8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): October 1, 2013

RCS Capital Corporation

(Exact name of registrant as specified in its charter)

Delaware	001-35924	38-3894716
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

405 Park Ave., 15th Floor New York, NY	10022
(Address of principal executive offices)	(Zip Code)

(866) 904-2988

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 1.01. Entry Into a Material Definitive Agreement.

RCS Capital Corporation Enters into a Purchase Agreement to Acquire the Hatteras Funds Group

On October 1, 2013, RCS Capital Corporation (the “Company”) and Scotland Acquisition, LLC (“Purchaser”), a newly formed wholly-owned subsidiary of RCS Advisory Services, LLC, which is an operating subsidiary of the Company, entered into an asset purchase agreement (the “Purchase Agreement”) with certain principals of the Hatteras Funds Group (defined below), Hatteras Investment Partners LLC, Hatteras Investment Management LLC, Hatteras Capital Investment Management, LLC, Hatteras Alternative Mutual Funds LLC, and Hatteras Capital Investment Partners, LLC (each, a “Hatteras Seller,” and, collectively, the “Hatteras Sellers”), and David Perkins, as the sellers’ representative (the “Sellers’ Representative”). The Hatteras Funds Group’s principal business is acting as sponsor of, investment adviser to and distributor for the Hatteras Funds complex, a family of alternative investment funds registered with the Securities and Exchange Commission (“SEC”). None of the Hatteras Sellers, the principals of the Hatteras Funds Group or the Sellers’ Representative has a material relationship with the Company or the Purchaser and the acquisition will not be an affiliated transaction. Pursuant to the terms of the Purchase Agreement, the rights and obligations of the Purchaser under the Purchase Agreement are assignable to an affiliate of the Purchaser.

Pursuant to the terms of the Purchase Agreement, Purchaser will purchase from the Hatteras Sellers and the Hatteras Sellers will sell to the Purchaser, substantially all the assets related to the business and operations of the Hatteras Sellers and their respective subsidiaries (collectively, the “Hatteras Funds Group”), the Purchaser will assume certain liabilities of such parties and the Company will guarantee certain obligations of the Purchaser (the “Purchase”). The Hatteras Funds Group’s business, once acquired, would operate independently of the Company’s wholesale broker-dealer subsidiary, Realty Capital Securities, LLC, and function as the Company’s fifth primary line of businesses, alongside the Company’s existing direct investment distribution, banking, transaction management services and transfer agent businesses.

The initial purchase price to be paid by the Purchaser pursuant to the Purchase Agreement for the Hatteras Funds Group’s assets will be an amount equal to $40.0 million plus or minus the amount of any adjustment to the initial purchase price based on the Hatteras Funds Group’s net working capital and minus the amount of any adjustment to the initial purchase price (not to exceed $3.0 million) based on the Hatteras Funds Group’s net assets under management at closing and projected consolidated pre-tax net income from the date of the closing of the Purchase through December 31, 2013. The Company expects to use cash available from its closed initial public offering and ongoing operations to fund the purchase price of the Purchase. Such initial purchase price will be payable as follows: (A) seventy-five percent (75.0%) will be payable on the closing date of the Purchase; (B) seven and one-half percent (7.5%) will be payable on the first anniversary of the closing date of the Purchase; (C) seven and one-half percent (7.5%) will be payable on the second anniversary of the closing date of the Purchase; and (D) ten percent (10.0%) will be payable on the third anniversary of the closing date of the Purchase. Additionally, pursuant to the Purchase Agreement, the Purchaser will pay the Hatteras Sellers additional consideration calculated and payable based on the consolidated pre-tax net operating income generated by the businesses of the Hatteras Funds Group in the fiscal years ending December 31, 2016 and December 31, 2018.

The Purchase Agreement contains customary representations and warranties, and the completion of the Purchase is subject to various conditions, including the satisfaction of certain delivery obligations by the Hatteras Sellers, certain Hatteras Funds Group principals and the Sellers’ Representative, and the successful receipt of requisite consents from third parties to consummate the Purchase under the Purchase Agreement. Additionally, requisite Financial Industry Regulatory Authority, Inc. (“FINRA”) approval must be secured prior to the closing of the Purchase to allow for certain changes in control of the Hatteras Funds Group’s FINRA-regulated broker-dealer businesses. The Purchase is expected to be consummated in the first quarter of 2014. Following the Purchase, because the Purchaser is a wholly-owned subsidiary of RCS Advisory Services, LLC, a consolidated subsidiary of the Company, holders of the Company’s shares of Class A common stock, par value $0.001 per share, will be entitled to the same indirect economic interests in the Purchaser as they have in RCS Advisory Services, LLC. The Company holds all the voting interests in all three of its operating subsidiaries, including RCS Advisory Services, LLC.

