The Portfolio utilizes an asset allocation strategy to invest in a global portfolio
of uncorrelated assets that can include exposure, through underlying vehicles, to stocks, bonds, commodities
and other investments. The Portfolio invests primarily in exchange-traded open-end management investment
companies (“ETFs”), generally those that pursue a passive index-based strategy, as well as
actively managed closed-end management investment companies (“closed-end funds”, and, together
with ETFs, “Underlying Funds”). ETFs in which the Portfolio may invest include both ETFs
designed to correlate directly with an index and ETFs designed to correlate inversely with an index and
may include actively-managed ETFs. The Portfolio, through Underlying Funds in which it invests, may invest
in non-US companies (including those in emerging markets), and the Portfolio also may invest directly
in equity and debt securities in addition to its investments in Underlying Funds. The Portfolio’s
investment portfolio is concentrated in a relatively small number of holdings (generally 10 to 30). Investors
can invest directly in Underlying Funds and do not need to invest in Underlying Funds through mutual
funds or separately managed accounts. The Portfolio may, but is not required to (1) enter into equity,
total return and currency swap agreements; futures contracts and options on futures contracts (including
with respect to index and commodities); and forward currency contracts; and (2) write put and covered
call options on securities (including shares of ETFs), indexes and currencies, in each case for hedging
purposes or to seek to increase returns, including as a substitute for purchasing an Underlying Fund. The
Portfolio may, but is not required to, effect short sales of securities. A short sale involves the sale
of a security that the Portfolio does not own in the expectation of purchasing the same security (or
a security exchangeable therefor) at a later date and at a lower price and profiting from the price decline.
Similarly, when taking short positions with respect to securities through investments in derivative instruments,
the Investment Manager is expecting the value of such securities to fall during the period of the Portfolio’s
investment exposure. Although the Portfolio is classified as “diversified” under the Investment
Company Act of 1940, as amended (the “1940 Act”), it may invest in a smaller number of issuers
than other, more diversified, investment portfolios.
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Risk Table - Lazard Opportunistic Strategies Portfolio
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Risk [Text Block] |
| Principal Investment Risks |
Principal Investment Risks The
value of your investment in the Portfolio will fluctuate, which means you could lose money.
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| Risk Lose Money [Member] |
The
value of your investment in the Portfolio will fluctuate, which means you could lose money.
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| Market Risk |
Market Risk:
The Portfolio may incur losses due to declines in one or more markets in which it invests. These declines
may be the result of, among other things, political, regulatory, market, economic or social developments
affecting the relevant market(s). To the extent that such developments impact specific industries, market
sectors, countries or geographic regions, the Portfolio’s investments in such industries, market
sectors, countries and/or geographic regions can be expected to be particularly affected, especially
if such investments are a significant portion of its investment portfolio. In addition, turbulence in
financial markets and reduced liquidity in equity, credit and/or fixed income markets may negatively
affect many issuers, which could adversely affect the Portfolio. Global economies and financial markets
are increasingly interconnected, and conditions and events in one country, region or financial market
may adversely impact issuers worldwide. As a result, local, regional or global events such as war or
military conflict, acts of terrorism, the spread of infectious illness or other public health issues,
social unrest, natural disasters, extreme weather, other geological events, man-made disasters, supply
chain disruptions, deflation, inflation, government defaults, government shutdowns, the imposition of
sanctions or other similar measures, recessions or other events could have a significant negative impact
on global economic and market conditions. For example, a public health or other emergency and aggressive
responses taken by many governments or voluntarily imposed by private parties, including closing borders,
restricting travel and imposing prolonged quarantines or similar restrictions, as well as the closure
of, or operational changes to, many
retail and other businesses, may have severe negative impacts on markets worldwide. Additionally, general
market conditions may affect the value of a Portfolio’s securities, including changes in interest
rates, currency rates or monetary policies. Furthermore, the imposition of tariffs, trade restrictions,
currency restrictions or similar actions (or retaliatory measures taken in response to such actions),
or the threat or potential of one or more such events and developments, could lead to price volatility
and overall declines in the US and global investment markets.
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| Issuer Risk |
Issuer Risk: The value of a
security may decline for a number of reasons which directly relate to the issuer, such as management
performance, financial leverage and reduced demand for the issuer’s goods or services, as well
as the historical and prospective earnings of the issuer and the value of its assets or factors unrelated
to the issuer’s value, such as investor perception.
