Berwyn, Pa., March 23, 2011 \u2013 Brinker Capital, a leading investment management firm, today announced the introduction of its Crystal Strategy 1 to the institutional market.\u00a0 With a focus on bringing diversification, transparency, and liquidity to alternative investments, the Brinker Capital Crystal Strategy is a proprietary product designed to help institutional investors preserve their capital in down markets, while capturing appreciation in up markets. Crystal Strategy\u2019s unique construction, one of the investment industry\u2019s first, offers a global macro portfolio embedded in a separately management account (SMA) format.<\/p>\n
Brinker Capital is eyeing smaller foundations, endowments, and pension plans in the $10 million-$100 million asset range looking to increase their global macro allocations in a format that\u00a0doesn’t\u00a0have of traditional hedge fund constraints.<\/p>\n
Crystal Strategy has been available to financial advisors since September 2010.\u00a0 Brinker Capital, however, has been running the portfolio for the past two years to test its performance under a variety of market conditions.<\/p>\n
\u201cThe reception to Crystal Strategy among financial advisors has been overwhelmingly positive because it fills an investment void in their high net-worth client portfolios and has a sophisticated built-in risk management overlay,\u201d said Brinker Capital President John Coyne.\u00a0 \u201cWith that in mind, coupled with research indicating macro hedge funds are the new aggregators of choice, it made perfect sense to offer Crystal to institutional investors.\u201d<\/p>\n
Mr. Coyne also noted that Crystal Strategy recently signed on its first institutional pension plan client.<\/p>\n
Using tactical and strategic processes, Brinker Capital broadly allocates the Brinker Capital Crystal Strategy to invest across six major asset classes, including domestic and foreign equity, fixed income, absolute return, real assets, private equity, and cash. Within these asset classes, Brinker Capital employs a diverse array of investment vehicles, including individual stocks, exchange-traded funds, closed-end funds, open-end funds, and Master Limited Partnerships, among others. In addition, highly focused stock selection is used, seeking to further increase the portfolio\u2019s risk-adjusted rate of return.<\/p>\n
By focusing the individual stock holdings on a limited number of stocks that represents its smartest ideas, Brinker Capital believes clients have the potential to receive enhanced returns with controlled portfolio risk.<\/p>\n
The Brinker Capital Crystal Strategy performs much like other absolute return strategies, but has lower fees compared to many vehicles, and daily liquidity. Furthermore, institutional investors will have daily transparency into their account holdings.\u00a0 The strategy is constructed by merging top-down macroeconomic trends with a bottom-up strategy and stock selection.\u00a0 The target minimum is $1 million.<\/p>\n
In determining the portfolio\u2019s major asset allocation, Brinker Capital starts with a \u201cnull hypothesis,\u201d meaning that no individual major asset class deserves a higher weight than any other. From there, based on factors such as valuation, technical trends, sentiment and risks, Brinker Capital strategically overweights the areas they believe will generate the best risk-adjusted return.<\/p>\n
Also of major significance are the investment requirements of institutional investors, active risk containment to preserve capital in down markets, while capturing appreciation in up markets, closely parallel those of the financial advisors who have found this strategy to be so beneficial.<\/p>\n
\u201cThere is a clear trend of endowments allocating more assets towards alternative investments,\u201d said Thomas K.R. Wilson, Brinker Capital\u2019s Managing Director of Institutional Investments and Private Client Group.\u00a0 \u201cSince 2004, the average endowment\u2019s alternative allocation has more than doubled.\u00a0 However, endowments have more concerns today than ever before with liquidity and transparency, all of which are alleviated by Crystal Strategy\u00a0because of its daily liquidity and full transparency.\u201d<\/p>\n
Said Mr. Coyne: \u201cRecent comments by NACUBO president John Walda that smaller endowments should not try to emulate their larger peers because of issues related to liquidity, transparency, and diversification, we feel can in part be addressed by the Crystal Strategy.\u201d<\/p>\n
About Brinker Capital<\/p>\n
Brinker Capital, Inc. is a leading independent investment management firm which provides managed account investment programs to individual and institutional investors through financial advisors.\u00a0 Brinker was founded in 1987 by Charles Widger and is located in suburban Philadelphia .\u00a0 Visit Brinker\u2019s website at\u00a0www.brinkercapital.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":" Berwyn, Pa., March 23, 2011 \u2013 Brinker Capital, a leading investment management firm, today announced the introduction of its Crystal Strategy 1 to the institutional market.\u00a0 With a focus on bringing diversification, transparency, and liquidity to alternative investments, the Brinker […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"class_list":["post-21439","post","type-post","status-publish","format-standard","hentry","category-press-releases"],"_links":{"self":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/21439","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/comments?post=21439"}],"version-history":[{"count":2,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/21439\/revisions"}],"predecessor-version":[{"id":21441,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/posts\/21439\/revisions\/21441"}],"wp:attachment":[{"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/media?parent=21439"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/categories?post=21439"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hedgeco.net\/news\/wp-json\/wp\/v2\/tags?post=21439"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}