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Salient Adaptive Balanced Fund

Daily NAV

Updated: 7/16/18

Inception Date
Dec 27, 2000
Net Assets (All Classes)
$23.3 M

The fund is closed to new investments as of June 13, 2018.



The fund seeks high potential capital appreciation.


The fund is a risk-targeted portfolio that invests primarily in other Salient Funds, exchange-traded funds, exchange-traded notes, futures and other derivatives in order to gain exposure to global equity markets, global interest rate markets, global credit markets, and global commodity markets.

  • The portfolio targets a constant level of volatility, as measured by the annualized standard deviation.
  • The fund seeks to provide a balance of growth and income with a moderate correlation to overall equity and bond markets.
  • Designed for growth-oriented investors focused on long-term growth.

Roberto Croce, Ph.D.

Managing Director, Quantitative Strategies

Nathan J. Rowader

Senior Portfolio Manager
San Francisco

Xuan Huan

Senior Analyst

Berto Brauns

Associate Portfolio Manager

Eduardo Sahione

Senior Quantitative Analyst

Nathan J. Rowader is a registered representative of ALPS Distributors, Inc.


Performance (%)

  Jun'181 Q22 YTD2 1 YR2 3 YR2 5 YR2 10 YR2 SINCE
Institutional NAV -0.98 -0.91 -2.07 6.28 0.79 1.99 1.95 2.40
Investor NAV -1.12 -1.12 -2.40 5.67 0.25 1.47 1.43 1.89
Class A NAV* -1.08 -1.08 -2.32 5.85 0.39 1.62 1.58 3.52
Class A MOP** -6.80 -6.80 -7.93 -0.22 -1.58 0.43 0.98 3.10
Class C NAV† -1.18 -1.18 -2.59 5.20 -0.25 0.95 0.93 3.66
Class C MOP‡ -2.16 -2.16 -3.55 4.20 -0.25 0.95 0.93 3.66
60% MSCI World Index/40% Bloomberg Barclays Global Aggregate Bond Index -0.18 0.03 -0.08 7.53 6.59 6.97 5.39

1. As of 06/30/2018
2. As of 06/30/2018

Returns for periods greater than one year are annualized.
* Excludes sales charge.
** Reflects effects of the fund’s maximum sales charge of 5.75%.
† Excludes the effects of the 1% contingent deferred sales charge.
‡ Includes the effects of the 1% contingent deferred sales charge.

The performance quoted represents past performance, does not guarantee future results and current performance may be lower or higher than the data quoted. The investment return and principal value of an investment will fluctuate so that shares, when redeemed, may be worth more or less than their original cost. Performance data current to the most recent month end may be obtained on this website. Investment performance reflects fee waivers in effect. In the absence of fee waivers, total return would be lower. Total return is based on NAV, assuming reinvestment of all distributions. Performance does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares.

Calendar Year Performance (%)

Class A14.26-1.10-7.73-2.459.1512.25-8.4510.4823.62-35.25
Class C13.46-1.73-8.36-0.718.4911.57-6.759.6722.88-35.66
60% MSCI World Index/40% Bloomberg Barclays Global Aggregate Bond Index16.585.87-1.333.6914.4010.29-0.399.2918.88-24.00

Growth of $10,000*** as of 03/31/2018

*** This chart illustrates the performance of a hypothetical $10,000 investment made in the fund on the commencement of its operations and assumes no additional deposits or withdrawals were made to the fund and assumes reinvestment of dividends and capital gains. This chart is not intended to imply any future performance of the fund. The chart does not reflect the deduction of taxes that a shareholder would pay on fund distributions or the redemption of fund shares.

Yield as of 06/30/2018

Investor DIVIDEND YIELD 6.27
Investor 30-DAY SEC YIELD (%) 2.39
Investor 30-DAY SEC YIELD (UNSUBSIDIZED) (%) 2.07
Institutional DIVIDEND YIELD 6.86
Institutional 30-DAY SEC YIELD (%) 2.88
Institutional 30-DAY SEC YIELD (UNSUBSIDIZED) (%) 2.55
Class A 30-DAY SEC YIELD (%) 2.45
Class C 30-DAY SEC YIELD (%) 1.95

Past performance does not guarantee future results.

Expense Ratio as of 05/01/2018

  Gross Net
Investor 2.16% 1.89%
Institutional 1.66% 1.39%
Class A 2.01% 1.74%
Class C 2.66% 2.39%

Under an expense limitation agreement, the investment advisor has contractually agreed to waive its management fee and/or reimburse or pay operating expenses of the fund to the extent necessary to maintain the fund’s total operating expenses at 0.82% for Investor Class, 0.32% for Institutional Class, 0.67% for Class A and 1.32% for Class C shares, excluding certain expenses, such as taxes, brokerage commissions, interest, short dividend expense, any acquired fund fees and expenses, litigation and extraordinary expenses. This expense limitation agreement expires on April 30, 2019, and may only be modified or terminated by a majority vote of the independent trustees. The advisor is permitted to recover waived expenses for a period of up to three years.


Asset Allocation (%) as of 03/31/2018

A Adaptive Growth 25.87
B Adaptive US Equity 18.40
C International Dividend Signal 13.06
D Trend 10.00
E iShares 7-10 Year Treasury Bond ETF 8.23
F iShares® Emerging Markets HYB ETF 5.18
G Select Income 3.85
H Tactical Muni & Credit 3.70
I iShares iBoxx $ Hi Yield Corp. Bond ETF 3.54
J PIMCO Enhanced Short Maturity ETF 3.25
K International Real Estate 2.58
L iShares® MSCI Emerging Markets ETF 2.34

These allocations may not reflect the current or future positions in the portfolio. Percentages may not add to 100% due to rounding.

