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TICKER: MHFAX
CUSIP: 66537V682
INCEPTION DATE: Dec 31, 2009
TICKER: MHFCX
CUSIP: 66537V674
INCEPTION DATE: Dec 31, 2009
TICKER: MHFIX
CUSIP: 66537X555
INCEPTION DATE: May 24, 2011

DAILY PRICING (as of Oct 18, 2017)

NAV: Change: Change: Change YTD:
$8.25 -$0.01 -0.12% -2.37%

DAILY PRICING (as of Oct 18, 2017)

NAV: Change: Change: Change YTD:
$7.94 -$0.02 -0.25% -3.05%

DAILY PRICING (as of Oct 18, 2017)

NAV: Change: Change: Change YTD:
$8.32 -$0.02 -0.24% -2.23%

Equinox MutualHedge Futures Strategy Fund is a diverse portfolio of managed futures strategies in a single, actively managed mutual fund investment that offers the potential to reduce risk and enhance returns across market cycles.

Prospectus Objective: The Fund seeks to achieve capital appreciation in both rising and falling equity markets with an annualized level of volatility that is generally lower than the historic level of volatility experienced by the S&P 500® Index.

Diverse sources of return

Offering potentially low correlation to equities, bonds and other alternative asset classes, the Fund invests in multiple managed futures strategies that trade across a diverse set of global asset classes, including:

  • Physical commodities (metals, energy, livestock and agricultural commodities)
  • Financial futures (currencies, interest rates and equity indices)

Potential Benefit: Potential to profit in bull and bear markets

Risk reduction potential

Seeks to further enhance returns and moderate volatility by actively allocating across managed futures strategies with:

Potential Benefit: Potential to experience shallower and shorter periods of decline

Expertise, seeks liquidity and transparency

Managed by one of the most experienced teams in selecting managed futures strategies, MutualHedge is a mutual fund investment that offers:

  • Seeks daily liquidity
  • Low minimums
  • 1099 reporting
  • Regular management and performance incentive fee disclosure
  • Monthly portfolio allocation disclosure
  • Independent NAV calculations

Potential Benefit: Accessibility and access to decades of managed futures investing experience

PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS. YOU CAN LOSE MONEY IN A MANAGED FUTURES PROGRAM.

*For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a funds’ monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five-, and ten-year (if applicable) Morningstar Rating metrics.

Fund ratings are only one form of performance measurement. For the most current performance please refer to the ‘Performance’ tab.

IMPORTANT RISK DISCLOSURE

Mutual funds involve risk including possible loss of principal.

The Fund’s indirect and direct exposure to foreign currencies subjects the MutualHedge Futures Strategy Fund (the Fund) to the risk that those currencies will decline in value relative to the U.S. Dollar, or, in the case of short positions, that the U.S. Dollar will decline in value relative to the currency that the Fund is short. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. In addition, the Fund may incur transaction costs in connection with conversions between various currencies. The Fund will invest a percentage of its assets in derivatives, such as futures and options contracts. The use of such derivatives may expose the Fund to additional risks that it would not be subject to if it invested directly in the securities and commodities underlying those derivatives.

The Fund may experience losses that exceed losses experienced by funds that do not use futures contracts and options. There may be an imperfect correlation between the changes in market value of the securities held by the Fund and the prices of futures and options on futures. Although futures contracts are generally liquid instruments, under certain market conditions there may not always be a liquid secondary market for a futures contract. As a result, the Fund may be unable to close out its futures contracts at a time which is advantageous. Trading restrictions or limitations may be imposed by an exchange, and government regulations may restrict trading in futures contracts and options. Because option premiums paid or received by the Fund are small in relation to the market value of the investments underlying the options, buying and selling put and call options can be more speculative than investing directly in securities. Over-the-counter transactions are subject to little, if any, regulation and may be subject to the risk of counterparty default.

A portion of the Fund’s assets may be used to trade OTC commodity interest contracts, such as forward contracts, option contracts in foreign currencies and other commodities, or swaps or spot contracts. A substantial portion of the trades of the global macro programs are expected to take place on markets or exchanges outside the United States. Some foreign markets present additional risk, because they are not subject to the same degree of regulation as their U.S. counterparts. Trading on foreign exchanges is subject to the risks presented by exchange controls, expropriation, increased tax burdens and exposure to local economic declines and political instability. An adverse development with respect to any of these variables could reduce the profit or increase the loss earned on trades in the affected international markets. International trading activities are subject to foreign exchange risk. The Fund may employ leverage and may invest in leveraged instruments. The more the Fund invests in leveraged instruments, the more this leverage will magnify any losses on those investments. Leverage will cause the value of the Fund’s shares to be more volatile than if the Fund did not use leverage. The Fund may take short positions, directly and indirectly through the Subsidiary, in derivatives.

If a derivative in which the Fund has a short position increases in price, the underlying Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. Except for the historical information and discussions contained herein, statements contained in this Commentary constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on our reasonable expectations, estimates, and assumptions. These statements may involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially, including, but not limited to, the performance of financial markets, the investment performance of products sponsored by Equinox Funds, general economic conditions, competitive conditions, and regulatory actions, including changes in tax laws. Readers should carefully consider such factors. Furthermore, such forward-looking statements speak only as of the date on which they are made, and Equinox Funds undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statement.

