SOURCE: Emerald Asset Advisors

Emerald Asset Advisors

September 22, 2010 08:05 ET

Emerald Asset Advisors Launches New Fund

WESTON, FL--(Marketwire - September 22, 2010) - Emerald Asset Advisors, LLC (, a separate account and mutual fund manager founded in 1998, announced the launch of its newest mutual fund, the EAS Global Cycle Fund (NASDAQ: EGCSX) on September 1, 2010. 

The Fund is derived from Emerald's proprietary Global Cycle strategy which it created in October 2005 and has been operating as a separately managed account composite since that time. The Global Cycle strategy is a multi-theme, multi-manager global equity portfolio with a tactical style that actively hedges and/or raises cash when necessary to reduce volatility and play defense during market downturns.

As an extension of this strategy as an open-end mutual fund, the EAS Global Cycle Fund seeks to capitalize on positive long-term growth trends around the globe, diversifying across multiple themes and market segments. The Fund may also invest a percentage of its portfolio in inverse ETFs, dedicated short mutual funds and/or cash as a hedge in perceived periods of high market risk.

"Through an ongoing research process, we aim to identify attractive cyclical or secular themes that we feel present great upside potential," said Robert Isbitts, Emerald's Chief Investment Officer and co-founder. "While these are generally long-term global growth ideas, it is rarely a smooth investment ride so the key for us is to actively adjust our exposure and rebalance our weightings along the way. Since we started this strategy nearly five years ago, we have balanced global thematic investing with judicious hedging, which in our view offers a great combination."

Mr. Isbitts explained that the Fund takes a flexible and opportunistic approach and generally holds between 10 and 20 underlying mutual funds and/or ETFs which each represent a particular theme. As a "fund-of-funds" manager, Emerald's research team closely monitors the underlying funds and adjusts the portfolio mix based on macro-economic trends, changing market conditions and specific activity related to each underlying fund. The Fund's management team employs a top-down approach to macro strategy, followed by a bottom-up diligence process regarding specific security selection. The Fund, he noted, is not too constrained by specific markets or sectors.

"New growth trends continuously emerge and evolve on the global scale, and they can offer tremendous opportunity. Our goal is to capitalize on these areas while mitigating the risk that generally characterize global equities. We believe we've done that very well in the Global Cycle SMA, and we're excited to now make it available as an open-end fund."

As of June 30, 2010, the portfolio themes in Emerald's Global Cycle SMA Composite included environmental equities, China equity, India equity, frontier markets, gold and healthcare, with some cash and dedicated short equity positions. Other themes that have been pursued in the past include alternative energy, global infrastructure, potable water and global REITs.

Emerald opened its flagship allocation fund (the EAS Genesis Fund) in August 2008 and is excited to add a second fund to its family. Like the EAS Genesis Fund, The EAS Global Cycle Fund offers three share classes (A, C and I), two of which have a minimum $2,500 initial investment. The track record for Emerald's Global Cycle SMA Composite is GIPS®-compliant (Global Investment Performance Standards) and can be viewed in Morningstar's separately managed account database or by contacting the firm. The EAS Global Cycle Fund is available through a variety of investing platforms, including Fidelity, Pershing, Schwab, TD Ameritrade and others. Information on direct investment in the Fund is available at

About Emerald:

Emerald Asset Advisors, LLC is the Advisor to the EAS Global Cycle Fund. Founded in 1998, Emerald is a Registered Investment Advisor (RIA) serving the needs of high net worth individuals, wealthy families, financial advisors and institutional investors. The managers of the EAS Global Cycle Fund share over 100 years of collective investment experience. For more information about the firm, you may contact Stephanie Carreras at 954-385-9624.

An investor should consider the Funds' investment objectives, risks, charges and expenses carefully before investing. This and other information about the EAS Global Cycle Fund and EAS Genesis Fund is contained in the Funds' prospectus, which can be obtained by calling 1-877-EAS-0757 (1-877-327-0757). Please read the prospectus carefully before investing. The Fund is distributed by Northern Lights Distributors, LLC, member FINRA.

The Fund engages in hedging activities by investing in inverse ETFs. Inverse ETF's may employ leverage, which magnifies the changes in the underlying stock index upon which they are based. Any strategy that includes inverse securities could cause the Fund to suffer significant losses.

The Fund may purchase ETFs and Underlying Funds that invest in "alternative asset" or "specialty" market segments. The risks and volatility of these investments are linked to narrow segments of the economy such as commodities, foreign currencies, or real estate, and may include leverage, which magnifies the changes in the value of the ETF or Underlying Fund. ETF's are subject to specific risks, depending on the nature of the underlying strategy of the fund. These risks could include liquidity risk, sector risk, as well as risks associated with fixed income securities, real estate investments, and commodities, to name a few.

An investor's overall cost of investing in the Fund will be higher than the cost of investing directly in Underlying Fund shares and the investor will indirectly bear fees and expenses charged by the Underlying Funds in addition to the Fund's direct fees and expenses.

The Fund may invest in small, less well-known companies, which may be subject to more erratic market movements than large-cap stocks; foreign securities, which are subject to currency fluctuations and political, economic and market uncertainty; These risks may result in greater share price volatility. In addition, the use of leverage in an investment portfolio can magnify any price movements, resulting in high volatility and potentially significant loss of principal.

The Fund may invest in derivatives (Option Contracts). Even a small investment in options may give rise to leverage risk, and can have a significant impact on the Fund's performance. Derivatives are subject to credit risk and liquidity risk.

Emerald Asset Advisors, LLC and Northern Lights Distributors, LLC are not affiliated.

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