Fund Details as of 03/31/2018

Annual Portfolio turnover 61%
Distributions & Tax Information


Share Class Type Record Date Distribution
Per Share ($)
Ex-Dividend /
Reinvest /
Payable Date
Institutional Income Dividend 06/26/2018 0.15200 06/27/2018
Institutional Income Dividend 03/26/2018 0.09600 03/27/2018
Investor Income Dividend 06/26/2018 0.13400 06/27/2018
Investor Income Dividend 03/26/2018 0.08000 03/27/2018
Class A Income Dividend 06/26/2018 0.14000 06/27/2018
Class A Income Dividend 03/26/2018 0.08500 03/27/2018
Class C Income Dividend 06/26/2018 0.11900 06/27/2018
Class C Income Dividend 03/26/2018 0.06400 03/27/2018
Related Resources

You should consider a fund’s investment objectives, risks, charges and expenses carefully before investing. A prospectus with this and other information may be obtained by calling (800) 999-6809 or by downloading one from this website. It should be read carefully before investing.

Click here for fund-specific risks and definitions.

Fund Specific Risks

Salient Adaptive Balanced Fund


There are risks involved with investing, including loss of principal. Past performance does not guarantee future results, share prices will fluctuate and you may have a gain or loss when you redeem shares.

Each allocation fund is a fund of funds that primarily invests in a mix of underlying Salient Funds and related mutual funds. Shareholders of an allocation fund indirectly bear the expenses of the underlying funds. An allocation fund’s allocations may be changed at any time. Asset allocation does not assure profit or protect against risk.

Borrowing for investment purposes creates leverage, which can increase the risk and volatility of a fund.

Exposure to the commodities markets may subject a fund to greater volatility than investing in traditional securities. The value of commodity-linked derivative instruments may be affected by changes in overall market movements, commodity index volatility, changes in interest rates, or factors affecting a particular industry or commodity, such as natural disasters and international economic, political and regulatory developments.

Debt securities are subject to interest rate risk. If interest rates increase, the value of debt securities generally declines. Debt securities with longer durations tend to be more sensitive to changes in interest rates and more volatile than securities with shorter durations.

Derivative instruments involve risks different from those associated with investing directly in securities and may cause, among other things, increased volatility and transaction costs or a fund to lose more than the amount invested.

Investing in exchange-traded funds (ETFs) will subject a fund to substantially the same risks as those associated with the direct ownership of the securities or other property held by the ETFs.

Investing in exchange-traded notes (ETNs) will subject a fund to substantially the same risks as those associated with the direct ownership of the securities or other property held by the ETNs.

Foreign securities, especially emerging or frontier markets, will involve additional risks including exchange rate fluctuations, social and political instability, less liquidity, greater volatility and less regulation.

Investing in lower-rated (“high yield”) debt securities involves special risks in addition to those associated with investments in higher-rated debt securities, including a high degree of credit risk.

Mortgage and asset-backed securities are debt instruments that are secured by interests in pools of mortgage loans or other financial instruments. Mortgage-backed securities are subject to, among other things, prepayment and extension risks.

Investing in the real estate industry or in real estate-related securities involves the risks associated with direct ownership of real estate which include, among other things, changes in economic conditions (e.g., interest rates), the macro real estate development market, government intervention (e.g., property taxes) or environmental disasters. These risks may also affect the value of equities that service the real estate sector.

Short selling involves additional investment risks and transaction costs, and creates leverage, which can increase the risk and volatility of a fund.

Investing in smaller companies generally will present greater investment risks, including greater price volatility, greater sensitivity to changing economic conditions and less liquidity than investing in larger, more mature companies.

Alternative strategies typically are subject to increased risk and loss of principal. Consequently, investments such as mutual funds which focus on alternative strategies are not suitable for all investors.

Actual allocation represents the fund’s allocation in the underlying Salient Funds as of the date of this report. The fund’s current actual allocations may differ from the allocations described in the prospectus due to market fluctuations and other factors. Forward Management has the discretion to change the fund’s allocations.

The number of issues represents the issues held by the underlying Salient Funds. The holdings of the underlying funds may overlap or be substantially similar, and thus the number of issues shown does not represent the overall diversification of the allocation fund.

30-day SEC yield is a standardized calculation adopted by the SEC based on a 30-day period that helps investors compare funds using a consistent method of calculating yield.

30-day SEC yield (Unsubsidized) is a standardized calculation adopted by the SEC based on a 30-day period that helps investors compare funds using a consistent method of calculating yield. It excludes expense waivers and reimbursements.

Adaptive Balanced Blended Index is a hypothetical index constructed by Forward Management, which consists of 60% MSCI World Index and 40% Barclays Global Aggregate Bond Index.

Barclays Global Aggregate Bond Index represents a broad-based measure of the global investment-grade fixed income markets, with index components for government and corporate securities, mortgage pass-through securities and asset-backed securities.

Barclays Global Aggregate GDP Weighted Index represents a gross domestic product weighted index of global government, government-related, corporate and securitized fixed-income investments.

Correlation is a statistical measure of how two securities move in relation to each other.

MSCI World Index is a free float-adjusted market capitalization index designed to measure equity market performance in the global developed markets.

Standard deviation measures the degree to which a fund’s return varies from its previous returns or from the average of all similar funds.

Volatility is a statistical measure of the dispersion of returns for a given security or market index.

One cannot invest directly in an index.

Nathan J. Rowader is a registered representative of ALPS Distributors, Inc.