Sub-Advisor Strategies

Alpha Hedged Strategies Fund (ALPHX) has 27 active sub-advisors.
Beta Hedged Strategies Fund (BETAX) has 23 active sub-advisors.

For the most current list of sub-advisors by Fund and allocation percentages, please consult each Fund’s respective fact sheet or click here.

Alpha Equity Management, LLC - Hartford, CT

REIT Long/Short Equity - strategy is designed to be + or – up to 20% net long or short REIT instruments, to capture inefficiencies in market pricing of U.S. commercial real estate, through publicly traded securities. The strategy attempts to have its long positions outperform its short positions, whether the market is rising or falling, to obtain its return.

Portfolio Management: Kevin Means - Kevin founded AEM in 2000, and is the lead manager in real estate securities. From 1994 to 1999 Kevin was Chief Investment Officer at Aeltus Investment Management, where he lead the equity investment staff. He was lead portfolio manager on various mutual funds totaling $11 billion. Kevin has been in the investment industry since 1988.

International Long/Short Equity - strategy is designed to be + or – up to 20% net long or short international equity securities, to capture inefficiencies in market pricing of international equity securities, primarily traded in the U.S., especially American Depository Receipts. It is not designed to take significant net exposures to any particular country, region or currency.

Portfolio Management: Vince Fioramonti - Vince joined AEM in 2002 as a partner. He is the lead manager in international equities. From 1994 to 2002 Vince was a Sr. Portfolio Manager with Aeltus Investment Mgt., overseeing all international equity portfolios, managing over $700 million in equity assets and a team of professionals. Vince has been in the investment industry since 1988.

AlphaStream Capital Management, LLC - San Francisco, CA

Momentum Long/Short Equity Market Neutral - strategy is designed to be market neutral utilizing long & short positions in common stock, preferred stock and convertible securities of U.S. and foreign issuers. This strategy focuses on the relative near-term price performance of the companies, taking long positions in companies Twin feels are poised to continue to out-perform their peer group, and short positions in companies that may continue to under-perform their peers.

Portfolio Management: Stephen Marsh and Robert Tymoczko - Stephen and Robert co-founded AlphaStream in 2002. Prior to co-founding AlphaStream Stephen was lead portfolio manager at Zurich Scudder Investments for tax-managed institutional accounts and co-head of US quantitative equities. Prior to co-founding AlphaStream Robert was lead portfolio manager and co-head of US quantitative equities at Zurich Scudder Investments overseeing portfolios ranging from style neutral to small cap mutual funds and separate accounts.

Castle Peak Asset Management, LLC - San Francisco, CA

Growth Long/Short Equity - strategy employs long and short trading in primarily U.S. domestic equity securities. This strategy attempts to achieve capital appreciation and capital preservation with low to moderate correlation to market indices.

Portfolio Management: David E. Ciruli and Brian G. Lancaster – David and Brian co-founded Castle Peak in 2003. Prior to co-founding Castle Peak David was a managing director of institutional equity sales at Banc of America Securities LLC. Prior to joining Banc of America, he was with Dean Witter Reynolds. Prior to co-founding Castle Peak Brian was a managing director of institutional equity sales at Banc of America Securities LLC. Prior to joining Banc of America, he was an analyst with Montgomery Securities.

Concise Capital Management, LP - Coral Gables, FL

Deep Value Hedged Income – strategy is designed to invest primarily in high yield bonds (long and short), which may include stressed or distressed securities, targeting recession resistant companies. This strategy attempts to preserve principal and achieve above average total returns.

Portfolio Management: Tom Krasner and Glenn Koach – Tom is Principal of Concise. Prior to joining Concise Tom was spent over 15 years in distressed debt and high yield bonds, most recently as Executive Vice President of Harch Capital Management. Glenn is President of Concise. Prior to joining Concise Glenn co-founded Riverside Capital Advisers, an investment management firm specializing in short-term, high yield securities. Glenn has over 17 years of experience in managing short-term high yield funds.

