Permal Hedge Strategies Fund offers shares, targets low volatility

By Toni Weeks

San Diego, Nov. 15 - The Permal Hedge Strategies Fund, a newly organized, non-diversified, closed-end management investment company, has registered shares in an N-2 filing with the Securities and Exchange Commission.

New York-based Legg Mason Partners Fund Advisor, LLC will be the fund's investment manager, and Permal Asset Management Inc., will be the subadviser. Legg Mason Investor Services, LLC will serve as distributor for the fund.

The fund has initially registered 100,000 shares at $10 apiece. Each share will have a sales load of up to 3%. The sales load may be reduced on a sliding scale depending on the amount of the investment. The sales load is 2% for purchases of $100,000 to $249,999, 1.5% for purchases of $250,000 to $999,999 and 1% for purchases of $1 million to $4,999,999. Purchases over $5 million will have no sales load.

The fund seeks long-term capital appreciation while attempting to reduce risk and volatility. It will provide its shareholders with access to a broad range of investment strategies with a global fixed-income focus, which may include global fixed-income strategies, global event-driven strategies, global macro strategies and equity long/short strategies.

The fund seeks to produce investment returns that have lower risk than traditional long-only investments and, over time, produce above-market returns. The combination of portfolio funds is expected to produce a portfolio that is less volatile than the general market and less correlated to the market than traditional long-only funds investing in the same market.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.