RALEIGH, N.C.--(BUSINESS WIRE)--Hatteras Funds, a provider of unique alternative investment solutions for financial advisors and their clients, today announced it has formed a strategic partnership with Portfolio Advisors, a global private capital firm with a proven track record, to serve as sub-advisor for the Hatteras Core Alternatives Fund.
In 2003, Hatteras Funds created the Core Alternatives Fund to deliver the potential return enhancement produced by a diversified, seasoned evergreen private investment program complemented by the risk mitigation benefits of a portfolio of hedge funds. Hatteras Funds recently communicated with advisors and investors that the Core Fund’s sub-advisor change was a necessary step to improve the Fund’s performance and fulfill its commitment to investors.
Hatteras Funds believes that by incorporating the purchase of secondary interests in private equity, private credit and private real estate funds as a key component to the Core Fund’s portfolio composition, the Fund will be able to maintain a diversified evergreen private investment program while minimizing the j curve effect within the portfolio. To achieve this goal, Hatteras determined that it would be necessary to partner with an investment team who possessed demonstrated experience, depth, and industry relationships. Additionally, Hatteras believes the Fund will benefit from more prudent and strategic utilization of hedge fund strategies specifically designed to offer volatility dampening and liquidity management.
“We selected Portfolio Advisors to manage the private portfolio because of their strong long-term performance track record and deep experience across a breadth of private investment strategies. They possess both the experience, and the necessary relationships, to execute secondary investments successfully,” said Michael Hennen, Head of Investment Management at Hatteras Funds. “Our focus has always been to provide financial advisors with alternative investment solutions that help build better portfolios for their clients.”
Portfolio Advisors or “PA” for short, was founded in 1994 and manages over $36 billion of assets. PA is an independent, employee-owned firm that provides a full range of private equity, private credit and private real estate investment advisory and fund management services to sophisticated investors across North America, Europe and Asia. Given PA’s presence within the private markets’ arena, the firm has established relationships and access to top-tier fund offerings across private equity, private credit, and private real estate.
“We are excited to partner with Hatteras and believe we can deliver meaningful value to both advisors and their clients,” said Brian Murphy, Managing Director of Portfolio Advisors.
The partnership follows a series of strategic enhancements over the past year at Hatteras, including the November 2016 announcement that the firm plans to launch a series of evergreen private investment funds.
About Hatteras Funds
Hatteras Funds provides unique alternative investment solutions for Financial Advisors and their Clients. We believe that all investors should have access to the same sophisticated investment approach and superior portfolio management talent as the largest institutions. A boutique alternative investment specialist founded in 2003, Hatteras Funds offers a suite of innovative products designed to help allocate to alternative investments.
About Portfolio Advisors
Portfolio Advisors, LLC is an independent, employee-owned firm that provides tailored private equity, private real estate and private credit investment solutions through separately managed accounts, commingled fund-of-funds programs and direct funds for institutional investors and wealthy families around the globe. Portfolio Advisors commits client capital through the use of primary partnerships, secondary interests in fund offerings, co-investments and direct mezzanine investments. More than 1,000 limited partners have invested in various Portfolio Advisors sponsored funds. Portfolio Advisors has been an Investment Advisor registered with the U.S. Securities and Exchange Commission since 1994, and is also a Qualified Professional Asset Manager in the U.S. Maintaining offices in the U.S., Europe and Asia, Portfolio Advisors has established a global footprint in a global asset class.
Key Risk Factors:
Please carefully consider the investment objectives, risks, and charges and expenses of the Funds before investing. Investing involves risk; loss of principal is possible. Please consult an investment professional for advice regarding your particular circumstances and read the Prospectus carefully before investing as it contains important information on the investment objectives, composition, fees, charges and expenses, risks, suitability, and tax obligations of investing in the Funds. Copies of the Prospectus and performance data current to the most recent month-end may be obtained online at hatterasfunds.com or by contacting Hatteras at 866.388.6292.
Securities offered through Hatteras Capital Distributors, LLC, 6601 Six Forks Road Suite 340, Raleigh, NC 27615, is a member of FINRA / SIPC. Hatteras Capital Distributors, LLC is affiliated with Hatteras Funds, LP by virtue of common control/ownership. This document is not an offering to subscribe for units of any fund and is intended for informational purposes only.