The description of the Purchase Agreement in this Current Report on Form 8-K is a summary and is qualified in its entirety by the terms of the Purchase Agreement. The Company will file the Purchase Agreement with the SEC as an exhibit to its next Quarterly Report on Form 10-Q.

Item 7.01. Regulation FD Disclosure.

Investor Presentation

The Company prepared an investor presentation with respect to the contemplated Purchase. Directors, officers and other representatives of the Company, the Hatteras Sellers, certain principals of the Hatteras Funds Group and the Sellers’ Representative intend to present some of or all such investor presentation at various conferences and meetings in the coming months. A copy of the investor presentation is furnished as Exhibit 99.1 to this Current Report on Form 8-K. Such investor presentation shall not be deemed “filed” for any purpose, including for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section. The information in this Item 7.01, as well as Exhibit 99.1, shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act regardless of any general incorporation language in such filing.

Item 8.01. Other Events.

Press Releases

On October 1, 2013, the Company issued a press release announcing the execution of the Purchase Agreement and related information, a copy of which is attached to this Current Report on Form 8-K as Exhibit 99.2 and is incorporated herein by reference.

Additionally, on October 1, 2013, Hatteras Funds Group issued a press release announcing the foregoing which is attached as Exhibit 99.3 to this Current Report on Form 8-K and is incorporated by reference herein.

Forward-Looking Statements

Information set forth in this Current Report on Form 8-K (including information furnished, included or incorporated by reference herein) contains “forward-looking statements” (as defined in Section 21E of the Exchange Act), which reflect the Company’s expectations regarding future events. The forward-looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those contained in the forward-looking statements. Such forward-looking statements include, but are not limited to, whether and when the transactions contemplated by the Purchase Agreement will be consummated, plans for the operations of the Company and the Purchaser post-closing, market and other expectations, objectives, intentions, as well as any expectations or projections with respect to the Company and the Purchaser post-closing, including regarding future dividends and market valuations, and other statements that are not historical facts.

The following additional factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: the ability to obtain requisite approvals for the Purchase, including, among other things, regulatory approval of certain changes in control of the Hatteras Funds Group’s FINRA-regulated broker-dealer businesses; market volatility; unexpected costs or unexpected liabilities that may arise from the Purchase, whether or not consummated; the inability to retain key personnel; the deterioration of market conditions; and future regulatory or legislative actions that could adversely affect the parties to the Purchase Agreement. Additional factors that may affect future results are contained in the Company’s filings with the SEC, which are available at the SEC’s website at www.sec.gov. The Company disclaims any obligation to update and revise statements contained in these materials based on new information or otherwise. 

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

Exhibit No.	Description
99.1	Investor Presentation
99.2	Press Release dated October 1, 2013
99.3	Hatteras Funds Group Press Release dated October 1, 2013

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	RCS Capital Corporation
Date: October 1, 2013	By:	/s/ William M. Kahane
	Name:	William M. Kahane
	Title:	Chief Executive Officer and Director

EX-99.1

Exhibit 99.1

1 RCS Capital Investor Presentation October 1, 2013

• Information set forth herein contains “forward - looking statements” (as defined in Section 21E of the Exchange Act), which reflect RCS Capital Corporation’s (“RCAP”) expectations regarding future events. The forward - looking statements involve a number of risks, uncertainties and other factors that could cause actual results to differ materially from those contained in the forward - looking statements. Such forward - looking statements include, but are not limited to, whether and when the transactions contemplated by the purchase of the Hatteras Funds Group will be consummated, plans for the operations of RCAP and the Hatteras Funds Group post - closing, market and other expectations, objectives, intentions, as well as any expectations or projections with respect to RCAP and the Hatteras Funds Group post - closing, including regarding future dividends and market valuations, and other statements that are not historical facts. • The following additional factors, among others, could cause actual results to differ from those set forth in the forward - looking statements: the ability to obtain requisite approvals for the purchase of the Hatteras Funds Group , including, among other things, regulatory approval of certain changes in control of the Hatteras Funds Group’s FINRA - regulated broker - dealer businesses; market volatility; unexpected costs or unexpected liabilities that may arise from the purchase of the Hatteras Funds Group , whether or not consummated; the inability to retain key personnel; the deterioration of market conditions; and future regulatory or legislative actions that could adversely affect the parties to the purchase agreement relating to the purchase of the Hatteras Funds Group . Additional factors that may affect future results are contained in RCAP’s filings with the Securities and Exchange Commission (“SEC”), which are available at the SEC’s website at www.sec.gov. RCAP disclaims any obligation to update and revise statements contained in these materials based on new information or otherwise. 2 Cautionary Note Regarding Forward - Looking Statements

