The Structure and Value of the Mosaic Platform: The platform combines the advantages of individual managed accounts with pooled investments. AlphaMetrix Investment Advisors, LLC is the Manager of the Structured Managed Accounts and maintains the entire back office process. The platform provides real-time online investment tracking to the investor. By investing through these Structured Managed Accounts, trade validation and risk of fraud is mitigated. Investors only need to perform their operational and structural due diligence once, but will have access to the selection of managers on the platform, freeing up resources to focus on the investment process.

But the key element of this investment system is the “structured managed account.” Each structured managed account provides investors with the same benefits versus a manager’s own fund as do traditional managed accounts:

Leverage:  Investors will not be required to fully fund the investment as they would in the trading advisor’s fund.  For most trading managers, the investor may achieve up to three or four times leverage on their cash invested or, stated another way, can achieve 100% exposure by depositing 25% to 40% of the nominal trading (to achieve maximum leverage). There is no borrowing cost associated with leverage for Manager Cells containing futures or FX trading programs.

Transparency: Real-time processing of positions.

Liquidity: Investor has semi-monthly liquidity in most cases. AlphaMetrix Risk Management has real-time liquidity to manage risk.

At the same time, our structured managed accounts also offer advantages over managed accounts themselves:

Limited Liability:  Unlike direct managed accounts that can subject investors to potentially unlimited liability in the event of a market disaster, investors in the individual Structured Managed Accounts would only be subjected to limited loss (to the extent allowable by law).

Efficiency: No need for long negotiations and credit review process. Investors will not need to make arrangements with a broker or negotiate fees with the trading advisor.  Investors will be able to easily make an investment in one or more trading advisors quickly without excess paperwork.

Administration/Back Office: managed by AlphaMetrix Investment Advisors to remove the operational burdens of managed account investments.