IMPORTANT DISCLOSURES AND KEY RISK FACTORS
This is not an offering to subscribe for shares of Private Advisors Alternative Strategies Master Fund ("Master Fund") or Private Advisors Alternative Strategies Fund ("Feeder Fund") (collectively "Funds"), and is intended for informational purposes only. Copies of the Prospectus may be obtained online at mainstayinvestments.com/privateadvisors or by contacting Private Advisors at 888-207-6176. Past performance does not guarantee future results.
The recently organized Funds are Delaware statutory trusts that are registered under the Investment Company Act of 1940 as amended ("1940 Act"), non-diversified, closed-end management investment companies and shares of the Funds are registered under the Securities Act of 1933, as amended "Securities Act." An offering can only be made by delivery of the Prospectus to "eligible investors" as described in the Prospectus. The Funds are structured as "master-feeder" funds. Accordingly, the Feeder Fund invests substantially all of its assets in the Master Fund. Generally only investors that satisfy the definitions of "accredited investor" as defined in Regulation D under the Securities Act will be eligible investors. The Master Fund invests in private investment funds or hedge funds. Hedge funds are speculative investments and are not suitable for all investors, nor do they represent a complete investment program.
Hedge Funds can be highly volatile, carry substantial fees, and involve complex tax structures. Investments in the Funds involve a high degree of risk, including loss of entire capital. The hedge funds may engage in speculative investment strategies and practices, such as the use of leverage, short sales, and derivatives transactions, which can increase the risk of investment loss. The Funds provide limited liquidity, and shares in the Funds are not transferable. Liquidity will be provided only through repurchase offers made by the Funds from time to time, generally on a quarterly basis upon prior written notice.
The success of the Funds is highly dependent on the financial and managerial expertise of its principals and key personnel of the Funds' Sub-Advisor, Private Advisors, LLC ("Sub-Advisor"). Although the Sub-Advisor expects to receive detailed information from each hedge fund on a regular basis regarding its valuation, investment performance, and strategy, in most cases the Sub-Advisor has little or no means of independently verifying this information. The hedge funds are not required to provide transparency with respect to their respective investments. By investing in the hedge funds indirectly through the Funds, investors will be subject to a dual layer of fees, both at the Fund and hedge fund levels. Please see the Prospectus for a detailed discussion of the specific risks of the Funds and other important considerations.
Investors should consider the Funds' investment objectives, risks, charges, and expenses before investing. The Prospectus, which contains this and other information about the Funds, should be read carefully before investing. An investment in the Funds is not appropriate for all investors and is not intended to be a complete investment program. The Funds are designed as long-term investments and not as trading vehicles.
There can be no assurance that the Funds' investment objectives will be met.