Alternative mutual funds are in the midst of a growth period with asset managers now aggressively marketing the investment products to advisors.
These investments differ from other mutual funds, because they have hedge fund-like characteristics, including short selling, futures trading and use of derivatives. A new research report issued by Cerulli Associates projects alternative mutual funds will double their share of total mutual fund assets from 3% in 2013 to 6% in 2015. The Cerulli study cites requests for the investments from financial advisors along with increased interest from fund distributors as being key drivers of their popularity.
As of Sept. 15, 49 alternative mutual funds had been launched this year with nine already surpassing $100 million in net assets, according to data provided by Morningstar. Here is a look at the top 10 alternative mutual fund launches in 2014 by net assets. To view the slideshow version click
10. Virtus Alternative Total Solution Fund
Launch Date:4/23/2014
Net Assets 9/15/14: $70.1 million
Ticker: VATAX
9. BlackRock Multi-Manager Alternative Strategies Fund
Launch Date: 8/7/2014
Net Assets 9/15/14: $100.6 million
Ticker: BMMAX
8. Wells Fargo Advantage Alternative Strategies Fund
Launch Date: 5/1/2014
Net Assets 9/15/14:$103.1 million
Ticker: WALTX
7. Guggenheim Risk Managed Real Estate Fund
Launch Date: 3/28/2014
Net Assets 9/15/14: $104.3 million
Ticker: GURAX
6. Deutsche Strategic Equity Long/Short Fund
Launch Date: 5/15/2014
Net Assets 9/15/14: $208.7 million
Ticker: DSLAX
5. Dreyfus Select Managers Long/Short Fund
Launch Date: 3/31/2014
Net Assets 9/15/14: $273.2 million
Ticker: DBNAX
4. Dreyfus Alternative Diversifier Strategies Fund
Launch Date: 3/31/2014
Net Assets 9/15/14: $351.6 million
Ticker: DRNAX
3. AllianceBernstein Multi-Manager Alternative Strategies Fund
Launch Date: 7/31/2014
Net Assets 9/15/14: $403.9 million
Ticker: ALATX
2. Blackstone Alternative Multi-Strategy Fund
Launch Date: 6/16/2014
Net Assets 9/15/14: $410 million
Ticker: BXMIX
1. GMO Special Opportunities Fund Class VI
Launch Date: 7/28/2014
Net Assets 9/15/14: $504.4 million
Ticker: GSOFX
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