Investors should carefully consider the investment objectives, risks, charges and expenses of Equinox MutualHedge Futures Strategy Fund. This and other important information about the Fund is contained in the Prospectus, which can be obtained by calling 1.888.643.3431. The Prospectus should be read carefully before investing. 


Equinox MutualHedge Futures Strategy Fund is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. Equinox Group Distributors, LLC and Equinox Institutional Asset Management, LP are not affiliated with Northern Lights Distributors, LLC.

Equinox Institutional Asset Management, LP serves as the Fund’s investment advisor. SECURITIES OFFERED THROUGH EQUINOX GROUP DISTRIBUTORS, LLC, MEMBER FINRA.  To obtain more information, contact Equinox Funds at 1.877.837.0600 or info@equinoxfunds.com.

The material provided on this website is for informational purposes only. It does not constitute an offer to sell or a solicitation of an offer to buy any security or service in any jurisdiction where such transaction would be unauthorized or unlawful.

5482-NLD-07/11/2017  |  MH1007

Equinox MutualHedge Futures Strategy Fund actively allocates across managed futures strategies that provide exposure to different geographic markets, sectors, trading methodologies and trading time horizons.  Together, they offer potentially compelling diversification benefits. 

Futures diversification by sector — as of Aug 31, 2017

Diversification shown is A share without load.  Sector weights are as of the date stated, are subject to change and should not be considered investment advice. Fixed income exposure is an actual investment holding included in the portfolio.

Performance attribution by sector — as of Aug 31, 2017


Attribution shown is A Share without load.  Sector attribution numbers have been rounded for ease of use. Performance includes fixed income and is net of fees.  Past performance does not guarantee future results.

Fund exposure by futures strategy — as of Aug 31, 2017

Futures Strategy
% Exposure
program description
Info, Notes & Performance
H2O Asset Management
10.3%
Global Macro, Discretionary
Firm location:
London, United Kingdom  
Program name:
Force 10 
Program inception:
March 2011 
Firm AUM (9/29/17):
$15.9 Billion 
Principal(s):
Bruno Crastes, CEO,
Vincent Chailley, CIO,
Marc Maudhuit, Client Portfolio Manager,
Jean-Noel Alba, CEO

The investment philosophy of H2O is based on the conviction that value diversification is the most stable and robustsource of alpha over time. All-out diversification not only across assets, but also by investment horizon and manager expertise, gives us the ability to make better decisions and to produce more consistent risk adjusted performance. To generate alpha, H2O AM follows a top-down qualitative investment process and monitors the risk associated to calibrate the highly diversified strategies. No single position in itself has any meaning outside this overall risk/return context. A view is fed by a set of factors from seven fund managers and established as a risk-on, risk-off or diversifying strategy at a given horizon. The qualitative views are then translated into quantitative forecasts taking into account past volatilities and correlations and using Black & Litterman methodology as the key instrument enabling the conversion of views into positions. H2O AM fund managers take directional, relative value and specific/thematic positions in fixed income, currency and equity markets (no credit, no commodity exposure). The exposures are first decided in respect of each asset class: G4 govies, USD and equity markets. Relative value strategies are then constructed independently from the directional positions: they are "exposure-neutral". Finally, specific or thematic calls may be implemented separately. All the above strategies are invested using preferably derivatives. The Funds Under Management corresponds to the assets of the strategy.

Quantitative Investment Management
9.2%
Quantitative, Systematic
Firm location:
Charlottesville, VA 
Program name:
Global program 
Program inception:
October 2003 
Firm AUM (9/29/17):
$3.261 billion  
Principal(s):
Jaffray Woodriff,
Michael Geismar,
Greyson Williams

Crabel Capital Management
8.9%
Systematic; Short-Term Trading
Firm location:
Los Angeles, CA  
Program name:
Multi-Product program 
Program inception:
March 1998 
Firm AUM (9/29/17):
$2,158.8 billion (includes notional equity)  
Principal(s):
Toby Crabel

IPM Informed Portfolio Mgmt.
7.6%
Other
Winton Capital Management Ltd.
6.9%
Systematic
Firm location:
London, United Kingdom  
Program name:
Futures Program 
Program inception:
October 1997 
Firm AUM (9/29/17):
$28.4 billion  
Principal(s):
David Harding,
Brigid Rentoul,
Nicola Watson,
Jerry Dawson

Emil van Essen, LLC
6.9%
Spread Trading. Discretionary
Firm location:
Chicago, IL  
Program name:
Spread Trading program 
Program inception:
December 2006 
Firm AUM (9/30/17):
$ 134 million 
Principal(s):
Emil Van Essen

FORT, L.P.
6.3%
Systematic, Contrarian, Trend Anticipation
Firm location:
Chevy Chase, MD  
Program name:
Global Contrarian program 
Program inception:
October 2002  
Firm AUM (9/29/17):
$4.391 billion  
Principal(s):
Dr. Yves Balcer, Ph.D.,
Dr. Sanjiv Kumar, Ph.D.