Deltec Asset Management, LLC - New York, NY

Global Hedged Income - strategy employs trading in global securities and financial instruments, with an emphasis on sovereign fixed income securities. This strategy attempts to add value through country selection, market selection, asset allocation, portfolio structure, security selection, duration management and arbitrage.

Portfolio Management: Arthur Byrnes – Arthur joined Deltec in 1971. He is Senior Managing Director, Investment Policy/Portfolio Management at Deltec and is responsible for all aspects of the firm’s emerging markets investment activities including the management of emerging markets debt and equity portfolios. Arthur holds a BA degree from Harvard College and an MBA degree from Stanford University Graduate School of Business.

Duncan-Hurst Capital Management, L.P. - San Diego, CA

Portfolio Management: William H. "Beau" Duncan, Jr. – Beau founded Duncan-Hurst in 1990. He is Chief Executive Officer and Chief Investment Officer. Prior to founding Duncan-Hurst, he was Managing Director of Growth Equities at Pacific Century Advisers Inc. and a research analyst at both Security Pacific Bank and Bateman Eichler, Hill Richards, Inc. Beau holds a BS degree from North Carolina State University and a MBA degree from California State University. He has more than 36 years of investment experience, specializing in growth equity strategies.

FrontFour Capital Group, LLC - New York, NY

Distressed Securities & Special Situations – strategy is designed to invest long and short in the debt, equity or trade claims of companies in financial distress. Such securities typically trade at substantial discounts to par value, and may be attractive to investors when managers perceive a turnaround will materialize. The strategy may also invest in special situations where a corporate event such as a merger, spin-off or other significant action is announced or anticipated.

Portfolio Management: Carlton Klein – Carlton is the Chief Investment Officer for FrontFour. Prior to joining FrontFour he was the fixed income and distressed portfolio manager at Pirate Capital LLC. Prior to that Carlton was a managing director and Chief Risk Officer at Citigroup Alternative Investments. Carlton holds a BS degree from Worcester Polytechnic Institute and an MBA degree from Harvard Business School.

Gabelli Asset Management Company - Rye, NY

Merger Arbitrage - strategy is designed to primarily invest in announced merger and acquisition transactions, focusing on smaller cash deals with higher relative spreads. The strategy also seeks to allocate up to 30% to companies identified as trading at a significant discount to their intrinsic or private market value, that may be attractive acquisition targets.

Portfolio Management: Mario Gabelli – Mario is Chairman, Chief Executive Officer and Chief Investment Officer for Gabelli, and one of the pre-eminent figures of the investment management industry. He has been featured on prominent financial news TV shows and is frequently quoted and written about in industry publications. Mario founded Gabelli in 1977 as a broker-dealer and has since grown it into a diversified financial services corporation.

Goldberg Advisers, LLC - San Francisco, CA

Energy and Natural Resources – strategy employs long and short trading in primarily U.S. domestic equity securities and master limited partnerships in the energy and natural resources sectors. This strategy attempts to achieve capital appreciation and capital preservation with low to moderate correlation to market indices.

Portfolio Management: John Goldberg – John founded Goldberg in 2005 and is Managing Partner. Prior to founding Goldberg John was a portfolio manager at Hahn Capital Management, where he built and managed an equities portfolio. Prior to joining Hahn he was an equity research analyst for Wells Capital Management, covering various industries.

Graybeard Capital, LLC - Winter Park, FL

Equity Options Overlay – strategy is designed to invest in equity and equity-related U.S. securities and utilizes options to mitigate downside exposure. This strategy attempts to preserve capital while producing returns, irrespective of market direction.

Portfolio Management: Tony Gray – Tony co-founded Graybeard in 2002 and is lead portfolio manager. Prior to co-founding Graybeard, Tony was Chief Investment Officer of SunTrust Bank, where he managed the Corporate Equity Fund. While at SunTrust, Tony also founded STI Capital Management, which held over $15 billion in assets. Tony has been in the investment industry since 1980.

