|
In designing The Atlantic International DJIA Enhanced Index Fund, the focus was on creating an investment that: a) produced a return greater than the DJIA; b) was not vulnerable to
substantial year-to-year losses due to continuing high stock market valuations and; c) provided investors protection from the eroding affects of prolonged periods of deflation and inflation. For
example, during periods of hyperinflation, hard commodities such as gold, silver, oil, grains, and livestock (real assets) tend to do well, as do the major world currencies. The Fund's portfolio contains a
substantial amount of "real assets," not just financial assets (stocks and bonds). During deflationary times, when equity and bond prices tend to go down, owning real assets (commodities) provide an opportunity
to profit by selling short into a declining market with the expectation of buying, or closing out, the position at a lower price. Share values are further protected from losses in the stock market under the
terms of its Structured Investment Agreement with a major international banker. Share values will be affected by losses, if any, from its other portfolio investments.
|