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Hedge Fund Seeding

Strategy Overview

Investment approach

Hedge Fund Seeding Portfolios provide capital to start-up and early stage hedge funds. There is potential for enhanced returns through the receipt of profit interests and profit allocations from seeded funds. Additional returns may be generated by monetization of those profit streams. Investors may also benefit from capacity rights that allow them to make direct investments in seeded or subsequent funds.

Key Characteristics

  • Multiple revenue streams may generate higher returns than a typical hedge fund or fund of funds investment
  • Better liquidity than traditional private equity, with 3-4 year lock up of capital per seeded fund
  • Profits interest in active seeded funds continue in perpetuity, subject to a buyout
  • Ongoing profits interest accrue with virtually no capital at risk
  • Profits interest may be monetized via an IPO or private sale

Disclaimer

Please read the simplified prospectus before investing. The amount of risk associated with any particular investment depends largely on your own personal circumstances including your time horizon, liquidity needs, portfolio size, income, investment knowledge and attitude toward price fluctuations. Investors should consult their financial advisor before making a decision as to whether this fund is a suitable investment for them.

Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.

The rate of return or mathematical table shown is used only to illustrate the effects of the compound growth rate and is not intended to reflect future values of the mutual fund or returns on investment in the mutual fund. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and do not take into account sales, redemption, distribution or optional charges or income taxes payable by any unitholder that would have reduced returns.