Hovan Capital Management, LLC - Belvedere, CA

Healthcare/Biotech Long/Short Equity - strategy employs long and short trading primarily in public equities of industry groups within the healthcare sector. This strategy attempts to provide long term capital appreciation while minimizing volatility.

Portfolio Management: Michael White and Melinda Lee – Michael joined Hovan in 2006 as a portfolio manager. Prior to joining Hovan he was a portfolio manager and healthcare equity analyst at Seneca Capital Management. Michael has been in the investment industry since 1993. Melinda joined Hovan in 2006 as a portfolio manager. Prior to joining Hovan she was a biotechnology sector analyst at TIAA-CREF. Melinda has been in the investment industry since 1998.

KDC Investment Management, LP - New York, NY

Portfolio Management: Kate Kutasi – Kate is the Portfolio Manager and Director of Distressed & High Income Investing at Kellner DiLeo which she joined in 2005. Prior to joining Kellner she was Senior Vice President/Director of High Yield, Distressed and Private Securities Research at Alliance Capital Management, L.P. Prior to Alliance, she was a Vice President at Continental Illinois Bank. Throughout her career, Kate has been influential in the restructuring of numerous private and public investments, including senior debt, mezzanine investments and equity. Kate has over 25 years of experience in distressed debt.

Nicholas Investment Partners, L.P. - San Diego, CA

Convertible Bond Arbitrage - strategy is designed to be market neutral, and to take advantage of perceived discrepancies in the market prices of certain securities. This strategy typically utilizes long positions in the convertible bond and short positions in common stock of the same company.

Portfolio Management: John D. Wylie - John is the Portfolio Manager of the Convertible Bond Arbitrage strategy at Nicholas. Prior to joining Nicholas, John was co-founder and portfolio manager of CapitalWorks Investment Partners, where he was lead portfolio manager for convertible arbitrage and micro cap strategies. Previously, John was President of Nicholas Applegate Mutual Funds and Chief Investment Officer of Investor Services Group. Prior to joining Nicholas Applegate, John worked with Metropolitan Life Insurance Company. John has been in the investment industry since 1981.

Opportunity Research Group, LLC - Los Angeles, CA

Portfolio Management: Mark Minichiello – Mark is a Portfolio Manager at Opportunity Research. Mark was a founding principal of Spin-Off Advisors, LLC in 1998. Prior to joining Spin-Off, he was the Chief Operating Officer of High Yield Analytics, a registered broker/dealer. Mark has also co-published “The Distressed Situation Report,” a monthly advisory report. Mark has been in the investment industry since 1996.

Osage Energy Partners, LP - The Woodlands, TX

Portfolio Management: Richard Duszynski – Richard co-founder and managing director of Osage. Richard has been active in the energy investment business since 2003 when he established Mergent Energy Group, a private equity fund. Prior to that he worked in the energy business for 22 years. Richard holds a BS degree in Chemical and Petroleum Refining Engineering for the Colorado School of Mines and an MBA degree from the University of Notre Dame.

Pacificor, LLC - Santa Barbara, CA

Portfolio Management: Andrew Mitchell – Andrew is Chief Investment Officer of Pacificor. Prior to joining Pacificor, he was Vice President and co-portfolio manager of high yield and convertible funds at ING. Prior to that Andrew was Vice President and senior high yield analyst at Merrill Lynch Asset Management. Andrew has been in the investment industry since 1992.

Quattro Global Capital, LLC - New York, NY

Portfolio Management: Sherri Andrews – Sherri is a Portfolio Manager at Quattro. Prior to joining Quattro she was a Managing Director and Head of Distressed and High Yield Research at BNP Paribas. Prior to that she was a distressed analyst at Oppenheimer & Co. Sherri has been in the investment industry since 1985.

Sage Capital Management - Sarasota, FL

Portfolio Management: Peter deLisser - Peter founded Sage in 1988, and is Managing Member and lead portfolio manager. Prior to founding Sage he was on the Morgan Stanley institutional sales and trading convertible desk. Peter has 25 years of convertible securities experience.

