Managed futures provide access to long and short positions across stocks, bonds, currencies and commodities and the firm’s product aims to provide this at lower cost and with greater transparency than a fund of funds approach, it said.

The fund will invest a percentage of its assets in derivatives, such as commodities, futures and options contracts, resulting in a high portfolio turnover, the firm said in its release. It also may invest in fixed income securities, structured notes, asset-back securities, and foreign investments.

“After experiencing years of market turmoil, we believe financial advisors have a real need for alternative forms of portfolio diversification for their clients,” said Cole Wilcox, chief executive and chief investment officer of Longboard.

However, it is also worth noting that the fund is non-diversified and therefore can be heavily affected by the price of a single security, and also that losses can exceed those incurred by funds that don’t invest in futures, options and commodities.