Careful risk monitoring is essential to any serious portfolio management. N1 Fund tests each underlying portfolio using quantitative software to ensure that each fund passes all criteria outlined in the N1 Fund Allocator © and that recommendations made by analysts are in line with our risk management policies.

N1 Fund ensures that stringent risk management techniques are closely followed by implementing an Investment Strategy Limit to the portfolio. This is to make certain that the portfolio is well diversified by minimizing risk exposure to any particular hedge fund strategy or financial sector.

Aside from passing all criteria placed by the N1 Fund Allocator©, the firm ensures that a strict set of systematic allocation principles must be applied to the fund at all times. Such restrictions include allocating a maximum percentage of the fund's NAV to any single underlying fund, as well as capping a maximum percentage of assets to any single strategy.

The portfolio managers also ensure that no less than half of the underlying funds should have monthly liquidity, and that a maximum of 10% of underlying funds can be locked up longer than a one year period. These measures are implemented to safeguard the portfolio from any liquidity problems it may face in the event of market volatility.

It is only through rigorous risk management techniques can the firm construct an ideal portfolio to weather all financial storms and provide clients a true alternative investment that is capable of generating absolute returns.