Rydex Jumps Into Alternative Investment Game, Retail Style

Mar 17 2008 | 11:18am ET

Asset management firm Rydex Investments is launching a new fund of funds that takes a retail approach to hedge fund investing. The new vehicle, the Rydex Alternative Strategies Allocation Fund, invests in a suite of alternative mutual funds and ETFs and provides exposure to alternative asset classes such as hedge funds, commodities, currency arbitrage, managed futures and real estate.

The fund uses a quantitative investment methodology and seeks to deliver returns that have a low correlation to traditional stock and bond asset classes, as well as to provide capital appreciation.

"By packaging alternative exposures within mutual fund product structures, Rydex has been able to deliver the potential benefits of alternatives to individual investors in a retail-friendly format," says Edward Egilinsky, managing director of alternative investments for Rydex. 

According to Kevin McGovern, managing director of Rydex mutual funds, the new fund can help investors who are uncertain about how many and which types of alternatives to incorporate into their portfolios.

"We are pleased to build on this expertise with Rydex Alternative Strategies Allocation Fund, offering a packaged solution for investors seeking multiple alternative investments within a single fund," he said.

Rydex manages approximately $15 billion in assets via nearly 100 mutual funds and exchange traded products.

In Depth

Financial Industry Blockchain Consortium R3 To Open-Source Platform Code

Oct 20 2016 | 9:03pm ET

Bitcoin's blockchain technology has spawned a flurry of activity among fintech startups...


U.S. Trust's Beard: The Rapid Growth of the Art Lending Industry

Oct 7 2016 | 10:55pm ET

Alternative investment managers have emerged as some of the most significant art...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...