Aston Announces Two Co-Portfolio Managers Added to Covered Call Strategy
Chicago, IL – Aston Asset Management, LP (“Aston”) is pleased to announce the addition of David J. Watson and Adam D. Neves as co-portfolio managers on the ASTON/Anchor Capital Enhanced Equity Fund (AMBEX) as of February 2014. Mr. Watson, specializing in equities, has been with Anchor Capital as an analyst since 2001. He received his MBA in Finance from the University of California in 2000. Mr. Neves joined Anchor Capital in 2012 as a trader. He works alongside lead portfolio manager Ronald L. Altman on the options portion of the portfolio.
The Fund seeks total return by investing in dividend-paying stocks and writing call options on a substantial portion of the underlying portfolio (“covered calls”). The goal is to combine income and capital appreciation with less volatility than a traditional equity-income strategy. Mr. Altman has managed covered call strategies for nearly a decade and has more than 40 years of overall investment experience.
“David and Adam have both contributed significantly to the running of the portfolio in their various specialties, and I’m pleased that this is now reflected in their new, more-prominent roles”, said Mr. Altman.
Stuart D. Bilton, Chairman and Chief Executive Officer of Aston, noted that, “We think this move shows the breadth of talent behind the running of the Fund, which requires specialized skill to manage. We’re fully confident in the expertise of Ron Altman and his team.”
Aston Asset Management, LP
Headquartered in Chicago, Illinois, Aston provides investment management services to the mutual fund and managed accounts markets by carefully selecting, monitoring and marketing experienced boutique investment managers, who seek to achieve consistent investment performance using disciplined investment processes and best in class business standards. From the initial due diligence on an investment manager to the launching of a new Aston Fund, we take measured steps to ensure congruence between the requirements of Aston, the capabilities of the subadviser and the needs of clients. As of December 31, 2013, Aston is the adviser to 23 mutual funds with total net assets of approximately $15.9 billion. Our funds are distributed nationally through intermediaries including registered investment advisors, model platforms, broker-dealers, consultants, retirement platforms and wealth management teams.
Note: By selling covered call options, the Fund limits its opportunity to profit from an increase in the price of the underlying stock above the exercise price, but continues to bear the risk of a decline in the stock. A liquid market may not exist for options held by the Fund. If the Fund is not able to close out an options transaction, it will not be able to sell the underlying security until the option expires or is exercised. While the Fund receives premiums for writing the call options, the price it realizes from the exercise of an option could be substantially below a stock’s current market price. Premiums from the Fund’s sale of call options typically will result in short-term capital gain taxes, making it ill suited for investors seeking a tax efficient investment. The use of derivatives by the Fund to hedge risk may reduce the opportunity for gain by offsetting the positive effect of favorable price movements. There is no guarantee that derivatives, to the extent employed, will have the intended effect, and their use could cause lower returns or even losses to the Fund.
Investors should consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. Please call 800 597-9704 for a prospectus or a summary prospectus which contains this and other information about the Fund. Read it carefully before you invest or send money. Aston Funds are distributed by Foreside Funds Distributors LLC.