Cornerstone Flexible Annuity Fund
Investment Objectives
- Generate returns over the long term regardless of market direction
- Grow investors' capital over the long term
- Reduce volatility of returns by managing the risks associated with investing in unlisted equities
- This is a high-risk fund that aims to progressively outperform inflation
- It is predominantly invested in companies not listed on a public stock exchange
- Through their low correlation with other asset classes, private equity funds have the potential to outperform traditional asset classes over the long term and to provide diversification for the sophisticated investor
Investment Strategy
The Fund's investment strategy provides investors with exposure to alternative asset classes not generally accessible to the retail investor. The fund is diversified across a range of alternative asset classes utilising a multi-manager approach.
Available alternative asset classes include:
- Agricultural Commodities: Unique livestock farming offering through weekly weaner calves delivered to feedlots for 120-150 day feeding cycles
- Private Debt: Entry point to private debt markets including purchase order funding, invoice factoring, and direct lending
- Collections: Acquiring and collecting on non-performing loan portfolios with security of collections books
Suitable Investors
The Fund is suited to sophisticated high net worth individuals and qualified investors who understand the characteristics of private equity and alternative asset classes.
The Fund is an aggressive investment because of the nature of the underlying investments.
The Fund is suitable for investors who would like a return over the long term, while accepting limited liquidity and the risks inherent with private equity.
Investors should have a minimum investment horizon of 5 to 7 years and understand the liquidity restrictions associated with the fund.
Note: No investment guarantees are offered and there is a risk of capital loss. It is not advisable for an investor to have a large proportion of their investment portfolio concentrated in private equity.