BNAYX — Ubs Dynamic Alpha Fund

BNAYX Fund Overview

BNAYX — Ubs Dynamic Alpha Fund is a US mutual fund managed by Ubs Funds, categorised as Total Return Allocation. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.

• Type: US mutual fund
• Manager: Ubs Funds
• Category: Total Return Allocation
• Assets under management: $19.84M
• 1-year return: 8.7%
• Ticker: BNAYX
• SEC CIK: 0000886244
• SEC series ID: S000003135
• Share class ID: C000008506

BNAYX Investment Objective and Strategy

Ubs Dynamic Alpha Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Ubs Funds.

Investment objective

The Fund seeks to maximize total return, consisting of capital appreciation and current income.

Principal investment strategy

"Principal investments In order to achieve the Fund's objective, the Fund employs an asset allocation strategy that seeks to achieve a total rate of return for the Fund that meets or exceeds the FTSE One-Month US Treasury Bill Index plus 2%-4% (net of fees) over a rolling five year time horizon. This active management process is intended to produce superior performance relative to the benchmark (the difference of which is ""alpha""). The Advisor does not represent or guarantee that the Fund will meet this total return goal. The Fund invests in securities and financial instruments to gain exposure to global equity, global fixed income and cash equivalent markets, including global currencies. The Fund may invest in equity and fixed income securities of issuers located within and outside the United States or in open-end investment companies including those advised by the Advisor to gain exposure to certain global equity and global fixed income markets.

Investments in fixed income securities may include, but are not limited to, debt securities of governments throughout the world (including the United States), their agencies and instrumentalities, debt securities of corporations and supranationals, inflation protected securities, convertible bonds, mortgage-backed securities, asset-backed securities, equipment trusts and other collateralized debt securities. Investments in fixed income securities may include issuers in both developed (including the United States) and emerging markets. The Fund's fixed income investments may reflect a broad range of investment maturities, credit qualities and sectors, including high yield (lower-rated or ""junk bonds"") securities and convertible debt securities. Investments in equity securities may include, but are not limited to, common stock and preferred stock of issuers in developed nations (including the United States) and emerging markets.

Equity investments may include securities of companies of any capitalization size. In addition, the Fund attempts to generate positive returns and manage risk through asset allocation and sophisticated currency management techniques. These decisions are integrated with analysis of global market and economic conditions. The Fund may also take active positions on volatility to generate returns or to hedge the Fund's portfolio. The Fund may, but is not required to, use exchange-traded or over-the-counter derivative instruments for risk management purposes or as part of the Fund's investment strategies. Generally, derivatives are financial contracts whose value depends upon, or is derived from, the value of an underlying asset, reference rate, index or other market factor and may relate to stocks, bonds, interest rates, credit, currencies or currency exchange rates, commodities and related indexes.

The derivatives in which the Fund may invest include options (including options on securities, indices, futures, forwards and swap agreements), futures, forward agreements, swap agreements (including interest rate, total return, and credit default swaps), credit-linked securities, equity participation notes and equity linked notes. All of these derivatives may be used for risk management purposes, such as hedging against a specific security or currency, or to manage or adjust the risk profile of the Fund. In addition, all of the derivative instruments listed above may be used for investment (non-hedging) purposes to earn income; to enhance returns; to replace more traditional direct investments; to obtain exposure to certain markets; or to establish net short positions for individual markets, currencies or securities.

Options on indices, options on swap agreements, futures on indices, forward agreements, interest rate swaps, total return swaps, credit default swaps and credit-linked securities may also be used to adjust the Fund's portfolio duration, including to achieve a negative portfolio duration. Under certain market conditions, the Fund may invest in companies at the time of their initial public offering (""IPO""). To the extent permitted by the Investment Company Act of 1940, as amended (the ""1940 Act""), the Fund may borrow money from banks to purchase investments for the Fund. The Fund may seek to implement its investment strategy through investments in exchange-traded funds (""ETFs""). Management process The Advisor will manage the Fund's portfolio using the following investment process as described below: The strategy invests in the full spectrum of instruments and markets globally.

The Advisor believes that the Advisor is able to improve the return outcome and risk management of the Fund by employing a well diversified strategy across a broad global opportunity set. Returns are generated from asset allocation across markets, currency and security selection. The Advisor aims to employ 15-25 of the Advisor's highest conviction trade ideas into the following diversified risk buckets: Market Directional: Explicit view on equities, credit, and interest rates Relative Value Market: Capitalizing on misvaluation between two markets Relative Value Currency: Active decisions between two markets that are made independent from market decisions Asset allocation decisions are primarily driven by UBS AM (Americas)'s assessment of valuation and prevailing market conditions in the United States and around the world.

Using a systematic approach, the portfolio management team analyzes the asset classes and investments across equities, fixed income, and alternative asset classes (including currency), considering both fundamental valuation, economic and other market indicators. Regarding valuation, the Advisor evaluates whether asset classes and investments are attractively priced relative to fundamentals. The starting point is to assess the intrinsic value of an asset class, as determined by the fundamentals that drive an asset class' future cash flow. The intrinsic value represents a long term anchor point to which the Advisor believes the asset class will eventually revert. Fair value estimates of asset classes and markets are an output of UBS AM (Americas)'s proprietary valuation models. Discounting the asset's future cash flow using a discount rate that appropriately reflects the inherent investment risk associated with holding the asset gives the asset's fair value.