Quantica Capital
6.2%
Systematic, Quantative, Medium to Long-Term Trend Following
Firm location:
Schaffhausen, Switzerland 
Program name:
Managed Futures program 
Program inception:
January 2005 
Firm AUM (9/29/17):
$412 million 
Principal(s):
Dr. Bruno Gmür,
Patrick J. Aregger,
Thomas Looser

KeyQuant SAS
6.1%
Medium to Long-Term Trend Following
Firm location:
Paris, France 
Program name:
Key Trends program 
Program inception:
January 2010 
Firm AUM (9/29/17):
$330 million 
Principal(s):
Robert Baguenault de Viéville,
Raphaël Gelrubin

Systematica Investments LP
6.1%
Other
QMS Capital Mangement
5.8%
Other
QuantMetrics Capital Management LLP
5.6%
Systematic
Firm location:
London, United Kingdom 
Program name:
Quantmetrics Multi Strategy Fund 
Program inception:
May 2006 
Firm AUM (9/29/17):
367 million  
Principal(s):
Dr. Mushtaq Shah,
James Fowler,
Robin Grant

Arctic Blue Capital
5.5%
Other
J E Moody & Company
4.4%
Spread Trading
Firm location:
Portland, OR 
Program name:
Commodity Relative Value program 
Program inception:
May 2006 
Firm AUM (9/29/17):
$137 million 
Principal(s):
John E. Moody, Ph.D.

Quest Partners
4.2%
Medium Term Trend Following
Firm location:
New York, NY 
Program name:
Tracker Index program 
Program inception:
October 2011 
Firm AUM (9/29/17):
$1.378 B  
Principal(s):
Nigol Koulajian,
Pawel Czkwianianc

Portfolio holdings are as of the date stated, are subject to change, and should not be considered investment advice.

†Please refer to the glossary for definitions of program descriptions.

Performance attribution by futures strategy — as of Aug 31, 2017

Month-to-date
Year-to-date

As a percentage of overall fund performance attributed to each CTA program.  Portfolio holdings are as of the date stated, are subject to change, and should not be considered investment advice.

Correlation matrix of futures strategies — Jul 1, 2012 - Jun 30, 2017

Crabel EVE FORT H2O IPM J E Moody KeyQuant QIM QuantMetrics Quantica Quest Systematica WNTN
Crabel 1.00
EVE -0.191.00
FORT 0.21-0.151.00
H2O -0.04-0.04-0.171.00
IPM 0.10-0.060.32-0.061.00
J E Moody 0.01-0.11-0.060.31-0.151.00
KeyQuant 0.24-0.170.74-0.060.29-0.041.00
QIM -0.050.13-0.07-0.14-0.130.00-0.141.00
QuantMetrics 0.04-0.210.290.15-0.020.020.34-0.271.00
Quantica 0.33-0.070.76-0.170.29-0.070.70-0.120.181.00
Quest 0.38-0.120.63-0.130.220.040.740.040.240.711.00
Systematica 0.310.020.69-0.070.280.000.75-0.110.240.640.801.00
WNTN 0.33-0.070.79-0.120.320.060.82-0.130.300.800.790.761.00

Correlation Coefficient indicates both the strength and direction of the relationship between the independent and dependent variables. Values of r range from -1.0, a strong negative relationship, to +1.0, a strong positive relationship. When r=0, there is no relationship between variables x and y, and they are said to be uncorrelated.

PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS. YOU CAN LOSE MONEY IN A MANAGED FUTURES PROGRAM.

*For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a funds’ monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five-, and ten-year (if applicable) Morningstar Rating metrics.

Fund ratings are only one form of performance measurement. For the most current performance please refer to the ‘Performance’ tab.

IMPORTANT RISK DISCLOSURE

Mutual funds involve risk including possible loss of principal.

The Fund’s indirect and direct exposure to foreign currencies subjects the MutualHedge Futures Strategy Fund (the Fund) to the risk that those currencies will decline in value relative to the U.S. Dollar, or, in the case of short positions, that the U.S. Dollar will decline in value relative to the currency that the Fund is short. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. In addition, the Fund may incur transaction costs in connection with conversions between various currencies. The Fund will invest a percentage of its assets in derivatives, such as futures and options contracts. The use of such derivatives may expose the Fund to additional risks that it would not be subject to if it invested directly in the securities and commodities underlying those derivatives.

The Fund may experience losses that exceed losses experienced by funds that do not use futures contracts and options. There may be an imperfect correlation between the changes in market value of the securities held by the Fund and the prices of futures and options on futures. Although futures contracts are generally liquid instruments, under certain market conditions there may not always be a liquid secondary market for a futures contract. As a result, the Fund may be unable to close out its futures contracts at a time which is advantageous. Trading restrictions or limitations may be imposed by an exchange, and government regulations may restrict trading in futures contracts and options. Because option premiums paid or received by the Fund are small in relation to the market value of the investments underlying the options, buying and selling put and call options can be more speculative than investing directly in securities. Over-the-counter transactions are subject to little, if any, regulation and may be subject to the risk of counterparty default.

