MainStay Investments Introduces MainStay Marketfield Fund
Shareholders Approve Adoption of Five Star $3.4 Billion Flexible Allocation Fund
New York, October 9, 2012 – MainStay Investments, a New York Life company, today announced that it has finalized the adoption of the MainStay Marketfield Fund (the "Fund") (Institutional Class: MFLDX; A Class: MFADX).
"We are very pleased Marketfield has joined our team of diversified and independent investment managers," said Stephen Fisher, president of the MainStay Funds. "We believe that MainStay Marketfield Fund will be a key driver for the continued growth of MainStay into the future. In today's challenging environment, we feel that the Fund's go-anywhere strategy provides an excellent option for our investors who are increasingly seeking sound alternative strategies."
The Fund, formerly known as Marketfield Fund (MFLDX), was originally launched in 2007 and managed by New York-based Marketfield Asset Management LLC ("Marketfield"). Led by President and Portfolio Manager Michael Aronstein and Chairman and CEO Michael Shaoul, Marketfield manages the Fund with a fundamental, top-down macro-economic approach. The Fund's Class I shares rated 5-stars overall (out of 90 funds) by Morningstar (as of September 30, 2012) has been one of the best-performing long-short equity funds, on both a risk-adjusted and absolute basis, since inception.
"We are delighted with this partnership and excited about the opportunities it presents to our firm and our investors," said Marketfield's Aronstein. "MainStay, one of the top fund families in the industry, will provide quality infrastructure and further extend the distribution of our investment capabilities to a broader investment audience while allowing us to continue to focus on our core investment management."
Aronstein and Shaoul bring over 50 years of combined investment experience to the Fund. Prior to joining Marketfield, Mr. Aronstein served in senior roles providing independent macroeconomic and strategic advice to professional investors as well as founding a discretionary commodity management firm. In addition to his role at Marketfield, Mr. Shaoul serves as chief executive officer of Oscar Gruss and Son Incorporated. Previously, Mr. Shaoul managed a Manhattan-based real estate investment and management company.
Having been approved by the Fund's shareholders, the Fund effectively became a part of the MainStay family of funds on October 5, 2012. MainStay Investments now serves as the Fund's investment manager with Marketfield as subadvisor, continuing to be responsible for the day-to-day portfolio management of the Fund.
About MainStay Investments
With more than $65.5 billion in assets under management as of September 30, 2012, MainStay Investments ("MainStay") is the mutual fund distribution arm of New York Life. MainStay provides financial advisors access to a powerful mix of autonomous, institutional investment managers, delivered by people who understand the needs of today's financial advisor. The MainStay Fund Family has been designated a top three fund family1 by Barron's for the 10-year time period for three consecutive years (as of 12/31/11, out of 45 mutual fund families). As an indirect subsidiary of New York Life Insurance Company, a Fortune 100 company founded in 1845, MainStay is owned by the largest mutual life insurance company in the United States2 and is one of the largest life insurers in the world.
About Marketfield Asset Management LLC
Marketfield Asset Management is a registered investment advisor with over $3.4 billion in assets under management as of September 30, 2012. The firm, through its funds, seeks capital appreciation by employing a flexible investment strategy based on the managers' constant and thorough assessment of general macroeconomic and business conditions.
New York Life Insurance Company
Marketfield Asset Management LLC
1. Barron's Annual Ranking of mutual fund families (February 6, 2012). To qualify for the Lipper/Baron's Fund Survey, a fund family must have at least three funds in Lipper's general U.S. stock category, one in world equity, one mixed equity fund, at least two taxable bond funds, and one tax-exempt offering. Each fund's returns are adjusted for 12b-1 fees. Fund loads, or sales charges, are not included in the calculation of returns. Each fund's return is measured against those of all the funds in its Lipper category.
2. Based on revenue as reported by "Fortune 500 ranked within Industries, Insurance: Life, Health (Mutual)," Fortune magazine, May 21, 2012.
For more information about MainStay Funds, call 800-MAINSTAY (624-6782) for a prospectus or summary prospectus. Investors are asked to consider the investment objectives, risks, and charges and expenses of the investment carefully before investing. The prospectus or summary prospectus contains this and other information about the investment company. Please read the prospectus or summary prospectus carefully before investing.
Past performance is not a guarantee of future results.
Mutual fund investing involves risk. Principal loss is possible. The Fund invests in smaller companies, which involve additional risks such as limited liquidity and greater volatility. The Fund invests in foreign securities which involve greater volatility and political, economic and currency risks and differences in accounting methods. These risks are greater for investments in emerging markets. Investments in debt securities typically decrease in value when interest rates rise. This risk is usually greater for longer-term debt securities. Investment by the Fund in lower-rated and non-rated securities presents a greater risk of loss to principal and interest than higher-rated securities. Investments in asset-backed and mortgage-backed securities involve additional risks such as credit risk, prepayment risk, possible illiquidity and default, and increased susceptibility to adverse economic developments. The Fund regularly makes short sales of securities, which involves the risk that losses may exceed the original amount invested, however a mutual fund investor's risk is limited to the amount invested in a fund. The Fund may also use options and futures contracts, which have the risks of unlimited losses of the underlying holdings due to unanticipated market movements and failure to correctly predict the direction of securities prices, interest rates and currency exchange rates. The investment in options is not suitable for all investors. Investments in absolute return strategies are not intended to outperform stocks and bonds during strong market rallies. The Fund may invest in derivatives, which often involves leverage, may increase the volatility of the Fund's NAV and may result in a loss to the Fund.
For each fund with at least a three-year history, Morningstar calculates a Morningstar RatingTM (based on a Morningstar Risk Adjusted Return measure that accounts for variation in a fund's monthly performance, including the effects of sales charges, loads, and redemption fees), placing more emphasis on downward variations and rewarding consistent performance. The top 10% of funds in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. (Each share class is counted as a fraction of one fund within this scale and rated separately, which may cause slight variations in the distribution percentages.) MainStay Marketfield Fund Class I Shares rated five stars and five stars for the three- and five-year periods among 90 and 56 long-short equity funds, respectively, as of 9/30/2012. Effective 10/8/12, Marketfield Fund was renamed MainStay Marketfield Fund. At that time, the Fund's existing no-load shares were redesignated Class I shares. Institutional shares require a minimum initial investment amount of $5 million for individuals, there is no minimum for institutions. Due to sales charges, performance for other share classes will be lower.
MainStay Investments is a service mark and name under which New York Life Investment Management LLC does business. MainStay Investments, an indirect subsidiary of New York Life Insurance Company, New York, NY 10010, provides investment advisory products and services. New York Life Investments engages the services of Marketfield Asset Management LLC, an unaffiliated, federally registered advisor, to subadvise the Fund.
The MainStay Funds are managed by New York Life Investment Management LLC and distributed through NYLIFE Distributors LLC, 169 Lackawanna Avenue Parsippany, NJ 07054, a wholly owned subsidiary of New York Life Insurance Company. NYLIFE Distributors is a Member of FINRA/SIPC