RiverNorth Unveils Income Offering

RiverNorth Capital launched the RiverNorth/DoubleLine Strategic Income Fund, to be subadvised by DoubleLine Capital LP.

The RiverNorth/DoubleLine Strategic Income Fund’s investment objective seeks to achieve current income and overall total return. The fund’s portfolio managers are Patrick Galley; Stephen O’Neill, Portfolio Manager of RiverNorth; and Jeffrey Gundlach, CEO and Chief Investment Officer of DoubleLine.  The fund (Class R Symbol: RNDLX, Class I Symbol: RNSIX) is an open-end mutual fund and was opened to new investors on December 30, 2010.

According to a news release, the fund’s assets will be allocated among three principal strategies: Tactical Closed-end Fund Income, Core Fixed Income, and Opportunistic Income.  The amount allocated to each strategy may change depending on RiverNorth and DoubleLine’s assessment of market risk, security valuations, market volatility and the prospects for earning income and total return.  RiverNorth manages the Tactical Closed-end Fund Income strategy, while DoubleLine manages the Core Fixed Income and Opportunistic Income strategies.

The Tactical Closed-end Fund Income strategy will primarily invest in income producing closed-end funds. The Core Fixed Income strategy will invest in a variety of fixed income instruments using active management of asset class exposure and will monitors the duration of the securities allocated to the strategy to seek to mitigate the strategy’s exposure to interest rate risk.The Opportunistic Income strategy will invest in fixed income instruments. The term “opportunistic” is used to indicate that portion of the fund allocated to this strategy that will be invested when certain market conditions exist that offer potentially attractive risk adjusted returns.