A portion of the Fund’s assets may be used to trade OTC commodity interest contracts, such as forward contracts, option contracts in foreign currencies and other commodities, or swaps or spot contracts. A substantial portion of the trades of the global macro programs are expected to take place on markets or exchanges outside the United States. Some foreign markets present additional risk, because they are not subject to the same degree of regulation as their U.S. counterparts. Trading on foreign exchanges is subject to the risks presented by exchange controls, expropriation, increased tax burdens and exposure to local economic declines and political instability. An adverse development with respect to any of these variables could reduce the profit or increase the loss earned on trades in the affected international markets. International trading activities are subject to foreign exchange risk. The Fund may employ leverage and may invest in leveraged instruments. The more the Fund invests in leveraged instruments, the more this leverage will magnify any losses on those investments. Leverage will cause the value of the Fund’s shares to be more volatile than if the Fund did not use leverage. The Fund may take short positions, directly and indirectly through the Subsidiary, in derivatives.

If a derivative in which the Fund has a short position increases in price, the underlying Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. Except for the historical information and discussions contained herein, statements contained in this Commentary constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on our reasonable expectations, estimates, and assumptions. These statements may involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially, including, but not limited to, the performance of financial markets, the investment performance of products sponsored by Equinox Funds, general economic conditions, competitive conditions, and regulatory actions, including changes in tax laws. Readers should carefully consider such factors. Furthermore, such forward-looking statements speak only as of the date on which they are made, and Equinox Funds undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statement.

Investors should carefully consider the investment objectives, risks, charges and expenses of Equinox MutualHedge Futures Strategy Fund. This and other important information about the Fund is contained in the Prospectus, which can be obtained by calling 1.888.643.3431. The Prospectus should be read carefully before investing. 


Equinox MutualHedge Futures Strategy Fund is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. Equinox Group Distributors, LLC and Equinox Institutional Asset Management, LP are not affiliated with Northern Lights Distributors, LLC.

Equinox Institutional Asset Management, LP serves as the Fund’s investment advisor. SECURITIES OFFERED THROUGH EQUINOX GROUP DISTRIBUTORS, LLC, MEMBER FINRA.  To obtain more information, contact Equinox Funds at 1.877.837.0600 or info@equinoxfunds.com.

The material provided on this website is for informational purposes only. It does not constitute an offer to sell or a solicitation of an offer to buy any security or service in any jurisdiction where such transaction would be unauthorized or unlawful.

5482-NLD-07/11/2017  |  MH1007

Fund Performance

As of Oct 18, 2017 As of Sep 30, 2017
Fund Name 1 month ytd quarter 1 year 3 years 1 5 years 1 since
inception 1
Equinox MutualHedge Futures Strategy Fund
Class A, without load (inception: Dec 31, 2009)
2.10% -2.37% -2.19% -5.67% 3.11% 0.87% 1.41%
Equinox MutualHedge Futures Strategy Fund
Class A, max load (inception: Dec 31, 2009)
-3.73% -8.03% -7.79% -11.11% 1.08% -0.32% 0.64%
As of Oct 18, 2017 As of Sep 30, 2017
Fund Name 1 month ytd quarter 1 year 3 years 1 5 years 1 since
inception 1
Equinox MutualHedge Futures Strategy Fund
Class C (inception: Dec 31, 2009)
2.06% -3.05% -2.39% -6.41% 2.31% 0.12% 0.65%
As of Oct 18, 2017 As of Sep 30, 2017
Fund Name 1 month ytd quarter 1 year 3 years 1 5 years 1 since
inception 1
Equinox MutualHedge Futures Strategy Fund
Class I (inception: May 24, 2011)
2.09% -2.23% -2.05% -5.37% 3.38% 1.14% 1.08%

1Annualized, unless the Fund has less than a year of performance where the numbers shown are cumulative total return.

The maximum sales charge (load) for class A is 5.75%. Class A Share investors may be eligible for a reduction in sales charges.

SEE PERFORMANCE AND EXPENSE DISCLOSURES BELOW.

Performance and risk versus benchmarks — as of Sep 30, 2017

Fund/index 1 month ytd 2014 2015 2016 Cumulative Return Annualized ROR Maximum Drawdown standard deviation Correlation
Vs. Indices
Equinox MutualHedge Futures Strategy Fund
Class A, without load
-3.25% -4.73% 9.71% 2.81% 4.22% 11.46% 1.41% -14.48% 8.68% 1.00
Long Only Commodities 1
3.32% -3.76% -33.06% -32.86% 11.37% -48.69% -8.25% -64.97% 19.04% -0.20
Equities 2
2.06% 14.24% 13.69% 1.38% 11.96% 166.01% 13.46% -16.26% 12.10% 0.02
Managed Futures 3
-1.98% -4.33% 12.33% -0.92% -4.44% 2.49% 0.32% -14.08% 6.18% 0.89
Fixed Income 4
-0.48% 3.14% 5.97% 0.55% 2.65% 32.34% 3.68% -3.67% 2.78% 0.45

