Strategy. The Fund pursues its investment objective by making a combination of investments (i) directly in an actively managed fixed -income portfolio (typically U.S. Treasuries and other short -term U.S. government obligations) comprised of cash, cash equivalents, securities issued by the U.S. government with one year or less term to maturity and money market funds (the Fixed Income Portfolio) and (ii) directly or indirectly in a diversified portfolio of futures contracts and futures -related instruments such as forwards and swaps in broadly diversified global (i.e., U.S. and non -U .S., including emerging markets) markets across a wide range of asset classes, including equities, fixed income, currencies and commodities, utilizing a portfolio of futures, forwards, options, spot contracts and swaps (the Futures … Show more… The Fund pursues its investment objective by making a combination of investments (i) directly in an actively managed fixed -income portfolio (typically U.S. Treasuries and other short -term U.S. government obligations) comprised of cash, cash equivalents, securities issued by the U.S. government with one year or less term to maturity and money market funds (the Fixed Income Portfolio) and (ii) directly or indirectly in a diversified portfolio of futures contracts and futures -related instruments such as forwards and swaps in broadly diversified global (i.e., U.S. and non -U .S., including emerging markets) markets across a wide range of asset classes, including equities, fixed income, currencies and commodities, utilizing a portfolio of futures, forwards, options, spot contracts and swaps (the Futures Portfolio). The Fund either invests directly in those instruments, or indirectly by investing via a swap or via its wholly -owned subsidiary organized in the Cayman Islands (the Subsidiary) which may then invest in such assets directly or indirectly. Chesapeake Capital Corporation (Chesapeake or the Sub -Advisor ) manages the Futures Portfolio and the Subsidiarys Futures Portfolio by applying the Chesapeake Program. The Chesapeake Program is a long -term trend following (a strategy that generally seeks to identify the general direction of one or more global market segments (either up or down) using indicators such as current market prices and moving average prices, and buy or sell investments based on the assessment of these trade signals as determined before a trade is made) program that utilizes trading systems across a broadly diversified set of markets with a systematic trading (a trading strategy that employs computer -driven , mathematical models to identify when to buy or sell an instrument according to rules determined before a trade is made, generally with little or no human intervention once a mathematical formula has been entered) approach, focusing on capital preservation while attempting to provide positive annual returns. Chesapeake analyzes markets, including price movement, market volatility, open interest (the total number of contracts long or short in a delivery month or market that has been entered into and not yet liquidated by an offsetting transaction or fulfilled by delivery), and volume, as a means of predicting market opportunity and discovering any repeating patterns in past historical prices. The scope of markets that may be accessed includes stock indices, single stock futures, interest rates, currencies, and commodities. The Chesapeake Program may also invest directly in long and short positions of U.S. and non -U .S. equity securities as part of its broader trend following program. The direct investments in equity securities will typically not exceed 30% of the Funds total assets. The Fund may make some or all of its investments in the Futures Portfolio through the Subsidiary. Applicable federal tax requirements generally limit the degree to which the Fund may invest in the Subsidiary to an amount not exceeding 25% of its total assets at each quarter end of the Funds fiscal year. Generally, the Subsidiary will primarily invest directly or indirectly in commodity futures, but it may also invest in swaps, financial futures, foreign exchange currency forwards, U.S. government securities, money market funds, and/or other investments intended to serve as margin or collateral for the Subsidiarys derivative positions. Through investing in the Subsidiary, the Fund will, among other things, be able to gain exposure to the commodities markets within the limitations of the federal tax laws, rules and regulations that apply to regulated investment companies. To the extent they are applicable to the investment activities of the Subsidiary, the Subsidiary will be subject to the same investment restrictions and limitations, and follow the same compliance policies and procedures, as the Fund. Unlike the Fund, the Subsidiary may invest without limitation in commodity -linked derivative instruments (including commodity futures), however, the Subsidiary will comply with the same asset coverage requirements imposed by the Investment Company Act of 1940, as amended (the 1940 Act) with respect to its investments in commodity -linked derivatives (including commodity futures) that are applicable to the Funds transactions in derivatives. Unlike the Fund, the Subsidiary will not seek to qualify as a regulated investment company under Sub -chapter M of the Internal Revenue Code of 1986, as amended (the Code). The Fund is the sole shareholder of the Subsidiary and does not expect shares of the Subsidiary to be offered or sold to other investors. The Funds returns will be derived principally from changes in the value of securities and derivatives of securities held in the Funds portfolio (including its investment in the Subsidiary), and the Funds assets will consist principally of securities. The Sub -Advisor may engage in frequent buying and selling of portfolio holdings to achieve the Funds investment objective. Show less