Seagate Global Advisors, LLC - Redondo Beach, CA

Global Hedged Income – strategy employs trading in global securities and financial instruments, with an emphasis on sovereign fixed income securities. This strategy attempts to add value through country selection, market selection, asset allocation, portfolio structure, security selection, duration management and arbitrage.

Portfolio Management: James Pan – James is a Portfolio Manager and Trader at Seagate. Prior to joining Seagate he worked for SAFE (China’s State Administration of Foreign Exchange). Prior to that he was Assistant Economist for Foreign Exchange, Chief Dealer responsible for the Money Market Trading Desk and Portfolio Manager for the Foreign Exchange Reserve Department.

Simran Capital Management - Chicago, IL

Deep Value Hedged Income - strategy is designed to invest primarily in high yield bonds (long and short), which may include stressed or distressed securities, targeting recession resistant companies. This strategy attempts to preserve principal and achieve above average total returns.

Portfolio Management: Mesh Tandon and Jon Thomas - Mesh founded Simran in 2005 and is a Managing Partner. Prior to founding Simran Mesh introduced an innovative approach to portfolio management and high yield research. He is highly regarded in the industry. Mesh has been in the investment industry since 1996. Jon is a managing partner of Simran. Prior to joining Simran, Jon had extensive experience in structuring mergers and acquisitions transactions, high yield offerings, loan syndications and other company restructurings. Jon has been in the investment industry since 1997. Simran was awarded the “Emerging Manager of the Year” award at Opal Financial Group’s 2007 Emerging Manager Summit. The award judging panel was comprised of industry specialists, institutional and private investors. Judging decisions were based on performance, qualitative and structural criteria.

Smith Breeden Associates, Inc. - Chapel Hill, NC

Fixed-Income Arbitrage - strategy is designed to be market neutral relative to popular fixed-income and equity indices. It is designed to take advantage of perceived market price imbalances between various sectors within the fixed-income securities markets. This strategy typically utilizes off-setting, or hedged positions in various fixed income and derivative securities.

Portfolio Management: John B. Sprow and Jonathan M. Duensing - John is a Principal and Senior Portfolio Manager at Smith Breeden, and has managed many short duration, enhanced S&P 500 and levered strategies. John has been in the investment industry since 1987. Jonathan is a Senior Portfolio Manager at Smith Breeden, focusing on corporate/credit related fixed-income securities. Jonathan has been in the investment industry since 1996.

Starboard Capital Partners, L.P. - Houston, TX

Equity Options Overlay - strategy is designed to invest in equity and equity-related U.S. securities and utilizes options to mitigate downside exposure. This strategy attempts to preserve capital while producing returns, irrespective of market direction.

Portfolio Management: Robert P. Ross, Jr. – Robert is President, Chief Executive Officer and founder of Starboard. Prior to founding Starboard, he founded The Ross Capital Corporation, specializing in dividend capture for corporations utilizing various hedging strategies Robert had developed. Prior to that Robert was the Chief Investment Officer at the Israel Discount Bank, Ltd. Robert has been in the investment industry for over 30 years.

Sunnymeath Asset Management, Inc. - Red Bank, NJ

Deep Discount Value Long/Short Equity - strategy is designed to be up to 30% net long common stock, preferred stock and convertible securities of U.S. and foreign issuers. This strategy is typically constructed to yield a moderate beta and also seeks to dampen the effects of industry, sector, market capitalization and other potential bias exposures, where possible. This strategy focuses on the fundamental valuations relative to current market price of the companies.

Portfolio Management: James O’Mealia – James is the founder and President of Sunnymeath. Prior to founding Sunnymeath James was Vice Chief Investment Officer at Fox Asset Management, managing $3 billion in institutional equity, balanced and fixed income accounts. Prior to that James was Chief Operating Officer at McGlinn Capital Management, where he managed the firm’s equity and high yield investments and directed research.

Twin Capital Management, Inc. - McMurray, PA

Portfolio Management: Geoffrey Gerber, PhD - Geoff founded Twin in 1994, and is currently President and Chief Investment Officer. Prior to founding Twin, Geoff had institutional investment management experience at both Mellon Equity Associates and Prudential Asset Management Company. He has been in the investment industry since 1980.