Performance and risk versus benchmarks — as of Sep 30, 2017

Fund/index 1 month ytd 2014 2015 2016 Cumulative Return Annualized ROR Maximum Drawdown standard deviation Correlation
Vs. Indices
Equinox MutualHedge Futures Strategy Fund
Class C
-3.25% -5.37% 9.03% 2.04% 3.40% 5.17% 0.65% -16.04% 8.68% 1.00
Long Only Commodities 1
3.32% -3.76% -33.06% -32.86% 11.37% -48.69% -8.25% -64.97% 19.04% -0.20
Equities 2
2.06% 14.24% 13.69% 1.38% 11.96% 166.01% 13.46% -16.26% 12.10% 0.02
Managed Futures 3
-1.98% -4.33% 12.33% -0.92% -4.44% 2.49% 0.32% -14.08% 6.18% 0.89
Fixed Income 4
-0.48% 3.14% 5.97% 0.55% 2.65% 32.34% 3.68% -3.67% 2.78% 0.45

Performance and risk versus benchmarks — as of Sep 30, 2017

Fund/index 1 month ytd 2014 2015 2016 Cumulative Return Annualized ROR Maximum Drawdown standard deviation Correlation
Vs. Indices
Equinox MutualHedge Futures Strategy Fund
Class I
-3.22% -4.58% 10.09% 3.06% 4.46% 7.05% 1.08% -13.91% 8.85% 1.00
Long Only Commodities 1
3.32% -3.76% -33.06% -32.86% 11.37% -55.18% -11.87% -62.38% 18.42% -0.34
Equities 2
2.06% 14.24% 13.69% 1.38% 11.96% 119.24% 13.15% -15.30% 11.07% -0.07
Managed Futures 3
-1.98% -4.33% 12.33% -0.92% -4.44% -3.84% -0.61% -14.08% 6.09% 0.89
Fixed Income 4
-0.48% 3.14% 5.97% 0.55% 2.65% 21.00% 3.04% -3.67% 2.78% 0.57

S&P500 GSCI® Index
S&P 500® Total Return Index
Barclay BTOP50 Index®.  The index does not encompass the whole universe of CTAs. The CTAs that comprise the index have submitted their information voluntarily. Investors      cannot directly invest in an index and unmanaged index returns do not reflect any fees, expenses or sales charges.
4Barclays Capital Aggregate Bond Index®

ROR is Rate of Return. Standard Deviation is annualized.  See glossary for definitions of drawdown, standard deviation and correlation.

Investors are not able to invest directly in the indices referenced in this illustration and unmanaged index returns do not reflect any fees, expenses or sales charges. The referenced indices are shown for general market comparisons and are not meant to represent the Fund. 

SEE PERFORMANCE AND EXPENSE DISCLOSURES BELOW.

Performance of a hypothetical $10,000 investment — Jan 2010 to Sep 2017

Equinox MutualHedge Futures Strategy Fund - Class A ($11,146 as of Sep 2017)
Barclay BTOP50 Index ($10,249 as of Sep 2017)

Performance of a hypothetical $10,000 investment — Jan 2010 to Sep 2017

Equinox MutualHedge Futures Strategy Fund - Class C ($10,517 as of Sep 2017)
Barclay BTOP50 Index ($10,249 as of Sep 2017)

Performance of a hypothetical $10,000 investment — May 2011 to Sep 2017

Equinox MutualHedge Futures Strategy Fund - Class I ($10,705 as of Sep 2017)
Barclay BTOP50 Index ($9,616 as of Sep 2017)

Barclay BTOP50 Index®. The Barclay BTOP50 Index® does not encompass the whole universe of CTAs. The CTAs that comprise the index have submitted their information voluntarily. Investors cannot directly invest in an index and unmanaged index returns do not reflect any fees, expenses or sales charges.

SEE PEFORMANCE AND EXPENSE DISCLOSURES BELOW.

Sources: Gemini Fund Services, LLC, PerTrac Financial Solutions, LLC.

PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS. YOU CAN LOSE MONEY IN A MANAGED FUTURES PROGRAM.

The performance data quoted here represents past performance. Current performance may be lower or higher than the performance data quoted above. Investment return and principal value will fluctuate, so that shares, when redeemed, may be worth more or less than their original cost. Past performance is no guarantee of future results. The Fund’s investment adviser has contractually agreed to reduce its fees and/or absorb expenses of the Fund, at least until January 31, 2017, to ensure that the net annual fund operating expenses (exclusive of any taxes, interest, brokerage commissions, expenses incurred in connection with any merger or reorganization, indirect expenses, expenses of other collective investment vehicles in which the Fund may invest, or extraordinary expenses such as litigation) will not exceed 1.86% for Class A, 2.61% for Class C, and 1.61% for Class I, subject to possible recoupment from the Fund in future years. Please review the Fund’s Prospectus for more detail on the expense waiver. Results shown reflect the waiver, without which the results could have been lower. A Fund’s performance, especially for very short periods of time, should not be the sole factor in making your investment decisions. For performance information current to the most recent month end, please call toll-free 1.888.643.3431.