The competitive advantage of the Advisor's models lies in the quality and consistency of the inputs used and, therefore, the reliability of valuation conclusions. The discrepancy between actual market level and fair value (the price/value discrepancy) is the primary valuation signal used in identifying investment opportunities. Next, the Advisor assesses additional market indicators and considers the effect that other determinants of economic growth and overall market volatility will have on each asset class. While in theory price/value discrepancies may resolve themselves quickly and linearly, in practice price/value discrepancy can grow larger before it resolves. While valuation models have proven effective at identifying longer-term price/value discrepancies, in the shorter term other factors can swamp valuation considerations.

Thus, the Advisor incorporates an additional discipline in our idea generation process. The Advisor refers to this additional step in its idea generation process as market behavior analysis. Adding this step helps the Advisor to understand what other market indicators might drive the market towards or away from fundamental value. The Advisor performs systematic analysis of non-valuation drivers using models measuring sentiment, momentum and flows, market stress, the stage of the economic cycle, as well as an assessment of the general macroeconomic landscape. Conversely, valuation considerations tend to dominate when an asset class is substantially above or below fair value, but the Advisor recognizes that the use of market behavior analysis during these periods is very important to helping improve the timing in and out of these asset classes with very stretched valuations.

The asset allocation process is structured around the Investment Solutions Investment Committee (the ""ISIC Committee"") meetings, which provides a forum for debate and the exploration of all ramifications of any investment decision, rather than aiming for a consensus to be reached. Instead, any voting member of the ISIC Committee can sponsor a trade idea, preparing a detailed investment thesis to support the view. An investment thesis has to define the investment rationale based on valuation and market behavioral influences, the time scale for it being realized, the transaction costs and the potential milestones the Advisor would expect to evaluate whether or not the view is correct. The sponsor is then responsible for convincing another member of the ISIC Committee to support the idea as co-sponsor.

Bottom up selection across active equity and fixed income markets can be utilized as part of the asset allocation process at the asset class level. With respect to specific equity securities for inclusion in the Fund's equity asset classes, the Advisor may utilize fundamental valuation, quantitative and growth-oriented strategies. The Advisor's bottom up fixed income security selection strategy combines judgments about the absolute value of the fixed income universe and the relative value of issuer sectors, maturity intervals, security durations, credit qualities and coupon segments, as well as specific circumstances facing the issuers of fixed income securities. The Advisor uses both fundamental valuation and market behavior analysis to make the two-pronged determination of risk budget and risk allocation.

The Advisor works closely with the Risk Management team, members of which attend the ISIC Committee meetings, to determine the appropriate amount of risk capital to allocate to the underlying trade ideas given the strategy's risk budget and objectives, prevailing investment opportunities, and other strategy exposures. To assist in this process the Risk Management team performs scenario and correlation analysis to better understand the risk and diversification of the overall strategy, and attempts to ensure that unintended factor exposures are identified, managed and monitored."

BNAYX Holdings

Top 10 holdings of Ubs Dynamic Alpha Fund by percentage of net assets, from the fund's latest SEC N-PORT filing.

View all BNAYX holdings

BNAYX Portfolio Allocation

Asset-class allocation of Ubs Dynamic Alpha Fund by percentage of net assets, from the latest SEC N-PORT filing.

BNAYX Performance

Total returns for BNAYX (as of 2026-10-01), from SEC filings.

BNAYX Risk Information

Risk metrics for BNAYX, derived from monthly returns in SEC filings.

• 1-year volatility (annualised): 4.6%

BNAYX Costs and Fees

BNAYX costs about $112 per $10,000 invested per year in fund expenses.

• Net expense ratio: 1.12%
• Gross expense ratio: 2.11%
• Portfolio turnover: 9%
• Brokerage commissions: 1.49 bps of average net assets (SEC N-CEN)

BNAYX Cashflows

Over the 12 months to 2023-09, Ubs Dynamic Alpha Fund had net outflows of $5.66M, from monthly SEC N-PORT filings.

BNAYX Debt Constituents

Largest debt holdings of Ubs Dynamic Alpha Fund by percentage of net assets, from the latest SEC N-PORT filing.

BNAYX Prospectus and SEC Filings

Official Ubs Dynamic Alpha Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.

• Prospectus (485BPOS) — filed 2022-10-28
• Prospectus supplement (497) — filed 2021-11-02
• Prospectus supplement (497) — filed 2021-02-22
• Portfolio holdings (N-PORT) — filed 2023-11-28
• Portfolio holdings (N-PORT) — filed 2023-08-28
• Portfolio holdings (N-PORT) — filed 2023-05-26
• Annual census (N-CEN) — filed 2023-09-12
• Annual census (N-CEN) — filed 2022-09-13

Related Funds

Other Total Return Allocation funds tracked on ABC INVEST:

• Federated Total Return Bond Fund (FTRFX)
• Columbia Balanced Fund (CBLAX)
• MFS Total Return Fund (MSFRX)
• AllianzGI Income & Growth Fund (AZNAX)
• AQR Risk Parity Fund (AQRNX)

Data Sources

ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.