A Family of Interval Funds
Alternative Fund Advisors, LLC (“AFA”) is the investment manager of the AFA Funds, a family of interval funds that seeks to enable individual investors to access private investments with greater convenience and transparency than limited partnerships.
While private investment allocations are growing among institutional investors, they are largely absent in the portfolios of individual investors. Yet, investments in private assets may offer investors attractive returns on a risk-adjusted as well as absolute basis.
AFA Multi-Manager Credit Fund
Investor Class: AMCJX
Institutional Class: AMCLX
Structured as a closed-end interval fund, the AFA Multi-Manager Credit Fund (Fund) seeks to offer accredited investors efficient access to diversified sources of returns generated by specialty managers dedicated to uncovering unique opportunities across public and private debt markets around the world.
By opportunistically investing in private credit strategies, the Fund seeks to achieve:
An attractive annual yield
Low correlation to other assets
Financial intermediaries can request a presentation book here.
Investment Considerations and Disclosures
Investors should carefully consider the Fund’s investment objectives, risks, charges, and expenses before investing. This information is included in the Fund Prospectus and a copy may be obtained by calling 800-452-6804 or by contacting us here.
Read the prospectus carefully before you invest.
An investment in the Fund involves a high degree of risk. An investment in the Fund should be viewed only as part of an overall investment program and you should invest only if you can sustain a complete loss of your principal. Please read the prospectus carefully. An investment in the Fund is subject to, among others, the following risks:
- The Fund is not intended as a complete investment program but rather the Fund is designed to help investors diversify into private credit investments.
- The Fund is a “nondiversified” management investment company registered under the Investment Company Act of 1940. Since the Fund is non-diversified, it is subject to higher reduction of capital and volatility than a fund more proportionately allocated among a large number of securities.
- An investment in the Fund involves risk. The Fund is new with no significant operating history by which to evaluate its potential performance. There can be no assurance that the Fund’s strategy will be successful.
- The Fund may use leverage its investments by “borrowing.” The use of leverage increases both risk of loss and profit potential. The Fund is subject to large shareholder transaction risks which may cause the Fund to sell portfolio securities at times when it would not otherwise do to so satisfy large shareholder redemptions.
- Shares of the Fund are not listed on any securities exchange and it is not anticipated that a secondary market for shares will develop.
- Shares are appropriate only for those investors who can tolerate a high degree of risk, do not require a liquid investment.
- There is no assurance that you will be able to tender your shares when or in the amount that you desire. Although the Fund will offer quarterly liquidity through a quarterly repurchase process, an investor may not be able to sell or otherwise liquidate all their shares tendered during a quarterly repurchase offer.
- The Fund’s investment in private credit companies is speculative and involves a high degree of risk, including the risk associated with leverage.
The Fund has an interval fund structure pursuant to which the Fund, subject to applicable law, conducts quarterly repurchase offers for no less than 5% of the Fund’s Shares outstanding at NAV. While the quarterly repurchase offer is expected to be 5%, the amount of each quarterly repurchase offer may be 5% to 25% subject to approval of the Board of Trustees (the “Board” and each of the trustees on the Board, a “Trustee”). It is also possible that a repurchase offer may be oversubscribed, with the result that shareholders may only be able to have a portion of their Shares repurchased. There is no assurance that you will be able to tender your Shares when or in the amount that you desire.