Gross/Net expense ratio: Class A: 2.05% / 1.95%; Class C: 2.80% / 2.70%; Class I: 1.80% / 1.70%

 


IMPORTANT RISK DISCLOSURE

Mutual funds involve risk including possible loss of principal.

The Fund’s indirect and direct exposure to foreign currencies subjects the MutualHedge Futures Strategy Fund (the Fund) to the risk that those currencies will decline in value relative to the U.S. Dollar, or, in the case of short positions, that the U.S. Dollar will decline in value relative to the currency that the Fund is short. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. In addition, the Fund may incur transaction costs in connection with conversions between various currencies. The Fund will invest a percentage of its assets in derivatives, such as futures and options contracts. The use of such derivatives may expose the Fund to additional risks that it would not be subject to if it invested directly in the securities and commodities underlying those derivatives.

The Fund may experience losses that exceed losses experienced by funds that do not use futures contracts and options. There may be an imperfect correlation between the changes in market value of the securities held by the Fund and the prices of futures and options on futures. Although futures contracts are generally liquid instruments, under certain market conditions there may not always be a liquid secondary market for a futures contract. As a result, the Fund may be unable to close out its futures contracts at a time which is advantageous. Trading restrictions or limitations may be imposed by an exchange, and government regulations may restrict trading in futures contracts and options. Because option premiums paid or received by the Fund are small in relation to the market value of the investments underlying the options, buying and selling put and call options can be more speculative than investing directly in securities. Over-the-counter transactions are subject to little, if any, regulation and may be subject to the risk of counterparty default.

A portion of the Fund’s assets may be used to trade OTC commodity interest contracts, such as forward contracts, option contracts in foreign currencies and other commodities, or swaps or spot contracts. A substantial portion of the trades of the global macro programs are expected to take place on markets or exchanges outside the United States. Some foreign markets present additional risk, because they are not subject to the same degree of regulation as their U.S. counterparts. Trading on foreign exchanges is subject to the risks presented by exchange controls, expropriation, increased tax burdens and exposure to local economic declines and political instability. An adverse development with respect to any of these variables could reduce the profit or increase the loss earned on trades in the affected international markets. International trading activities are subject to foreign exchange risk. The Fund may employ leverage and may invest in leveraged instruments. The more the Fund invests in leveraged instruments, the more this leverage will magnify any losses on those investments. Leverage will cause the value of the Fund’s shares to be more volatile than if the Fund did not use leverage. The Fund may take short positions, directly and indirectly through the Subsidiary, in derivatives.

If a derivative in which the Fund has a short position increases in price, the underlying Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. Except for the historical information and discussions contained herein, statements contained in this Commentary constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on our reasonable expectations, estimates, and assumptions. These statements may involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially, including, but not limited to, the performance of financial markets, the investment performance of products sponsored by Equinox Funds, general economic conditions, competitive conditions, and regulatory actions, including changes in tax laws. Readers should carefully consider such factors. Furthermore, such forward-looking statements speak only as of the date on which they are made, and Equinox Funds undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statement.

Investors should carefully consider the investment objectives, risks, charges and expenses of the Fund. This and other important information about the Fund is contained in the Prospectus, which can be obtained by calling 1.888.643.3431. The Prospectus should be read carefully before investing.


The Fund is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. Equinox Group Distributors, LLC, Equinox Insitutional Asset Management, LP and featured Commodity Trading Advisors are not affiliated with Northern Lights Distributors, LLC.

Equinox Institutional Asset Management, LP serves as the Fund’s investment advisor. SECURITIES OFFERED THROUGH EQUINOX GROUP DISTRIBUTORS, LLC, MEMBER FINRA. To obtain more information, contact Equinox Funds at 1.877.837.0600 or info@equinoxfunds.com.

The material provided on this website is for informational purposes only. It does not constitute an offer to sell or a solicitation of an offer to buy any security or service in any jurisdiction where such transaction would be unauthorized or unlawful.

5482-NLD-07/11/2017  |  MH1007

Equinox Investment Philosophy and Process

At Equinox Funds, we believe that alternative and traditional investment portfolios built around rigorous diversification and dynamic risk management can add long-term value to an investment strategy. With this philosophy in mind, the Equinox portfolio management team employs the following six-step investment process:

Equinox Investment Process Overview

Step 1 SCREEN
After determining a Fund or Program’s goals and objectives, the Portfolio Team screens the manager universe for suitable candidates.
Step 2 ANALYZE
During this stage, the Portfolio Team seeks to rigorously evaluate historical performance and portfolio attributes as they relate to performance, volatility and strategy discipline.
Step 3 SELECT
The next step involves performing exhaustive due diligence on organization, personnel, investment process and operations.
Step 4 CONSTRUCT
At this stage of the process the anticipated portfolio is stressed using simulation tools for optimal return, risk, correlation and drawdown metrics.
Step 5 MANAGE
Once the initial candidates are identified, the Portfolio Team continually rebuilds the universe of managers and retests the portfolio dynamics.
Step 6 REBALANCE
Continuous monitoring of existing managers’ trading and performance seeks to detect style drift or other potential issues and rebalancing occurs as necessary.

