Passive index-tracking investments should be customized to suit specific desired outcomes. These investments should not purely be one-size-fits-all.
Individuals should be able to enhance passive index-tracking results in order to target specific desired outcomes, just as institutions have long been able to do
Investments should be transparent. Investors should know what they’re investing in and know what it costs them.
Using fixed-term investments allows investors to stick to their investment strategy and to avoid buying high and selling low.
|Mutual Funds||ETFs||m+ funds (UITs)||Structured Notes|
|Term||Open ended||Open ended||Defined Maturity||Defined Maturity|
|Liquidity||Daily at NAV. Not exchange listed||Intraday & daily at NAV. Exchange listed||Daily at NAV. Not exchange listed||Secondary market provided by issuing bank. Not exchange listed|
|Transparency of Fees & Assets||High||High||High||Low|
|Issuer Credit Risk||No||No||No||Yes|
|Publicly Available NAVs or Values||Yes||Yes||Yes||No|
Each m+ fund is a series issued under the m+ funds Trust, a unit investment trust organized in series. Cowen Prime Services, LLC serves as the sponsor, depositor and principal underwriter of the m+ funds Trust and each series, while Alaia Capital acts as the portfolio consultant, evaluator and supervisor.
Each m+ fund is based on the performance of an ETF (the “Reference Asset”). An m+ fund seeks to achieve its investment objective, from its inception value to its value on the maturity date, by investing in a portfolio of exchange listed FLexible EXchange® options (“FLEX Options”) on the Reference Asset at various strike price levels, with European exercise style and with an expiration dates equal to that of the m+ fund, and cash or cash equivalents. FLEX Options are customized option contracts listed on a U.S. national securities exchange that are guaranteed for settlement by the Options Clearing Corporation (the “OCC”). They provide for price discovery in competitive, transparent auctions markets and avoid the counterparty exposure of over-the-counter options positions. The OCC guarantees performance by each of the counterparties to the FLEX Options, becoming the “buyer for every seller and the seller for every buyer,” protecting clearing members and options traders from counterparty risk.
Fees and expenses for m+ funds are detailed in the particular prospectus and term sheets, and will include upfront sales charges and organization expenses, and on-going expenses. m+ funds ability to provide its investment objective depends on investors purchasing units valued at their inception value and holding them until the maturity date. Because the price at which investors may purchase units at inception will also include certain organizational costs and sales charges, it may be higher than the inception value.
New m+ funds are offered frequently. The following funds are currently in their primary offering period.