Seeking to enhance risk-adjusted returns through strategic asset allocation to tax-managed equities and futures
MINNEAPOLIS, Jan. 29, 2025 (GLOBE NEWSWIRE) -- LoCorr Funds, a leader in low-correlating alternative investments, is pleased to announce the launch of the LoCorr Strategic Allocation Fund (LSAIX, LSAAX), a daily liquid mutual fund designed to help investors capture equity market upside while mitigating downside losses during periods of market stress. The Fund combines tax-managed equities and multi-manager futures strategies to deliver a tax-efficient solution for navigating today's volatile markets and to position portfolios for long-term success.
The Fund employs low correlating and complementary investment strategies targeting approximately 50% exposure to a tax-managed U.S. Equity strategy and 50% exposure to trend following and other futures strategies. The product's equity exposure includes a distinctive, active tax-loss harvesting process that seeks to improve the overall tax efficiency by potentially offsetting gains in the portfolio. The futures exposure takes long and short positions across equities, fixed income, currencies, and commodities in more than 250 global markets, providing diversification when stocks and bonds struggle. The Fund follows a strategic asset allocation strategy and is rebalanced daily.
"We are excited to offer advisors access to a next-generation strategy diversifying equity risk by combining tax-managed equities and managed futures to position the portfolio for better risk-adjusted returns,” said Kevin Kinzie, CEO of LoCorr Funds. "With markets at all-time highs, we have seen a growing appetite for strategies that can profit if the current equity bull market continues but can also potentially mitigate the downside if we enter a bearish environment.”
The equity tax-managed portion is sub-advised by Parametric Portfolio Associates LLC, while the futures portfolio is sub-advised by BH-DG Systematic Trading LLP, Crabel Capital Management LLC, and P/E Global LLC.
The Strategic Allocation Fund joins the recently launched Hedged Core Fund (LHEIX, LHEAX), along with LoCorr's suite of five long-standing mutual funds, each with track records over a decade, and a private fund that formed in 1990.
About LoCorr Funds
LoCorr Funds is a leading provider of low-correlating investment strategies, founded on the belief that non-traditional investment strategies with low correlation to stocks and bonds can reduce risk and help increase portfolio returns. LoCorr offers investment solutions that not only provide the potential for positive returns in rising or falling markets but also help to achieve diversification in investment portfolios. LoCorr Funds is headquartered in Excelsior, MN. For more information, please visit www.LoCorrFunds.com or call 1.888.628.2887.
The Strategic Allocation Fund is a recently organized management investment company with no operating history. As a result, prospective investors do not have a track record or history on which to base their investment decisions.
The Fund's 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 calling 1.855.LCFUNDS, or visiting www.LoCorrFunds.com. Read it carefully before investing.
Mutual fund investing involves risk. Principal loss is possible. The Fund invests in foreign investments and foreign currencies which involve greater volatility and political, economic and currency risks and differences in accounting methods. The Fund may make short sales of securities, which involves the risk that losses may exceed the original amount invested. Investing in commodities may subject the Fund to greater risks and volatility as commodity prices may be influenced by a variety of factors including unfavorable weather, environmental factors, and changes in government regulations. The Fund may invest in derivative securities, which derive their performance from the performance of an underlying asset, index, interest rate or currency exchange rate. Derivatives can be volatile and involve various types and degrees of risks, and, depending upon the characteristics of a particular derivative, suddenly can become illiquid. Derivative contracts ordinarily have leverage inherent in their terms which can magnify the Fund's potential for gains or losses through increased long and short position exposure. The Fund may access derivatives via a swap agreement. A risk of a swap agreement is the risk that the counterparty to the agreement will default on its obligation to pay the Fund. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in Asset-Backed, Mortgage-Backed, and Collateralized Mortgage-Backed Securities include additional risks that investors should be aware of such as credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. The Fund may use leverage which may exaggerate the effect of any increase or decrease in the value of portfolio securities or the Net Asset Value of the Fund, and money borrowed will be subject to interest costs. One cannot invest directly in an index.
Diversification does not assure a profit nor protect against loss in a declining market. Correlation measures how much the returns of two investments move together over time. Past performance is not necessarily indicative of future results.
The LoCorr Funds are distributed by Quasar Distributors, LLC. © 2025 LoCorr Funds
CONTACT: For additional information, contact:
Jenny Brookfield, 952-767-6906