Throughout the process, our goal is to provide investors with high-quality alternative investment portfolios that — when added to an asset allocation strategy — can potentially reduce risk and enhance returns over time.

PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS. YOU CAN LOSE MONEY IN A MANAGED FUTURES PROGRAM.

*For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a funds’ monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five-, and ten-year (if applicable) Morningstar Rating metrics.

Fund ratings are only one form of performance measurement. For the most current performance please refer to the ‘Performance’ tab.

IMPORTANT RISK DISCLOSURE

Mutual funds involve risk including possible loss of principal.

The Fund’s indirect and direct exposure to foreign currencies subjects the MutualHedge Futures Strategy Fund (the Fund) to the risk that those currencies will decline in value relative to the U.S. Dollar, or, in the case of short positions, that the U.S. Dollar will decline in value relative to the currency that the Fund is short. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. In addition, the Fund may incur transaction costs in connection with conversions between various currencies. The Fund will invest a percentage of its assets in derivatives, such as futures and options contracts. The use of such derivatives may expose the Fund to additional risks that it would not be subject to if it invested directly in the securities and commodities underlying those derivatives.

The Fund may experience losses that exceed losses experienced by funds that do not use futures contracts and options. There may be an imperfect correlation between the changes in market value of the securities held by the Fund and the prices of futures and options on futures. Although futures contracts are generally liquid instruments, under certain market conditions there may not always be a liquid secondary market for a futures contract. As a result, the Fund may be unable to close out its futures contracts at a time which is advantageous. Trading restrictions or limitations may be imposed by an exchange, and government regulations may restrict trading in futures contracts and options. Because option premiums paid or received by the Fund are small in relation to the market value of the investments underlying the options, buying and selling put and call options can be more speculative than investing directly in securities. Over-the-counter transactions are subject to little, if any, regulation and may be subject to the risk of counterparty default.

A portion of the Fund’s assets may be used to trade OTC commodity interest contracts, such as forward contracts, option contracts in foreign currencies and other commodities, or swaps or spot contracts. A substantial portion of the trades of the global macro programs are expected to take place on markets or exchanges outside the United States. Some foreign markets present additional risk, because they are not subject to the same degree of regulation as their U.S. counterparts. Trading on foreign exchanges is subject to the risks presented by exchange controls, expropriation, increased tax burdens and exposure to local economic declines and political instability. An adverse development with respect to any of these variables could reduce the profit or increase the loss earned on trades in the affected international markets. International trading activities are subject to foreign exchange risk. The Fund may employ leverage and may invest in leveraged instruments. The more the Fund invests in leveraged instruments, the more this leverage will magnify any losses on those investments. Leverage will cause the value of the Fund’s shares to be more volatile than if the Fund did not use leverage. The Fund may take short positions, directly and indirectly through the Subsidiary, in derivatives.

If a derivative in which the Fund has a short position increases in price, the underlying Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. Except for the historical information and discussions contained herein, statements contained in this Commentary constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on our reasonable expectations, estimates, and assumptions. These statements may involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially, including, but not limited to, the performance of financial markets, the investment performance of products sponsored by Equinox Funds, general economic conditions, competitive conditions, and regulatory actions, including changes in tax laws. Readers should carefully consider such factors. Furthermore, such forward-looking statements speak only as of the date on which they are made, and Equinox Funds undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statement.

Investors should carefully consider the investment objectives, risks, charges and expenses of Equinox MutualHedge Futures Strategy Fund. This and other important information about the Fund is contained in the Prospectus, which can be obtained by calling 1.888.643.3431. The Prospectus should be read carefully before investing. 


Equinox MutualHedge Futures Strategy Fund is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. Equinox Group Distributors, LLC and Equinox Institutional Asset Management, LP are not affiliated with Northern Lights Distributors, LLC.

Equinox Institutional Asset Management, LP serves as the Fund’s investment advisor. SECURITIES OFFERED THROUGH EQUINOX GROUP DISTRIBUTORS, LLC, MEMBER FINRA.  To obtain more information, contact Equinox Funds at 1.877.837.0600 or info@equinoxfunds.com.

The material provided on this website is for informational purposes only. It does not constitute an offer to sell or a solicitation of an offer to buy any security or service in any jurisdiction where such transaction would be unauthorized or unlawful.

5482-NLD-07/11/2017  |  MH1007

Portfolio Management Team

 

Dr. Ajay Dravid

Chief Investment Officer, Equinox Institutional Asset Management, LP

Managing Director of Portfolio Strategy, Equinox Fund Management, LLC

As Managing Director of Portfolio Strategy at Equinox Fund Management, Dr. Dravid is involved in day-to-day portfolio and risk management for all of Equinox Funds' offerings.  In addition, Dr. Dravid is involved in the development and the structuring of new products... | MORE

Richard E. Bornhoft

Managing Director, Portfolio Management, Equinox Fund Management, LLC

Mr. Bornhoft has over 30 years of experience in the alternative investment industry.  He co-founded Equinox Fund Management in 2003 and currently serves as Managing Director of Portfolio Management.  | MORE

Dr. Rufus Rankin

Director of Portfolio Management, Equinox Fund Management, LLC

Dr. Rankin is the Director of Portfolio Strategy of Equinox Fund Management.  In addition, Dr. Rankin also assists with the conception, development and implementation of new products... | MORE

PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE RESULTS. THERE IS RISK OF LOSS. YOU CAN LOSE MONEY IN A MANAGED FUTURES PROGRAM.

