Natixis Global Associates Launches ASG Growth Markets Fund

BOSTON--(BUSINESS WIRE)--

Natixis Global Associates (NGA) announced today the launch of a risk-managed emerging markets mutual fund from AlphaSimplex Group (ASG). The ASG Growth Markets Fund (AGMAX) seeks to deliver the long-term returns of emerging market stocks with less severe drawdowns than major emerging market equity indexes. ASG seeks to control volatility through an overlay portfolio of futures and forward contracts designed to contain the risks of emerging market equities. Dr. Andrew W. Lo, a thought leader in risk management and global macro investing, will co-manage the fund with Mr. Jeremiah H. Chafkin and Dr. Alexander D. Healy.

“As traditional markets in the developed world become more crowded, emerging markets provide a natural alternative for new investment opportunities. However, the additional volatility associated with these growing markets is a valid concern of investors,” said Dr. Lo. “Our risk-controlled approach to investing focuses on reducing the impact of potential drawdowns so that investors can better weather the volatility and remain invested long enough to benefit from the long-term potential returns of these markets.”

Similar to the other three ASG funds — ASG Global Alternatives Fund (GAFAX), ASG Diversifying Strategies Fund (DSFAX), and ASG Managed Futures Strategy Fund (AMFAX) — the new fund uses a mix of long and short exposures that ASG actively adjusts with the goal of controlling risk. A portion of the fund's assets is allocated to a portfolio of emerging market equities subadvised by Westpeak Global Advisors. ASG manages the risk elements of the equity portfolio with an overlay portfolio of futures contracts on developed and emerging market equity indexes, government bonds, short-term interest rates, and commodities, as well as forward contracts on developed and emerging market currencies. The remainder of the fund's assets is invested in a portfolio of cash securities, which will be used to support the overlay portfolio of futures and forward contracts. Reich & Tang will serve as the subadvisor for the cash portfolio.

The fund is the latest in a growing line-up of alternative strategy funds distributed by NGA, a leader in niche investment solutions. NGA now offers investors seven such funds. In addition to the four ASG funds, the others are Gateway Fund (GATEX), the Loomis Sayles Multi-Asset Real Return Fund (MARAX) and the Loomis Sayles Absolute Strategies Fund (LABAX).

“NGA is fully committed to developing innovative investment solutions designed to help individuals and their investment advisors build more durable portfolios,” said John Hailer, president and chief executive officer of Natixis Global Asset Management – U.S. and Asia. “With this unique approach to emerging markets investing, Andrew Lo and the ASG team are offering a way for investors to gain exposure to the long-term return and diversification features of emerging market stocks while seeking lower annualized volatility and less severe drawdowns than traditional emerging market equity funds and ETFs.”

The ASG Growth Markets Fund is available to U.S. investors through A, C and Y shares. The minimum investment is $2,500 for A and C shares, $100,000 for Y shares.¹

About AlphaSimplex Group

AlphaSimplex Group (ASG) specializes in absolute return strategies, including global macro and dynamic asset allocation. The firm's first mutual fund, Natixis ASG Global Alternatives Fund (GAFAX), was launched in September 2008. ASG was founded in 1999 by Dr. Andrew W. Lo, AlphaSimplex's Chief Investment Strategist. Dr. Lo is also a professor of finance at the MIT Sloan School of Management and a recognized thought leader in the fields of behavioral finance and risk management. Dr. Lo has published numerous articles in finance and economics journals, and is author of The Econometrics of Financial Markets, A Non-Random Walk Down Wall Street and Hedge Funds: An Analytic Perspective.

About Natixis Global Associates

Natixis Global Associates (NGA) is the distribution arm of Natixis Global Asset Management. NGA works on a consultative basis from its network of worldwide offices, tailoring the expertise of its managers to meet the investment objectives of local clients. In the U.S., Natixis Global Associates includes Natixis Distributors, L.P. (member FINRA) and Natixis Asset Management Advisors, L.P. (a registered investment advisor). Both are located at 399 Boylston Street, Boston, MA 02116. ga.natixis.com

About Natixis Global Asset Management

Natixis Global Asset Management is one of the 15 largest asset managers in the world based on assets under management.² Its affiliated asset management companies provide investment products that seek to enhance and protect the wealth and retirement assets of both institutional and individual investor clients. Its proprietary distribution network helps package and deliver its affiliates' products around the world. Natixis Global Asset Management brings together the expertise of multiple specialized investment managers based in Europe, the United States and Asia to offer a wide spectrum of equity, fixed-income and alternative investment strategies.

Headquartered in Paris and Boston, Natixis Global Asset Management's assets under management totaled $773 billion (€533 billion) as of June 30, 2011. Natixis Global Asset Management is part of Natixis. Listed on the Paris Stock Exchange, Natixis is a subsidiary of BPCE, the second-largest banking group in France. Natixis Global Asset Management's affiliated investment management firms and distribution and service groups include Absolute Asia Asset Management; AEW Capital Management; AEW Europe; AlphaSimplex Group; Aurora Investment Management; Capital Growth Management; Caspian Capital Management; Darius Capital Partners; Gateway Investment Advisers; H2O Asset Management; Hansberger Global Investors; Harris Associates; Loomis, Sayles & Company; Natixis Asset Management; Natixis Global Associates; Natixis Multimanager; Ossiam; Reich & Tang Asset Management; Snyder Capital Management; and Vaughan Nelson Investment Management.

¹ For further detail regarding minimum investments, please see the fund prospectus.
² Cerulli Quantitative Update: Global Markets 2011, based on December 31, 2010 AUM of $713 billion.

RISKS: Derivatives, primarily futures and forward contracts, generally have implied leverage (a small amount of money to make an investment of greater value). Because of this, the fund's extensive use of derivatives may magnify any gains or losses on those investments, as well as risk to the fund. Market value of any security involves risk, including risk of loss. Generally speaking, stocks are more volatile than bonds or short-term instruments. Foreign investments are subject to greater investment risk such as political, economic, credit and information risks as well as the risk of currency fluctuations. These risks are magnified in emerging markets. This fund is non-diversified and may tend to be more volatile than diversified funds.

Before investing, consider the fund's investment objectives, risk, charges, and expenses. Visit ga.natixis.com or call 800-225-5478 for a prospectus or a summary prospectus containing this and other information. Read it carefully.

This material should not be considered a solicitation to buy or an offer to sell any product or service to any person in any jurisdiction where such activity would be unlawful. Natixis Distributors, L.P. (fund distributor) is affiliated with AlphaSimplex Group, LLC; Gateway Investment Advisers, LLC; Loomis, Sayles & Company, L.P.; and Reich & Tang Asset Management, LLC.

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