Permal Investment Holdings N.V. is managed by Permal Investment Management Services Limited ("Permal"), a company incorporated in the United Kingdom. The Responsible Entity of the Trust has decided to obtain exposure to the strategy set by Permal by holding Permal Shares. The following paragraph explains this strategy.
Permal's multi-manager investment philosophy is to create and maintain diversified portfolios of quality managers that provide safety of capital, investor liquidity and above average returns with below average volatility when compared with traditional investments. Portfolios are designed to participate significantly in strong markets, preserve capital in down or volatile markets and outperform market indices over a full market cycle. A market cycle is defined as a combination of bullish and bearish periods. By diversifying assets by manager, region, investment style, asset class, and sector, the portfolio aims to reduce risk. Permal Investment Holdings N.V. provides exposure to a carefully selected group of underlying investment managers that manage a broad range of global alternative investments, including long/short, macro, long equity, emerging growth and event driven strategies. Alternative investments typically have flexible investment strategies that have absolute return objectives, allow for the use of derivatives, leverage and short selling, and aim to generate returns that have low correlation with traditional asset classes.