Investing in the portfolio involves risks, including those summarized below:  

Investors should consider how closely their investment needs match an endowment. The risk profile of individual investors often differs from a large institution using an endowment model in ways such as: financial resources, asset size, investment experience, investment time horizon, investment goals, and liquidity needs.

  • The Portfolio  is managed as a separately managed account.  An investment in the portfolio is generally subject to market risk, including the possible loss of the entire principal amount invested.   An investment in the portfolio is not suitable for you if you need immediate access to the money you invest.
  • Endowments have a long-term investment time horizon with low liquidity needs. Investors should consider how closely their investment goals and needs match those of endowments. An investment in the Portfolio is generally subject to market risk, including the – loss of the entire principal amount invested.
  • Certain investments in the Fund may be illiquid making it difficult to sell these securities and possibly requiring the Portfolio to sell at an unfavorable time or price.  The value of certain portfolio investments, in particular non-traded investment vehicles, will be difficult to determine and the valuations provided will likely vary from the amounts the Fund would receive upon sale or disposition of its investments.
  • Like all financial instruments, the value of these securities may move up or down, sometimes rapidly and unpredictably. The value of your investment in the portfolio at any point in time may be worth less than the value of your original investment, even after taking into account any reinvestment of dividends and distributions.
  • The principal risks of the Portfolio also include investing in small and mid-cap stocks, REITS, MLPs, fixed income securities, foreign investments, and commodities. The Portfolio engages in the use of leverage, short-selling, hedging, and other speculative investment practices that may accelerate losses.
  • Like all financial instruments, the value of these securities may move up or down, sometimes rapidly and unpredictably. The value of your investment in the Portfolio at any point in time may be worth less than the value of your original investment, even after taking into account any reinvestment of dividends and distributions.
  • When the Portfolio invests in equity securities, the Portfolio’s investments in those securities are subject to price fluctuations based on a number of reasons of issuer-specific and broader economic or international considerations. They may also decline due to factors which affect a particular industry or industries. In addition, equity securities prices may be particularly sensitive to rising interest rates, as the cost of capital rises and borrowing costs increase.
  • The Portfolio may invest in publicly-traded and non-traded REITs or privately offered pooled investment vehicles that hold real estate as well as invest in real estate directly through entities owned or controlled directly or indirectly by the Portfolio. As a result, the Portfolio may be significantly impacted by the performance of the real estate market and may experience more volatility and be exposed to greater risk than a more diversified portfolio.
  • REIT share prices may decline because of adverse developments affecting the real estate industry and real property values. In general, real estate values can be affected by a variety of factors, including supply and demand for properties, the economic health of the country or of different regions, and the strength of specific industries that rent properties.
  • Exposure to the commodities markets may subject the Portfolio to greater volatility than investments in more traditional securities. The value of commodity-linked investments may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or factors affecting a particular industry or commodity, such as weather, and international economic, political and regulatory developments.
  • The Portfolio may invest in medium- and small-capitalization companies, which may be newly formed or have limited product lines, distribution channels and financial or managerial resources. The risks associated with these investments are generally greater than those associated with investments in the securities of larger, more-established companies. This may cause the Portfolio’s net asset value to be more volatile when compared to investment companies that focus only on large-capitalization companies.