Water Island Capital, advisor to The Arbitrage Funds, has been a pioneer in offering event-driven strategies through liquid alternative mutual funds. These funds provide transparency, liquidity, and low investment minimums.
We offer the following mutual fund options:
This website should not be considered a solicitation to buy or an offer to sell shares of the Funds in any jurisdiction where it would be unlawful under the securities laws of that jurisdiction.
RISKS: The Funds use investment techniques with risks that are different from the risks ordinarily associated with debt and equity investments. Such techniques and strategies include merger arbitrage risks (in that the proposed reorganizations in which the Fund invests may be renegotiated or terminated, in which case the Fund may realize losses), high portfolio turnover risks (which may increase the Fund's brokerage costs, which would reduce performance), options risks, borrowing risks, short sale risks (the Fund will suffer a loss if it sells a security short and the value of the security rises rather than falls), and foreign investment risks (the securities of foreign issuers may be less liquid and more volatile than securities of comparable U.S. issuers). The Arbitrage Event-Driven Fund and The Water Island Credit Opportunities Fund also include credit risks, interest rate risks, interest rate swap risks, credit default swap risks, and convertible security risks. Risks may increase volatility and may increase costs and lower performance. Bonds and bond funds will decrease in value as interest rates increase.
The Arbitrage Funds offer transparency with regularly reported holdings, liquidity with daily subscriptions and withdrawals, and low investment minimums starting at $2,000.