willowbridge's wPraxis Trading Approach at 1X leverage.
- • The fund targets positive absolute returns in most market conditions, with returns intended to be largely uncorrelated with broad equity and fixed income indices.
- • The launch follows the firm's Balter Long/Short Equity Fund (ticker BEQIX), and both funds offer daily liquidity, lower minimums, simplified tax reporting, quarterly portfolio transparency and lower fees than traditional hedge funds.
- • CEO Brad Balter positions the funds as a way to make hedge fund managers with strong records available to a broader investor base in a mutual fund format.
Summary
Balter Liquid Alternatives, a subsidiary of Balter Capital Management, has launched the Balter Discretionary Global Macro Fund, according to Hedgeweek. The fund is sub-advised by Willowbridge Associates Inc. and is managed by co-Portfolio Managers Phil Yang and Frank Marrapodi, who apply Willowbridge's wPraxis Trading Approach at 1X leverage.
The fund's stated objective is to generate positive absolute returns in most market conditions, irrespective of the performance of broad market indices. The firm states that the fund's performance may therefore not be correlated with broad equity or fixed income markets.
The Balter Discretionary Global Macro Fund follows the launch of Balter Liquid Alternatives' initial '40 Act offering, the Balter Long/Short Equity Fund (ticker: BEQIX). The firm says both funds are designed to give hedge fund managers running their strategies pari passu limited partnership-style vehicles, rather than the "hedge fund lite" products it describes as commonplace. Relative to traditional hedge funds, both funds offer daily liquidity, lower investment minimums, simplified tax reporting for shareholders, quarterly full transparency of portfolio holdings and lower fees, while applying the investment approach, risk management and operational due diligence traditionally reserved for institutional and high-net-worth investors.
CEO Brad Balter said the funds build on the firm's philosophy of making great managers available to a wider audience, arguing that hedge fund industry dynamics have caused many managers with strong records to be overlooked. He described the firm's roots as a deep research and due diligence boutique and said the company is not pursuing mass-produced products aimed simply at gathering assets. He characterized the Discretionary Global Macro Fund as the next step in offering Alternative Mutual Funds that address tax, transparency and liquidity concerns for investors.
The fund's stated objective is to generate positive absolute returns in most market conditions, irrespective of the performance of broad market indices. The firm states that the fund's performance may therefore not be correlated with broad equity or fixed income markets.
The Balter Discretionary Global Macro Fund follows the launch of Balter Liquid Alternatives' initial '40 Act offering, the Balter Long/Short Equity Fund (ticker: BEQIX). The firm says both funds are designed to give hedge fund managers running their strategies pari passu limited partnership-style vehicles, rather than the "hedge fund lite" products it describes as commonplace. Relative to traditional hedge funds, both funds offer daily liquidity, lower investment minimums, simplified tax reporting for shareholders, quarterly full transparency of portfolio holdings and lower fees, while applying the investment approach, risk management and operational due diligence traditionally reserved for institutional and high-net-worth investors.
CEO Brad Balter said the funds build on the firm's philosophy of making great managers available to a wider audience, arguing that hedge fund industry dynamics have caused many managers with strong records to be overlooked. He described the firm's roots as a deep research and due diligence boutique and said the company is not pursuing mass-produced products aimed simply at gathering assets. He characterized the Discretionary Global Macro Fund as the next step in offering Alternative Mutual Funds that address tax, transparency and liquidity concerns for investors.
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