*For each fund with at least a three-year history, Morningstar calculates a Morningstar Rating™ based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a funds’ monthly performance (including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars, and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) The Overall Morningstar Rating for a fund is derived from a weighted average of the performance figures associated with its three-, five-, and ten-year (if applicable) Morningstar Rating metrics.

Fund ratings are only one form of performance measurement. For the most current performance please refer to the ‘Performance’ tab.

IMPORTANT RISK DISCLOSURE

Mutual funds involve risk including possible loss of principal.

The Fund’s indirect and direct exposure to foreign currencies subjects the MutualHedge Futures Strategy Fund (the Fund) to the risk that those currencies will decline in value relative to the U.S. Dollar, or, in the case of short positions, that the U.S. Dollar will decline in value relative to the currency that the Fund is short. Currency rates in foreign countries may fluctuate significantly over short periods of time for a number of reasons, including changes in interest rates and the imposition of currency controls or other political developments in the U.S. or abroad. In addition, the Fund may incur transaction costs in connection with conversions between various currencies. The Fund will invest a percentage of its assets in derivatives, such as futures and options contracts. The use of such derivatives may expose the Fund to additional risks that it would not be subject to if it invested directly in the securities and commodities underlying those derivatives.

The Fund may experience losses that exceed losses experienced by funds that do not use futures contracts and options. There may be an imperfect correlation between the changes in market value of the securities held by the Fund and the prices of futures and options on futures. Although futures contracts are generally liquid instruments, under certain market conditions there may not always be a liquid secondary market for a futures contract. As a result, the Fund may be unable to close out its futures contracts at a time which is advantageous. Trading restrictions or limitations may be imposed by an exchange, and government regulations may restrict trading in futures contracts and options. Because option premiums paid or received by the Fund are small in relation to the market value of the investments underlying the options, buying and selling put and call options can be more speculative than investing directly in securities. Over-the-counter transactions are subject to little, if any, regulation and may be subject to the risk of counterparty default.

A portion of the Fund’s assets may be used to trade OTC commodity interest contracts, such as forward contracts, option contracts in foreign currencies and other commodities, or swaps or spot contracts. A substantial portion of the trades of the global macro programs are expected to take place on markets or exchanges outside the United States. Some foreign markets present additional risk, because they are not subject to the same degree of regulation as their U.S. counterparts. Trading on foreign exchanges is subject to the risks presented by exchange controls, expropriation, increased tax burdens and exposure to local economic declines and political instability. An adverse development with respect to any of these variables could reduce the profit or increase the loss earned on trades in the affected international markets. International trading activities are subject to foreign exchange risk. The Fund may employ leverage and may invest in leveraged instruments. The more the Fund invests in leveraged instruments, the more this leverage will magnify any losses on those investments. Leverage will cause the value of the Fund’s shares to be more volatile than if the Fund did not use leverage. The Fund may take short positions, directly and indirectly through the Subsidiary, in derivatives.

If a derivative in which the Fund has a short position increases in price, the underlying Fund may have to cover its short position at a higher price than the short sale price, resulting in a loss. Except for the historical information and discussions contained herein, statements contained in this Commentary constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on our reasonable expectations, estimates, and assumptions. These statements may involve a number of risks, uncertainties, and other factors that could cause actual results to differ materially, including, but not limited to, the performance of financial markets, the investment performance of products sponsored by Equinox Funds, general economic conditions, competitive conditions, and regulatory actions, including changes in tax laws. Readers should carefully consider such factors. Furthermore, such forward-looking statements speak only as of the date on which they are made, and Equinox Funds undertakes no obligation to update any forward-looking statements to reflect events or circumstances after the date of such statement.

Investors should carefully consider the investment objectives, risks, charges and expenses of Equinox MutualHedge Futures Strategy Fund. This and other important information about the Fund is contained in the Prospectus, which can be obtained by calling 1.888.643.3431. The Prospectus should be read carefully before investing. 


Equinox MutualHedge Futures Strategy Fund is distributed by Northern Lights Distributors, LLC, Member FINRA/SIPC. Equinox Group Distributors, LLC and Equinox Institutional Asset Management, LP are not affiliated with Northern Lights Distributors, LLC.

Equinox Institutional Asset Management, LP serves as the Fund’s investment advisor. SECURITIES OFFERED THROUGH EQUINOX GROUP DISTRIBUTORS, LLC, MEMBER FINRA.  To obtain more information, contact Equinox Funds at 1.877.837.0600 or info@equinoxfunds.com.

The material provided on this website is for informational purposes only. It does not constitute an offer to sell or a solicitation of an offer to buy any security or service in any jurisdiction where such transaction would be unauthorized or unlawful.

5482-NLD-07/11/2017  |  MH1007