Evanston Multi-Alpha converts to interval fund under XA Investments

Shareholders of the $100 million Evanston Multi-Alpha Fund have approved a new adviser and a new structure. At an Aug. 13 special meeting, they voted to make XA Investments the investment adviser and to convert the fund to a daily-NAV interval fund, Alternatives Watch reports. Evanston Capital Management remains sub-adviser. The conversion is expected in the first half of 2027.

The fund has run an institutional hedge-fund portfolio since 2014. The change puts it on XAI's platform and gives the Chicago-based registered-fund shop its fourth closed-end fund. Evanston Capital, which manages about $4.6 billion for endowments, foundations, pensions, and family offices, keeps running the underlying multi-manager book. The strategy mixes long/short equity, event-driven, relative value, and global macro managers.

The move follows a May announcement that Evanston was considering a shift from a tender-offer structure to a daily-NAV interval fund with XAI. It also comes after XAI settled a proxy battle over the sub-advisory relationship for its XFLT closed-end fund.

A tender-offer fund lets the sponsor control the timing of redemptions. A daily-NAV interval fund turns semi-liquid shares into a product built for advisers, with more frequent redemption windows and a distribution machine to match. The 2027 target is conditional, pending operational readiness, which leaves room for delay.

Founded in 2016, XAI advises closed-end funds and provides structuring and consulting for registered alternatives vehicles, so taking on this fund fits its main business. The strategy returned 13.4% for the year through July 1, giving advisers a number to start with. Adam Blitz, Evanston's CEO, framed the partnership as a way to make the strategy accessible to more investors and advisers. XAI's president, Kimberly Flynn, called the addition a milestone in delivering institutional-quality alternatives.