Alternative Investment Strategies
The FundsThe Surfside Global Master Fund is an exempted liability company that offers the opportunity to participate in a global macro multi strategy investment vehicle through its Fund I (Non-U.S. persons) and Fund II (U.S. persons). Surfside Capital LLC as the General Partner of the Master Fund has explicit and sole authority to manage the Master Fund's investment activities.
The principal investment objective of the Master Fund is to achieve superior returns through the active management of long and short portfolios comprised primarily of equity, equity-related securities of companies listed on U.S. and international securities exchanges or traded on the over-the-counter market and of fixed income instruments. A higher proportion of these investments are allocated into Emerging Market countries. The Master Fund’s investments may include securities issued by foreign as well as domestic companies and/or countries, currencies, commodities and all related futures, forwards or other derivative structures in order to minimize risk and enhance its expected return. The Master Fund will engage in short selling and may utilize leverage, options, derivatives and other financial instruments and securities both to capture the potential for growth and manage the Master Fund’s risk by hedging its portfolio or for directional positioning.
A portion of the Master Fund's assets are allocated to direct investment opportunities. These opportunities include turnaround or infancy companies that provide the potential significantly higher expected returns. Surfside Capital will participate actively in all the decisions made management of the different companies in which a direct investment has been made, and in many of them Surfside Capital will hold one or more seats in the board.
The principal investment objective of the Master Fund is to achieve superior returns through the active management of long and short portfolios comprised primarily of equity, equity-related securities of companies listed on U.S. and international securities exchanges or traded on the over-the-counter market and of fixed income instruments. A higher proportion of these investments are allocated into Emerging Market countries. The Master Fund’s investments may include securities issued by foreign as well as domestic companies and/or countries, currencies, commodities and all related futures, forwards or other derivative structures in order to minimize risk and enhance its expected return. The Master Fund will engage in short selling and may utilize leverage, options, derivatives and other financial instruments and securities both to capture the potential for growth and manage the Master Fund’s risk by hedging its portfolio or for directional positioning.
A portion of the Master Fund's assets are allocated to direct investment opportunities. These opportunities include turnaround or infancy companies that provide the potential significantly higher expected returns. Surfside Capital will participate actively in all the decisions made management of the different companies in which a direct investment has been made, and in many of them Surfside Capital will hold one or more seats in the board.
The Differences Between Mutual Funds and Hedge Funds
A minimum investment of $1 million or more is often required of hedge fund investors. Under the National Securities Markets Improvement Act of 1996, certain hedge funds can accept investments from any individual who holds at least $5 million in investments. This measure is intended to help limit participation in hedge funds and other types of unregulated pools to highly sophisticated individuals. Hedge funds can also accept other types of investors if they rely on other exemptions under the Investment Company Act or are operated outside the United States. The Differences Between Mutual Funds and Hedge Funds.
Mutual funds and hedge funds differ in many ways, particularly the fees charged; leveraging, pricing, and liquidity practices employed; the degree of regulatory oversight to which each is subject; and the characteristics of the typical investors who use each investment vehicle. U.S. mutual funds are among the most strictly regulated financial products. They are subject to numerous requirements designed to ensure they operate in the best interests of their shareholders. Hedge funds are private investment pools subject to far less regulatory oversight.
Hedge Funds Hedge funds-unlike mutual funds-are not required to register with the SEC. They issue securities in "private offerings" not registered with the SEC under the Securities Act of 1933. Furthermore, hedge funds are not required to make periodic reports under the Securities Exchange Act of 1934. Like mutual funds and other securities market participants, hedge funds are subject to prohibitions against fraud, and their managers have the same fiduciary duties as other investment advisers.
Fees
Hedge Funds There are no limits on the fees a hedge fund adviser can charge its investors. Typically, the hedge fund manager charges an asset-based fee and a performance fee. Some have front-end sales charges, as well.
Leveraging Practices
Hedge Funds Leveraging and other higher-risk investment strategies are a hallmark of hedge fund management. Hedge funds were originally designed to invest in equity securities and use leverage and short selling to "hedge" the portfolio's exposure to movements of the equity markets. Today, however, advisers to hedge funds utilize a wide variety of investment strategies and techniques. Many are very active traders of securities.
Pricing and Liquidity
Hedge Funds There are no specific rules governing hedge fund pricing. Hedge fund investors may be unable to determine the value of their investment at any given time
Investor Characteristics
A minimum investment of $1 million or more is often required of hedge fund investors. Under the National Securities Markets Improvement Act of 1996, certain hedge funds can accept investments from any individual who holds at least $5 million in investments. This measure is intended to help limit participation in hedge funds and other types of unregulated pools to highly sophisticated individuals. Hedge funds can also accept other types of investors if they rely on other exemptions under the Investment Company Act or are operated outside the United States.
A minimum investment of $1 million or more is often required of hedge fund investors. Under the National Securities Markets Improvement Act of 1996, certain hedge funds can accept investments from any individual who holds at least $5 million in investments. This measure is intended to help limit participation in hedge funds and other types of unregulated pools to highly sophisticated individuals. Hedge funds can also accept other types of investors if they rely on other exemptions under the Investment Company Act or are operated outside the United States. The Differences Between Mutual Funds and Hedge Funds.
Mutual funds and hedge funds differ in many ways, particularly the fees charged; leveraging, pricing, and liquidity practices employed; the degree of regulatory oversight to which each is subject; and the characteristics of the typical investors who use each investment vehicle. U.S. mutual funds are among the most strictly regulated financial products. They are subject to numerous requirements designed to ensure they operate in the best interests of their shareholders. Hedge funds are private investment pools subject to far less regulatory oversight.
Hedge Funds Hedge funds-unlike mutual funds-are not required to register with the SEC. They issue securities in "private offerings" not registered with the SEC under the Securities Act of 1933. Furthermore, hedge funds are not required to make periodic reports under the Securities Exchange Act of 1934. Like mutual funds and other securities market participants, hedge funds are subject to prohibitions against fraud, and their managers have the same fiduciary duties as other investment advisers.
Fees
Hedge Funds There are no limits on the fees a hedge fund adviser can charge its investors. Typically, the hedge fund manager charges an asset-based fee and a performance fee. Some have front-end sales charges, as well.
Leveraging Practices
Hedge Funds Leveraging and other higher-risk investment strategies are a hallmark of hedge fund management. Hedge funds were originally designed to invest in equity securities and use leverage and short selling to "hedge" the portfolio's exposure to movements of the equity markets. Today, however, advisers to hedge funds utilize a wide variety of investment strategies and techniques. Many are very active traders of securities.
Pricing and Liquidity
Hedge Funds There are no specific rules governing hedge fund pricing. Hedge fund investors may be unable to determine the value of their investment at any given time
Investor Characteristics
A minimum investment of $1 million or more is often required of hedge fund investors. Under the National Securities Markets Improvement Act of 1996, certain hedge funds can accept investments from any individual who holds at least $5 million in investments. This measure is intended to help limit participation in hedge funds and other types of unregulated pools to highly sophisticated individuals. Hedge funds can also accept other types of investors if they rely on other exemptions under the Investment Company Act or are operated outside the United States.
