The Auction Fund
Our commitment to extending investor access to alternative investments is rooted in the intrinsic appeal of these options. At KJLK, we recognize the pivotal importance of well-structured fund design in realizing these advantages.
Auction funds can be thought of as privately placed version of exchange traded funds (ETFs) for illiquid assets…Nasdaq Private Market (NPM) was granted limited exemptive relief by the Security Exchange Commission (SEC) from Rule 102 of Regulations M under the SEC Act of 1934, which allows NPM to conduct periodic liquidity auctions for certain ‘40 Act registered funds.
- How Private Investments Can Access Liquidity, Nasdaq Private Market Team
Reduced Volatility
Alternative investments often operate with strategies designed to generate alpha independently of broad market movements. They can smooth out the overall portfolios risk-return profile.
Elevated Yield & Return
Alternative investments, such as private equity, hedge funds, and real assets, have the potential to deliver heightened performance due to their unique strategies, active management, opportunistic investing, and access to less efficient markets.
Enhanced Diversification
These alternative assets typically exhibit low correlation with traditional stocks and bonds which can act as a valuable risk mitigator and enhance the potential for consistent, uncorrelated returns
