Family members can participate in the various investment choices offered by Sedgwick by investing in one or more of four separate partnerships:
All family members can participate in Sedgwick Street Fund, LLC with a minimum investment of $50,000. This investment may be allocated among one or more investment choices, provided that the minimum investment in any single fund is $5,000. Additions and withdrawals of at least $5,000 may be made, and rebalancing may be accomplished on the first business day of each month.
Sedgwick Street Fund, LLC contains the following traditional investment portfolios:
- Fixed Income Fund
- Income-Oriented Fund
- Large Cap Equity Fund
- Mid Cap Equity Fund
- Small Cap Equity Fund
- International Fund
- Long/Short Equity Fund
- Inflation Protection
This fund’s investment strategy is designed to generate returns that are not highly correlated to the public securities markets, i.e., a fund that cushions, or “hedges”, market volatility.
This fund uses a “long/short” investment strategy, meaning that it buys attractive stocks to make money as the stock price increases, but can also take short positions (i.e., sell borrowed shares) in stocks it expects to decline, buying them back at lower prices. This investment option is more volatile than the Sedgwick Absolute Return Fund, LLC.
For investors interested in a long/short investment strategy but not wanting the administrative burden of more complex tax reporting, Sedgwick offers a long/short strategy in a mutual fund form (see “Long/Short Equity Fund”).
Sedgwick Equity Partners, LLC (“SEP”) was formed in 2000 as a pooled vehicle through which family members who are accredited investors can participate in alternative investment offerings that are longer-term.
As a result of SEP’s restructuring in 2006, it is now a “qualified purchaser”, and its activities are the responsibility of a Manager with input from an Advisory Board. Sedgwick Advisers, LLC serves as the Manager, and CAPTRUST is the Investment Consultant.
Series of Private Equity Programs
- Abbott Capital Private Equity Fund III
- Portfolio Advisors Private Equity Fund III
- Private Equity Fund 2008
- Private Equity Fund 2013
- Private Equity Fund 2016
Series of Real Estate Programs
- Real Estate Portfolio I
- Real Estate Portfolio II
- Real Estate Portfolio III
These funds are closed to new investors. However, Sedgwick Equity Partners, LLC, intends to offer additional private equity and real estate programs in the future so that investors can keep their allocation to these asset classes constant.
Whereas Sedgwick Street Fund, LLC does not have a net worth requirement, the other partnerships require an investor to be “accredited”. Broadly speaking, individuals are accredited investors if they, together with their spouse, have a net worth of at least $1 million or annual income of $300,000 or more.