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| Underlying Funds Risk |
Underlying Funds Risk: Shares of closed-end
funds and ETFs may trade at prices at, below or above their net asset value. Shares of closed-end funds,
in particular, frequently trade at persistent discounts to their net asset value. In addition, the performance
of an ETF pursuing a passive index-based strategy may diverge from the performance of the index. The
Portfolio’s investments in Underlying Funds are subject to the risks of the Underlying Funds’
investments, as well as to the general risks of investing in Underlying Funds. The Portfolio will bear
not only the Portfolio’s management fees and operating expenses, but also the Portfolio’s
proportional share of the management fees and operating expenses of the Underlying Funds in which the
Portfolio invests. Rule 12d1-4 under the 1940 Act allows the Portfolio to acquire the securities of another
investment company, including an Underlying Fund, in excess of the limitations imposed by Section 12
of the 1940 Act, subject to certain limitations and conditions.
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| Short Position Risk |
Short Position Risk:
Short positions may involve substantial risks. If a short position appreciates in value during the period
of the Portfolio’s investment, there will be a loss to the Portfolio that could be substantial.
Short positions involve more risk than long positions because the maximum sustainable loss on a security
purchased is limited to the amount paid for the security plus the transaction costs. However, the Portfolio’s
potential loss on a short position is unlimited because, theoretically, there is no limit to the potential
price increase of a security. In addition, the Portfolio’s short sales transactions are dependent
on counterparties to its securities borrowing transactions and are subject to the risk of default by
a counterparty, which could result in a loss of Portfolio assets used as collateral or the loss of monies
owed to the Portfolio by a counterparty.
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| Non-US Securities Risk |
Non-US Securities Risk: The Portfolio’s
performance will be influenced by political, social and economic factors affecting the non-US countries
and companies in which the Portfolio invests. Non-US securities carry special risks, such as less developed
or less efficient trading markets, political instability, a lack of company information, differing auditing
and legal standards, and, potentially, less liquidity. Non-US securities may be subject to economic sanctions
or other governmental actions or developments, exchange controls (including repatriation restrictions),
confiscations, trade restrictions (including tariffs) or problems related to share registration, trade
settlement or asset custody, which could, among other things, effectively restrict or eliminate
the Portfolio’s ability to purchase or sell certain foreign securities. To the extent the Portfolio
holds securities subject to such actions, the securities may become difficult to value and/or less liquid
(or illiquid). In some cases, the securities may become worthless.
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| Emerging Market Risk |
Emerging Market Risk:
Emerging market countries generally have economic structures that are less diverse and mature, and political
systems that are less stable, than those of developed countries. The economies of countries with emerging
markets may be based predominantly on only a few industries, may be highly vulnerable to changes in local
or global trade conditions, and may suffer from extreme debt burdens or volatile inflation rates. Further,
investments in securities of issuers located in certain emerging countries involve the risk of loss resulting
from problems in share registration, settlement or custody, substantial economic, political and social
disruptions and the imposition of sanctions or exchange controls (including repatriation restrictions).
The securities markets of emerging market countries have historically been extremely volatile and less
liquid than more developed markets. These market conditions may continue or worsen. Investments in these
countries may be subject to political,
economic, legal, market and currency risks. Significant devaluation of emerging market currencies against
the US dollar may occur subsequent to acquisition of investments denominated in emerging market currencies.
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| Foreign Currency Risk |
Foreign
Currency Risk: Investments denominated in currencies other than US dollars may experience a
decline in value, in US dollar terms, due solely to fluctuations in currency exchange rates. The Portfolio’s
investments denominated in such currencies (particularly currencies of emerging markets countries), as
well as any investments in currencies themselves, could be adversely affected by delays in, or a refusal
to grant, repatriation of funds or conversion of currencies. Irrespective of any foreign currency exposure
hedging, the Portfolio may experience a decline in the value of its portfolio securities, in US dollar
terms, due solely to fluctuations in currency exchange rates. The Investment Manager does not intend
to actively hedge the Portfolio’s foreign currency exposure.
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| Fixed-Income and Debt Securities Risk |
Fixed-Income and
Debt Securities Risk: The market value of a debt security may decline due to general
market conditions that are not specifically related to a particular company, such as real or perceived
adverse economic conditions, changes in the outlook for corporate earnings, changes in interest or currency
rates or adverse investor sentiment generally. The debt securities market can be susceptible to increases
in volatility and decreases in liquidity. Liquidity can decline unpredictably in response to overall
economic conditions or credit tightening. Prices of bonds and other debt securities
tend to move inversely with changes in interest rates. Interest rate risk is usually greater for fixed-income
securities with longer maturities or durations. A rise in interest rates (or the expectation of a rise
in interest rates) may result in periods of volatility, decreased liquidity and increased redemptions,
and, as a result, the Portfolio may have to liquidate portfolio securities at disadvantageous prices.
The Portfolio may be subject to heightened interest rate risk because the Federal Reserve has raised,
and may continue to raise, interest rates. The Portfolio’s investments in lower-rated, higher-yielding
securities (“junk bonds”) are subject to greater credit risk than its higher rated investments.
