Curian Capital launches two alternative-focused strategies
Curian Capital has released Dynamic Risk Advantage – Aggressive as an addition to its Dynamic Risk Advantage (DRA) series and Alternative Select, a strategy for investors looking to supplement a traditional stock-bond portfolio with diversified exposure to alternative asset classes and strategies.
“Market volatility has significantly increased over the past decade and as a result, investors are in need of new allocation strategies and a way to reduce asset correlation within their portfolios,” says Steve Young (pictured), Curian’s senior vice president of asset management and chief investment officer. “These two new strategies offer new ways to access more diversified portfolio options and address the challenges of today’s turbulent marketplace. Each of these new products reflects our ongoing commitment to providing investments that meet the diverse needs of institutions, advisors and their clients.”
DRA – Aggressive is the third strategy in the DRA series, a line-up of products that seeks to systematically manage risk and offer downside protection, while fulfilling three unique investment objectives.
The DRA – Diversified strategy focuses on total return and DRA – Income seeks to generate total return and invests in securities that have the potential to produce income.
The new DRA – Aggressive strategy expands the breadth and depth of the series, offering a higher concentration to equity and alternatives with a focus on capital appreciation. The built-in volatility component provides non-correlated diversification to existing asset allocations, protecting assets during down cycles while providing the potential opportunity for improved capital appreciation in up cycles.
Curian’s Alternative Select strategy is an alternative investment option, giving institutions, financial advisors and their clients a lower return correlation to traditional stock and bond portfolios, and the potential for better downside risk protection. The Alternative Select portfolios invest in various ETFs and open-end, actively managed mutual funds. The strategy offers three asset allocation models tailored to unique investor risk profiles – Conservative, Moderate and Growth. Each option provides a high exposure to alternative investments.
“The Curian Alternative Select Strategy offers new ways to access non-traditional asset classes for investors who want more diversified portfolios and better risk management as they pursue their long-term investment goals,” Young says. “Adding alternative investments to traditional stock-bond portfolios can enable investors to build resilient portfolios that are more flexible and less correlated to stocks and bonds.”
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