Launched in October 2014, The Horizon Active Risk Assist® Fund provides global equity exposure, including a risk mitigation strategy intended to guard against large declines in the Fund's investment portfolio.
The Fund is managed using a multi-disciplined global asset allocation strategy that utilizes Exchange-Traded Funds (ETFs) with Horizon’s risk mitigation component (Risk Assist®) designed to mitigate downside risk. The risk mitigation component is engaged when volatility and other market conditions move from what Horizon considers to be “normal” to “abnormal,” and where processes such as asset allocation and diversification are viewed by Horizon as insufficient to protect from unrecoverable loss. In the “abnormal” environments, the Risk Assist methodology moves assets from equities to a basket of defensive securities in an effort to dampen volatility. Conversely, Risk Assist will generally not be engaged during an atmosphere of normal volatility, in an attempt to avoid reducing upside opportunity. Risk Assist is not a timing strategy, however, as it does not forecast asset returns in any manner. It is not designed to “sell tops” or “buy bottoms”; rather it is designed to accomplish its specific risk management goal of mitigating drawdown. The Risk Assist program is run daily.
Aspects of This Active Fund
Opportunistic Strategy: The underlying primary investment strategy for Risk Assist® is Horizon’s active asset allocation strategy, which accesses a large universe of global investment opportunities. It considers more than 2,000 Exchange-Traded Funds (ETFs) composed of investments in a variety of instruments, including market, style, sector, country and currency indexes.
Flexible Management: This Fund is actively managed, using flexible asset allocation techniques to navigate volatile market swings. Horizon Investments’ goal is to capture upside price moves in rising markets and reduce downside risk when markets decline.
Risk Strategy: Under the Risk Assist® strategy, Horizon continually measures market conditions with a specific focus on characteristics that indicate abnormal, severe risk conditions, in order to apply a proprietary process that prompts a risk reduction of the portfolio. Horizon executes this strategy by investing up to 100% of the Fund in Treasury-related securities. The Risk Assist® strategy is designed to help guard investors from catastrophic market events and maximum drawdowns. The objective is to remain fully invested for as much time as possible and to hedge only when necessary.
|Share Classes||Ticker||CUSIP||Inception||Gross Expense Ratio||Net Expense Ratio|
|Advisor Class||ARAAX||44053A408||Sep 4, 2015||1.54%||1.57%|
|Investor Class||ARANX||44053A606||Aug 28, 2014||1.40%||1.44%|
|Institutional Class||ACRIX||44053A507||Sep 9, 2016||1.31%||1.33%|
|Class||Advisor Class||Investor Class||Institutional Class|
|Inception||Sep 4, 2015||Aug 28, 2014||Sep 9, 2016|
|Gross Exp Ratio||1.54%||1.40%||1.31%|
|Net Exp Ratio||1.57%||1.44%||1.33%|
The Fund's investment adviser has contractually agreed to waive its fees and/or reimburse expenses of the Fund, at least until March 31, 2020. The net expense ratios exceed the gross expense ratios for each class of shares because the net expense ratios reflect amounts paid to the Fund's investment adviser as a recapture of prior fee waivers/reimbursements but do not include the effect of expense offsets from securities lending income, which further reduced expenses by 0.04%, 0.04% and 0.07%, for the Advisor Class, Investor Class and Institutional Class shares, respectively.
Performance data as of.
Inception date for the table above is per share class; all returns greater than one year are presented as annualized returns. Inception dates for share classes can be found in the Fund Facts table above. Performance data quoted represents past performance; past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by calling 866-371-2399.
Holdings data as of TBD.
Fund holdings are subject to change and should not be considered a recommendation to buy or sell any security.
Mutual fund investing involves risk. Principal loss is possible. In addition to the costs, fees, and expenses involved in investing in ETFs, ETFs are subject to additional risks including the risks that the market price of the shares may trade at a discount to its net asset value ("NAV"), an active secondary trading market may not develop or be maintained, or trading may be halted by the exchange in which they trade, which may impact a Fund's ability to sell its shares. The Fund may invest in foreign securities which involve greater volatility and political, economic and currency risks and differences in accounting methods. These risks are greater 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. Small and Medium capitalization companies tend to have limited liquidity and greater price volatility than large capitalization companies. Investments in Real Estate Investment Trusts (REITs) involve additional risks such as declines in the value of real estate and increased susceptibility to adverse economic or regulatory developments. The Fund may also use options, 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. Diversification does not assure a profit or protect against loss in a declining market.