Credit risk is the risk that the issuer will not make interest or principal payments, or will not make
payments on a timely basis. Non-investment grade securities tend to be more volatile, less liquid and
are considered speculative. If there is a decline, or perceived decline, in the credit quality of a debt
security (or any guarantor of payment on such security), the security’s value could fall, potentially
lowering the Portfolio’s share price. The prices of non-investment grade securities, unlike investment
grade debt securities, may fluctuate unpredictably and not necessarily inversely with changes in interest
rates. The market for these securities may be less liquid and therefore these securities may be harder
to value or sell at an acceptable price, especially during times of market volatility or decline.
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| Focused Investing Risk |
Focused
Investing Risk: The Portfolio’s net asset value may be more vulnerable to changes in the
market value of a single issuer or group of issuers and may be relatively more susceptible to adverse
effects from any single corporate, industry, economic, market, political or regulatory occurrence than
if the Portfolio’s investments consisted of securities issued by a larger number of issuers.
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| Derivatives and Hedging Risk |
Derivatives
and Hedging Risk: Derivatives and other similar transactions, including those entered into for
hedging purposes (i.e., seeking to protect Portfolio investments), may increase
volatility, reduce returns, limit gains or magnify losses, perhaps substantially, particularly since
most derivatives have a leverage component that provides investment exposure in excess of the amount
invested. Swap agreements; forward currency contracts; over-the-counter options on securities (including
options on shares of ETFs), indexes and currencies; and other over-the-counter derivatives transactions
are subject to the risks of the creditworthiness of and default by the counterparty and consequently
may lose all or a portion of their value due solely to the creditworthiness of or default by the counterparty.
Over-the-counter derivatives frequently may be illiquid and difficult to value. Changes in liquidity
may result in significant, rapid and unpredictable changes in the prices for derivatives. These derivatives
transactions, as well as the exchange-traded futures and options in which the Portfolio may invest, are
subject
to many of the risks of, and can be highly sensitive to changes in the value of the related reference
asset, index or rate. As such, a small investment could have a potentially large impact on the Portfolio’s
performance. In fact, many derivatives may be subject to greater risks than those associated with investing
directly in the underlying or other reference asset. Derivatives transactions incur costs, either explicitly
or implicitly, which reduce returns, and costs of engaging in such transactions may outweigh any gains
or any losses averted from hedging activities. Successful use of derivatives, whether for hedging or
for other investment purposes, is subject to the Investment Manager’s ability to predict correctly
movements in the direction of the relevant reference asset or market and, for hedging activities, correlation
of the derivative instruments used with the investments seeking to be hedged. Use of derivatives transactions,
even if entered into for hedging purposes, may cause the Portfolio to experience losses greater than
if the Portfolio had not engaged in such transactions. When the Portfolio enters into derivatives transactions,
it may be required to post margin and make settlement payments while the positions are open, and the
Portfolio may have to sell a security at a disadvantageous time or price to meet such obligations. Derivatives
transactions are also subject to operational and legal risk.
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| Commodities-Related Investments Risk |
Commodities-Related Investments Risk:
Exposure to the commodities markets may subject the Portfolio to greater volatility than other types
of investments. The values of commodities and commodity-linked derivative instruments are affected by
events that may have less impact on the values of equity and fixed income securities. Investments linked
to the prices of commodities are considered speculative. Because the value of a commodity-linked derivative
instrument, such as a futures contract on a physical commodity, typically is based upon the price movements
of the underlying reference asset, index or rate, the value of these instruments will rise or fall in
response to changes in the underlying reference asset, index or rate. Prices of commodities and commodity-linked
investments may fluctuate significantly over short periods for a variety of factors, including: changes
in supply and demand relationships; weather; agricultural or livestock markets; agricultural or livestock
disease or pestilence; trade relationships; fiscal, monetary and exchange control programs; and embargoes,
tariffs, terrorism and international economic, political, military and regulatory developments.
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| Sector Risk |
Sector
Risk: Implementation of the Portfolio’s investment strategy may, during certain
periods, result in the investment of a significant portion of the Portfolio’s assets in a particular
market sector, such as information technology companies, and the Portfolio would be expected to be affected
by developments in that sector. Information technology companies generally operate in intensely competitive
markets on a worldwide basis. Also, because technological development in many areas increases at a rapid
rate, these companies often produce products with very short life cycles and face the risk of product
obsolescence.
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| Securities Selection Risk |
Securities Selection Risk: Securities and other investments selected
by the Investment Manager for the Portfolio may not perform to expectations. This could result in the
Portfolio’s underperformance compared to other funds with similar investment objectives or strategies.
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