Blue Sky Alternative Investments Ltd. will split from its associated listed investment company Blue Sky Alternatives Access Fund Ltd. in order to reduce managing costs.

Blue Sky Alternatives Access Fund will be repositioned as a diversified alternatives multi-manager fund to be managed by an entity that is majority owned by Pinnacle Investment Management Group Ltd.

The move will allow Blue Sky Alternative Investments to focus on its transition to a predominantly institutional-based fund manager of private market assets, while Blue Sky Alternatives Access Fund will remain more retail focused.

Blue Sky Alternative Investments also noted that Blue Sky Alternatives Access Fund's discounted fee arrangements do not sufficiently compensate for the costs of managing it. The new arrangement is estimated to result in annual savings of more than A$1 million for Blue Sky Alternative Investments.

From Jan. 1, 2019, Blue Sky Alternatives Access Fund will transition to a new manager, Alterum Investment Management, a subsidiary of Pinnacle. Blue Sky Alternatives Access Fund will be renamed Alternative Markets Access Fund Ltd.

The proposed transition is subject to approval from Blue Sky Alternatives Access Fund's shareholders.