NEW YORK (TheStreet) -- Last year, the Rothschild Larch Lane Alternatives Fund (RLLIX) was launched and has been beating the S&P 500 ever since.
Charles Korchinski, director of liquid strategies at Larch Lane, says the fund uses an array of asset classes, investment styles and time frames to generate its market-beating returns.
So far, all of the fund's different strategies have been profitable, both in 2015 and since inception, he said.
However, the strategies that have done the best have centered around major themes that other investors have closely watched, namely energy and the U.S. dollar.
Korchinski says his fund was long on the U.S. dollar and short foreign currencies, making for large gains as the euro recently logged the worst quarter in its history, while the dollar has climbed 13.3% in the past six months.
The fund has been short on energy, he added.
Rothschild Larch Lane Alternatives Fund RLLIX data by YCharts
More recently, some of their portfolio managers have warmed up to international equities, mostly in Europe and Japan, which have paved the way to higher gains.
In the first quarter of 2015, the S&P 500 finished higher by a measly 0.4%, while the iShares MSCI Germany ETF (EWG) - Get Report climbed 8.9% and the WisdomTree Japan Hedged Equity ETF (DXJ) - Get Report rallied nearly 12%.
While the Rothschild Larch Lane Alternatives fund does have an expense ratio of 2.5%, many investors might consider that a bargain when compared to the fees associated with a hedge fund.
While the S&P 500 and other U.S. equity funds have made for great investments over the past several years, more retail investors may want to consider buying a fund - such as an alternatives fund - to diversify their portfolios, he said.
Korchinski reasoned that it can pay to own something that "zigs" when the broader stock market "zags."
This article is commentary by an independent contributor. At the time of publication, the author held no positions in the stocks mentioned.