SEI Investments Canada Company (“SEI Canada”) is pleased to announce the launch of Liquid Alternative Fund (the “Fund”). The Fund is based on similar funds managed by affiliates of SEI Canada.

The Fund aims to generate long-term capital appreciation by implementing a strategy that seeks to approximate the returns of a model portfolio of funds that employ alternative investment strategies.

The Fund seeks to approximate the total return (before taking into account the Fund’s fees and expenses) of a model portfolio of alternative investment strategies, that primarily consists of hedge funds (the “Composite”) calculated by the sub-advisor, Dynamic Beta Investments, at the direction of SEI Investments Management Corporation("SIMC").

Under normal circumstances, the Fund will take long and short positions in investments that provide broad exposure to the global equity, fixed income and currency markets. The Fund will invest primarily in exchange-traded derivative instruments, including futures, options, and swaps, but to a lesser extent may invest in derivative instruments that are traded over the counter, such as forwards. The Fund primarily will hold cash and/or invest in money market instruments to collateralize its derivative positions. Additionally, the Fund may invest from time-to-time in shares of exchange-traded funds (ETFs), such as U.S. or non-U.S. corporate bond ETFs.

The Fund consists of two components: a multi-strategy sleeve and a managed futures sleeve. SIMC generally expects to maintain an approximate 60/40 weighting between the multi-strategy sleeve and the managed futures sleeve, respectively, but may increase or decrease a sleeve’s weighting.

Managed futures sleeve: This will consist of derivative instruments that, in the aggregate, are designed to reflect the return profile of a third-party index that consists of 20 equally-weighted large managed futures funds.

Multi-strategy sleeve: The multi-strategy sleeve of the Composite will seek to approximate the average total return of the 50 largest hedge funds (excluding managed futures funds), equally weighted. The list of hedge funds is determined by the monthly reporting of assets under management to the Eurekahedge database, which is reconstituted annually. This sleeve will include exposure to a cross-section of alternative investment strategies, which may include: (i) equity long/short strategies; (ii) global macro strategies; (iii) event driven strategies; and (iv) relative value strategies. SIMC may instruct the sub-adviser to discontinue use of any of these strategies or add one or more new strategies in effort to better replicate the returns of the overall hedge fund market.

Dynamic Beta Investments

The Fund’s sub-advisor, Dynamic Beta Investments (“Dynamic Beta”), specializes in hedge fund portfolio replication. The research-driven investment firm is focused on providing liquid alternative and hedge fund portfolio solutions to institutional and other investors. Dynamic Beta seeks to outperform portfolios of leading hedge funds with less potential value loss, equitable fees and daily liquidity.

While a predecessor firm traces its roots back to 2007, the firm in its current form was founded in July 2012, through the merger of Beachhead Capital and Belenos Capital Management. As of February 28, 2023 the firm manages $2.2 billion and has 6 full time employees. Dynamic Beta is approximately equally owned by employees and iMGlobal, a holding company acquiring stakes in boutique investment firms globally. The firm has been the subadvisor to the SEI Global Master Fund PLC - Liquid Alternative Fund, which pursues a substantially similar strategy, since November 2015.












Important information

SEI Investments Canada Company, a wholly owned subsidiary of SEI Investments Company, is the Manager of the SEI Funds in Canada. Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated.

The portfolio managers or the allocations of assets to a particular portfolio manager are subject to change from time to time at the SEI’s discretion.