Venus Capital Management, Inc. - Boston, MA

Global Long/Short Equity - strategy is designed to be + or – up to 30% net long & short international equity securities, emphasizing emerging trends and stock specific opportunities in the international market. It is not designed to take significant net exposures to any particular country, region or currency.

Portfolio Management: Sandy Mehta – Sandy is the Chief Investment Officer at Venus. Prior to joining Venus he was a portfolio manager at Wellington, where he managed $3 billion in core global/international assets. Prior to that he was a portfolio manager at Putnam. Sandy has been in the investment industry since 1988.

Viewpoint Investment Partners - San Diego, CA

Portfolio Management: Richard S. Coons – Richard is President and Chief Investment Officer at of Viewpoint. Prior to his employment at Viewpoint, Richard spent ten years as Principal and Senior Portfolio Manager at Wall Street Associates, prior to that he was President of the Alliance Capital Management Technology Fund. Richard holds a BS degree from San Diego State University and a Masters degree from UCLA.

Zacks Investment Management, Inc. - Chicago, IL

Earnings Revision Long/Short Equity Market Neutral - strategy is designed to be market neutral utilizing long & short positions in common stock, preferred stock and convertible securities of U.S. and foreign issuers. This strategy employs the Zacks proprietary research model, which focuses on the patterns of analyst revisions to earnings estimates, and seeks to identify trends that the market has not fully discounted in its current pricing of securities.

Portfolio Management: Benjamin Zacks - Ben is the President and Senior Portfolio Manager, overseeing the investment process at Zacks Investment Management. Prior to founding ZIM, he was Executive Vice President of Zacks Investment Research and was responsible for product development and marketing. Ben has been in the investment industry since 1978.

The Funds’ investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by clicking here. A hard copy is available by calling 1-877-LOW-BETA (569-2382). Read it carefully before investing.

About Risk:
Certain hedging techniques and leverage employed in the management of the Funds may accelerate the velocity of possible losses. Short selling involves the risk of potentially unlimited increase in the market value of the security sold short, which could result in potentially unlimited loss for the Funds. Derivatives involve investment exposure that may exceed the original cost and a small investment in derivatives could have a large potential impact on the performance of the Funds. Options held in the Funds may be illiquid and the fund manager may have difficulty closing out a position. The Funds may also invest in:

smaller capitalized companies - subject to more abrupt or erratic market movements than larger, more established companies;
foreign securities, which involve currency risk, different accounting standards and are subject to political instability;
securities limited to resale to qualified institutional investors, which can affect their degree of liquidity;
shares of other investment companies that invest in securities and styles similar to the Funds, resulting in a generally higher investment cost than from investing directly in the underlying shares of these funds.

The Funds intend to utilize these individual securities and hedging techniques in matched combinations that are designed to neutralize or offset the individual risks of employing these techniques separately. Some of these matched strategies include merger arbitrage, long/short equity, convertible bond arbitrage and fixed-income arbitrage. There is no assurance that these strategies will protect against losses. The Funds are non-diversified and therefore may invest in the securities of fewer issuers than diversified funds at any one time; as a result, the gains and losses of a single security may have a greater impact on the Funds’ share price.

Because the Funds are fund-of-funds, your cost of investing in the Funds will generally be higher than the cost of investing directly in the shares of the mutual funds in which it invests. By investing in the Funds, you will indirectly bear your share of any fees and expenses charged by the underlying funds, in addition to indirectly bearing the principal risks of the funds. Please refer to the prospectus for more information about the Funds, including risks, fees and expenses.

Alpha is an annualized return measure of how much better or worse a fund’s performance is relative to an index of funds in the same category, after allowing differences in risk. Beta measures the correlation and magnitude a fund moves in relation to a general market benchmark.

Mutual fund investing involves risk; loss of principal is possible. Please consult an investment professional for advice regarding your particular circumstances. An investment in the Funds may not be suitable for all investors.

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