MINNEAPOLIS, May 08, 2017 (GLOBE NEWSWIRE) -- LoCorr Funds announces that its Board of Directors has approved a reduction in the management fees for the LoCorr Macro Strategies Fund (formerly the Managed Futures Strategy Fund). This expense change will be effective May 1, and is intended to provide additional benefits to investors by reducing overall fund expenses. These changes come as the fund surpasses $1 Billion in net assets.
The new fee structure will reduce the management fee from 1.85% to 1.75% for all Macro Strategies Fund share classes, reduce the expense cap for all share classes and eliminate the short-term redemption fee for the fund.
LoCorr Macro Strategies Fund has achieved a ★★★★★ Overall Morningstar Rating™ among 97 Managed Futures Funds based on the three- and five-year risk adjusted return for the period ending 3/31/2017. The Fund also achieved top-quartile performance in the Morningstar Managed Futures Category over the 1, 3, and 5-year periods (for the period ending 3/31/2017). The fund is a multi-manager solution combining three established investment managers, each with a long history of investment expertise in the managed futures space. Graham Capital Management (founded in 1994 with over $14B AUM), Millburn Ridgefield (with a history of research dating back to the 1970s), and Revolution Capital Management (a shorter-term Commodity Trading Advisor), all offer well-established strategies with long-term track records, and when combined, deliver the potential for enhanced risk-adjusted returns. The complementary nature of these three strategies is designed to make this Fund a distinctive solution for investors seeking the diversification benefits of low-correlating strategies.
“We believe this move to reduce fees for the Macro Strategies Fund will further benefit Fund Shareholders.” said Kevin Kinzie, CEO of LoCorr Funds, “We believe these changes have the potential to make this fund one of the most competitive multi-manager investment solutions of its type in the industry. At LoCorr, we remain committed to delivering solutions that can provide low correlation to traditional stocks and bonds and to making these solutions easily available to clients.”
About LoCorr Funds
LoCorr Funds is a leading provider of low-correlating investment strategies. They were founded on the belief that non-traditional investment strategies with low correlation to stocks and bonds can reduce risk and help to increase portfolio returns. LoCorr offers investment solutions that not only provide the potential for positive returns in rising or falling markets, but also help aim to achieve diversification in investment portfolios. LoCorr Funds is headquartered in Excelsior, MN. For more information, please visit www.LoCorrFunds.com or call 1.888.628.2887.
The Fund’s investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus contains this and other important information about the investment company, and it may be obtained by calling 1.855.LCFUNDS, or visiting www.LoCorrFunds.com. Read it carefully before investing.
Mutual fund investing involves risk. Principal loss is possible. The Fund is non-diversified, meaning it may concentrate its assets in fewer individual holdings than a diversified fund. Therefore, the Fund is more exposed to an individual investment’s volatility than a diversified fund. The Fund invests in foreign investments and foreign currencies which involve greater volatility and political, economic and currency risks and differences in accounting methods. The Fund may make short sales of securities, which involves the risk that losses may exceed the original amount invested. Investing in commodities may subject the Fund to greater risks and volatility as commodity prices may be influenced by a variety of factors including unfavorable weather, environmental factors, and changes in government regulations. The Fund may invest in derivative securities, which derive their performance from the performance of an underlying asset, index, and interest rate or currency exchange rate. Derivatives can be volatile and involve various types and degrees of risks, and, depending upon the characteristics of a particular derivative, suddenly can become illiquid. Derivative contracts ordinarily have leverage inherent in their terms, which can magnify the Fund’s potential for gains or losses through increased long and short position exposure. The Fund may access derivatives via a swap agreement. A risk of a swap agreement is the risk that the counterparty to the agreement will default on its obligation to pay the Fund. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investments in Asset Backed, Mortgage Backed, and Collateralized Mortgage Backed Securities include additional risks that investors should be aware of such as credit risk, prepayment risk, possible illiquidity and default, as well as increased susceptibility to adverse economic developments. The LoCorr Market Trend Fund is new and has limited performance history.
One cannot invest directly in an index.
Correlation measures how much the returns of two investments move together over time.
Diversification does not assure a profit nor protect against loss in a declining market.
© 2017 Morningstar, Inc. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
The Morningstar Rating™ for funds, or "star rating", is calculated for managed products (including mutual funds, variable annuity and variable life subaccounts, exchange-traded funds, closed-end funds, and separate accounts) with at least a three-year history, without adjustment for sales loads. Exchange-traded funds and open-ended mutual funds are considered a single population for comparative purposes. It is calculated based on a Morningstar Risk-Adjusted Return measure that accounts for variation in a managed product's monthly excess performance, placing more emphasis on downward variations and rewarding consistent performance. The top 10% of products in each product 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. The Overall Morningstar Rating™ for a managed product is derived from a weighted average of the performance figures associated with its three- and five-year Morningstar Rating™ metrics. The weights are: 100% three-year rating for 36-59 months of total returns, 60% five-year rating/40% three-year rating for 60-119 months of total returns, and 50% 10-year rating/30% five-year rating/20% three-year rating for 120 or more months of total returns. While the 10-year overall star rating formula seems to give the most weight to the 10-year period, the most recent three-year period actually has the greatest impact because it is included in all three rating periods. The LoCorr Macro Strategies Fund was rated 5 stars among 97 Managed Futures funds in the last 3 years, and was rated 5 stars among 61 Managed Futures funds in the last 5 years. The Morningstar Rating is for the Institutional share class only; other classes may have different performance characteristics.
Morningstar Rankings represent a fund’s total-return percentile rank relative to all funds that have the same Morningstar Category. The highest percentile rank is 1 and the lowest is 100. It is based on Morningstar total return, which includes both income and capital gains or losses and is not adjusted for sales charges or redemption fees. Morningstar ranked the LoCorr Macro Strategies Class I in the top 13%, 8% and 5% out of 132, 97 and 61 Managed Futures funds for the one-, three- and five-year periods ending 03/31/2017, respectively. Past performance does not guarantee future results.
The LoCorr Funds are distributed by Quasar Distributors, LLC.
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