Morgan Creek Tactical Allocation Mutual Fund

SNAPSHOT
  • An open-end mutual fund expressing Morgan Creek’s views on global asset allocation
  • Category: World Allocation
  • Opportunistic Approach: Broad global strategies across asset classes, geographies and sectors
  • Tactical positioning and active management in response to changing risk exposures & market conditions
DAILY NAV
Symbol MAGTX
Nav: $10
Change: -.09
As of Date: 9/06/2013
Inception 09/19/2013
Class I MIGTX
Nav: $10.79*
Change: -.09
As of Date: 9/06/2013
Inception 08/15/2013
Class C MCGTX
Nav: $10
Change: -.09
As of Date: 9/06/2013
Inception TBD
FUND FACTS
*Subject to discretion of Advisor
Fiscal Year End March 31
Liquidity Daily
Terms See Table to right
Minimum Investment $1 Million (Class I)
Portfolio Manager Mark W. Yusko
Fund Fact Sheet Download
Fund Overview Download
2016 ANNUAL REPORT Download
2015 ANNUAL REPORT Download
2015 Semi Annual Report Click Here
2016 Tax Information Click Here
XBRL Click Here
Fiscal Year End TBD
Liquidity TBD
Terms TBD
Minimum Investment TBD
Portfolio Manager TBD
Fund Overview Download
Fund Fact Sheet Download
Additional Literature Click Here
485BPOS Click Here
497 Click Here

Overview

The investment objective of the Morgan Creek Tactical Allocation Fund is to provide long-term total return while utilizing a strategy that seeks lower volatility than a traditional portfolio of equities and fixed income securities. The Fund will incorporate a broad set of global strategies across asset classes, geographies and sectors, including directional as well as long-short strategies. Investment ideas will be generated in collaboration with Morgan Creek’s global network of alternative asset managers. The Fund’s multi-strategy, multi-asset class structure allows it to dynamically shift capital to pursue and attempt to take advantage of potential investment opportunities identified by Morgan Creek’s investment team, seeking to appropriately hedge risks in the market in an effort to minimize losses in times of stress. The Fund will express Morgan Creek’s views on global asset allocation through a number of asset classes including equities, fixed income, currencies, commodities and cash. Morgan Creek has developed this custom investment solution for investors by combining our extensive experience in asset allocation and portfolio construction with a disciplined investment process focused on extracting what we believe to be the most attractive opportunities from our global investment network and a systematic risk management program that seeks to dampen volatility.

Thematic Exposures1as of 09/30/16

LONGSHORTGROSSNET
Equities63.5%-20.6%84.1%42.8%
Systematic Equities-MC Direct
13.9%-13.9%13.9%
Discretionary Equities
11.3%-6.9%18.3%4.4%
Airlines
2.4%-2.4%2.4%
Defense
3.7%-3.7%3.7%
Financials
--0.7%0.7%-0.7%
Healthcare
3.4%-3.7%7.1%-0.3%
Large Cap
1.1%-1.1%1.1%
Qualitative Top Five
0.7%-0.4%1.2%0.3%
Other
--2.1%2.1%-2.1%
Emerging & Frontier Markets
6.1%-6.1%6.1%
Japan Reflation
3.7%-3.7%3.7%
European Recovery
13.8%-13.8%13.8%
Energy & Natural Resources
14.6%-13.7%28.3%0.9%
Fixed Income29.5%-29.5%29.5%
Credit
6.0%-6.0%6.0%
Duration
23.6%-23.6%23.6%
Commodities3.5%-3.5%3.5%
Precious Metals
3.5%-3.5%3.5%
Currency----
Japan Reflation
----
Total Notional Exposure96.5%-20.6%117.2%75.9%

Geographic Exposures1as of 09/30/16

LONGSHORTGROSSNET
North America62.2%-20.6%82.9%41.6%
Emerging & Frontier Markets14.8%-14.8%14.8%
Europe15.2%-15.2%15.2%
Japan4.4%-4.4%4.4%
Total96.5%-20.6%117.2%75.9%

Asset Class Exposures1as of 09/30/16

LONGSHORTGROSSNET
Equities63.5%-20.6%84.1%42.8%
Fixed Income29.5%-29.5%29.5%
Currency----
Commodities3.5%-3.5%3.5%
Total96.5%-20.6%117.2%75.9%

1-Fund holdings are subject to change and should not considered investment advice.

Funds Terms

Class AClass I
Minimum Investment Amount$2,000$1,000,000[1]
Management Fee[2]0.25%0.25%
Maximum Sales Charge (Load) imposed on purchases (as a % of offering price)[3]5.75%NONE
Distribution/Service Fee (12b-1)0.25%NONE
Other Expenses[4]2.37%2.37%
Acquired Fund Fees and Expenses0.21%0.21%
Total Annual Fund Operating Expenses3.06%2.81%
1- Subject to the discretion of the Advisor.
2- The Advisor has voluntarily reduced the management fee to 0.25% through December 2016.
3- For Class A shares, a 1% contingent deferred sales charge (CDSC) is only imposed on Class A shares that were purchased at net asset value (“NAV”) for $1 million or more that are subsequently redeemed within 12 months of purchase.
4- Other Expenses are estimated for the Fund for the current fiscal year.

Performance Summary as of 09/30/16 (annualized for periods longer than one year)

Performance (Net)TickerLast MonthQ3 20161 YearSince Inception
Class IMIGTX0.60%3.96%-1.41%-4.62%
70% MSCI ACWI / 30% Barclays Aggregate0.41%3.84%10.09%5.51%
The performance data quoted here represents past performance. Current performance may be lower or higher than the performance data quoted above. Past performance is no guarantee of future results. The investment return and principal value of an investment will fluctuate so that investor’s shares, when redeemed, may be worth more or less than their original cost. The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses of the Fund, until at least July 31st, 2017, to ensure that the net annual fund operating expenses will not exceed 2.00% for Class A and 1.75% for Class I excluding interest and dividend expense associated with securities sold short, subject to possible recoupment from the Fund in future years. Without these waivers, the Fund’s total annual operating expenses would be 3.08% and 2.83% respectively. Please review the fund’s prospectus for more information regarding the fund’s fees and expenses. Performance shown is for Class A and I shares (please see a prospectus for information about other share classes). For performance information current to the most recent month-end, please call toll-free 855-623-8637. MSCI ACWI Index— this is a free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. The MSCI ACWI consists of 46 country indices comprising 23 developed and 23 emerging market country indices. Source: MSCI Barra.Barclays Aggregate Bond Index — this is a composite index made up of the Barclays Government/Corporate Bond Index, Mortgage-Backed Securities Index and Asset-Backed Securities Index, which includes securities that are of investment-grade quality or better, have at least one year to maturity and have an outstanding par value of at least $100 million. Definition is from Barclays.