U.S. Investors embrace the currency asset class
PALO ALTO, Calif. - October 19, 2009 - Merk Mutual Funds has firmly established currencies as an asset class by achieving $500 million in assets among its three currency mutual funds. Merk Mutual Funds' assets have grown substantially every year since the launch of the first fund in 2005. In 2008, a tough year for many mutual fund firms, Merk's assets grew by over 35%. The Merk Hard Currency Fund (MERKX) is designed to profit from a decline in the U.S. dollar by investing in a basket of currencies from countries pursuing sound monetary policies. The Merk Asian Currency Fund (MEAFX) is designed to profit from a decline in the U.S. dollar by investing in a basket of Asian currencies; and, the Merk Absolute Return Currency Fund (MABFX) is a pure play on currencies, aiming to profit regardless of the direction of the U.S. dollar or traditional asset classes. The Merk Funds are no-load, transparent, open-end mutual funds that do not typically employ leverage.
“The demand for currency diversification has been rising, as currencies generally exhibit low correlation to, and lower volatility than, traditional asset classes,” said Axel Merk, Portfolio Manager of the Merk Funds. “In this day and age where traditional asset classes are moving in lock-step like never before, diversification has become more important than ever. We have also shown that it is not necessary to employ leverage to succeed in the currency markets,” continued Merk. “Currencies are no longer just for speculators, but investors now have options to participate in what is the largest and most liquid market in the world.”
Merk Investments, the manager of the Merk Mutual Funds, will be sharing their investment outlook during the Merk Funds’ quarterly conference call scheduled for October 20, 2009. William Poole, Merk’s Senior Economic Advisor and the Former St. Louis Federal Reserve President will be Merk’s special guest on the call and will share his insights on the economy and current monetary policy. Click here for details and registration.
About Merk Investments
Merk Investments LLC is a registered investment adviser and the manager of the Merk Mutual Funds, offering currency mutual funds. Through its funds, Merk Investments seeks to provide investors with options to diversify their holdings outside of the U.S. dollar and outside traditional asset classes.
For more information on the Merk Mutual Funds, please visit www.merkfunds.com.
As with any mutual fund product, there is no guarantee that the fund will achieve its goals. Investors should consider the investment objectives, risks and charges and expenses of the Fund carefully before investing. This and other information is in the prospectus, a copy of which may be obtained by visiting the Fund's website at www.merkfunds.com or calling 866-MERK FUND. Please read the prospectus carefully before you invest.
The Fund's principal investment risks include, but are not limited to, currency exchange rate risk, foreign instrument risk and interest rate risk. For a more complete discussion of these risks please refer to the Fund's prospectus. Foreside Fund Services, LLC, distributor.