Tactical Alternatives

Low-correlation alternatives for a portfolio built beyond stocks and bonds.

Traditional diversification has changed.

For decades, investors relied on the relationship between stocks and bonds to help balance growth and risk. But when equity and fixed income markets move together, the traditional portfolio mix can leave investors more exposed than expected.

BTA is designed to address that challenge by adding a differentiated source of return potential through alternative asset classes with historically low correlation to equities.

The fund seeks to provide exposure to investments that may respond to different market forces than stocks and bonds, helping investors build portfolios that are less dependent on traditional market direction alone.

The Case for Low Correlation

Diversification only works when the pieces of a portfolio behave differently.

Many investments labeled as “alternatives” still depend heavily on equity market strength. In periods of stress, that can limit their value as true diversifiers. BTA is designed to play a different role by combining alternative exposures that may be driven by inflation trends, commodity cycles, currency movements, managed futures signals, and digital asset dynamics rather than corporate earnings alone.

The objective is not to replace equities. It is to complement them with return streams that can potentially help reduce portfolio vulnerability when traditional assets face pressure at the same time.

Why BTA?

Investment Approach

BTA is expected to invest across five alternative asset classes:

Risk Management Matters

Alternative assets can diversify a portfolio, but they can also be volatile. BTA is designed to pair alternative exposure with Beacon’s disciplined risk management process.

Rather than relying only on static allocation, Beacon’s process is designed to evaluate individual exposures and adjust positioning when risk signals deteriorate. The goal is not to eliminate risk, but to bring a rules-based framework to asset classes that can behave very differently from traditional investments.

Where BTA May Fit

BTA may be used as:

• A low-correlation alternatives sleeve within a diversified portfolio
• A complement to equity-heavy allocations
• A diversifier for portfolios overly dependent on stocks and bonds
• A potential drawdown-management tool within a broader allocation
• A strategic allocation for investors seeking return drivers outside traditional markets

A Portfolio Role, Not a Market Substitute

BTA is not designed to track the S&P 500 or deliver equity-like returns in every market. In strong equity rallies, the fund may lag traditional stock benchmarks. That is expected. Its value is measured by what it can contribute to the total portfolio: differentiated return potential, lower correlation to equities, and the potential to improve the path of long-term compounding by reducing reliance on traditional market exposures alone.

Important Risk Information

Investors should carefully consider the investment objectives, risks, charges, and expenses. This and other important information can be found in each of the Beacon fund prospectuses, which should be read carefully before investing and can be obtained under the Fund Documents section for each fund or by calling 866.439.9093.

Investing involves risk, including the possible loss of principal. Equity investments are subject to market risk and may decline in value due to broad market movements, sector conditions, issuer-specific events, or economic developments. The fund invests primarily in ETFs and is subject to the risks and expenses of the underlying funds. Risk-management strategies may not prevent losses, may not perform as intended in all market environments, and may cause the fund to underperform during certain periods, including rapidly rising markets. Asset allocation and diversification do not guarantee a profit or protect against loss. Investors should carefully consider the fund’s investment objectives, risks, charges, and expenses before investing.

ETF shares are traded on exchanges, and are traded and priced throughout the trading day. ETFs permit an investor to purchase a selling interest in a portfolio of stocks throughout the trading day. Because ETFs trade on an exchange, ETF shares are bought and sold at market price (not NAV). The prices of ETFs may sometimes vary significantly from the NAVs of a ETFs’ underlying securities. Brokerage commissions will reduce returns.

Benchmark indices provide the standards against which investment performance is measured. The Dow Jones Moderately Aggressive Portfolio Index is a total-returns index that is designed to measure a total portfolio of stocks, bonds, and cash, efficiently allocated and weighted to achieve a targeted risk level of 80% - that is, relative to the risk of an all-stock (100%) portfolio (past 36 months). The weightings are rebalanced monthly. The S&P 500 is a market-capitalization-weighted equity index tracking the performance of the 500 largest U.S.-traded stocks, which represent about 80% of all U.S incorporated equity securities. Benchmark indices are neither managed, nor accessible through direct investment, nor subject to advisory fees, transaction costs or other expenses.

NAV Return represents the closing price of underlying securities. Market Return is calculated using the price which investors buy and sell ETF shares in the market.

The Beacon funds are distributed by Northern Lights Distributors, LLC.. Beacon Capital Management & Sammons® Financial Group, Inc. are independent of and not affiliated with Northern Lights Distributors, LLC