American Realty Capital 3 Executive Summary Transaction Overview » RCAP has agreed to acquire 100 % of the assets of the Hatteras g roup of companies (“Hatteras” or “Hatteras Funds Group ”), which act as sponsor, investment adviser to and distributor for the Hatteras Funds, a leading alternative fund complex . » Summary transaction terms : ▪ $ 30 million cash at closing ▪ $ 10 million deferred cash payable over the subsequent 3 years ▪ Earn out payments in 2016 and 2018 based on 1 . 5 x pre - tax net income » Hatteras has a proven record in the development and distribution of liquid alternative funds ▪ $ 2 billion of assets under management at June 30 , 2013 ▪ Six funds with established performance track records » Hatteras would become RCAP’s 5 th primary line of business, complementing the existing direct investment distribution, banking, transaction management services and transfer agent businesses » Hatteras generates recurring fee revenue on assets under management in the Hatteras Funds, adding a new revenue generation element to the RCAP platform » Addition of established liquid alternatives fund company adds significant growth area for RCAP

American Realty Capital 4 » Founded in 2003 , Hatteras Funds Group have been leaders in the development of alternative investment funds for retail investors » Hatteras Funds provide retail investors access to experienced investment managers and styles used by the largest institutions through liquid and qualified funds » Individual Hatteras Funds offerings represent a suite of innovative products designed to help financial advisors allocate to alternatives in a more liquid format than hedge funds and other investment vehicles . Executive Summary Hatteras Overview » Current offerings include : I. Mutual Funds with Daily Liquidity ▪ Alpha Hedged Strategies Fund ▪ Long/Short Equity Fund ▪ Long/Short Debt Fund ▪ Managed Futures Strategies Fund ▪ Hedged Strategies Fund II. Interval Funds (for qualified investors) ▪ Core Alternatives Fund

Projected Growth of Liquid Alternative Funds 5

American Realty Capital 6 Hatteras Alternative Mutual Funds AUM Future mutual fund sales will drive overall AUM growth $ in Millions $670 (6 month annualized)

7 Transaction Benefits Realty Capital Securities RCS Advisory ANST » Highly anticipated use of IPO proceeds » Potential to increase shareholder value » Diversify revenue sources and non - traded REIT concentration » Additive to pro forma earnings » Substantial growth potential of liquid alternatives sector » Expand and complement existing distribution channels » Expand management team expertise » Additional potential growth from back office and distribution synergies

American Realty Capital 8 Growth in Product Diversification and Distribution Channels # of Products (as of 6/30/13) # of Wholesalers 135 147 0 20 40 60 80 100 120 140 160 RCAP RCAP Pro Forma Hatteras increases RCAP product offerings, wholesale team and distribution network. ▪ NTR ▪ BDC ▪ Liquid Alternative

American Realty Capital 9 Hatteras Distribution Partners National Broker Dealers Registered Investment Advisors Regional Broker Dealers Independent Broker Dealers

American Realty Capital 10 Summary of Key Transaction Terms • RCAP to acquire 100% of the assets of Hatteras Funds Group Transaction • The acquisition will be funded using IPO proceeds Capital • Hatteras Funds Group builds on the RCAP alternative investment story, focused on products with lower correlation to the broader market • Common focus on providing retail investors with access to institutional quality investment managers and styles • Significant Growth in the market for liquid alternative investment products since 2008 driven by broader market volatility and cross - market correlation • Combination will provide advisors with a single course for an array of unique alternative investments Synergy Opportunities • David B. Perkins, CEO • Robert L. Worthington, President • J. Michael Fields, COO • R. Lance Baker, CFO • Michael J. Hutten, President of Distribution • Jessica Sherburne, Director of Marketing Management • Subject to customary regulatory approvals and Hatteras Funds shareholder approval Approvals

American Realty Capital R. Lance Baker, CFA, CPA – Chief Financial Officer, Executive Management Team Member » Responsible for all financial and accounting functions of the Hatteras operating entities as well as the Treasurer for the Hatteras registered fund of funds products » Prior Controller and Vice President of Fund Administration and Portfolio Accounting at Smith Breeden Associates and employed at BDO Seidman » Received BS in Business Administration and MA from the Kenan - Flagler Business School at the University of North Carolina » Earned designation as a Chartered Financial Analyst (CFA) and is a licensed Certified Public Accountant (CPA) within the State of No rth Carolina 11 Leadership Team Biographies David B. Perkins, CAIA – Chief Executive Officer, Chairman, Executive Management Team » Member of the investment committees for several Hatteras Funds » Previously Co - Founder and Managing Partner of CapFinancial Partners, LLC » More than two decades of experience in investment management consulting and institutional and private client relations » Received a BA from the University of North Carolina at Charlotte and earned designation as a Chartered Alternatives Investment Analyst (CAIA ) Robert L. Worthington, CFA – President, Executive Management Team Member » Oversees the investment and portfolio management teams of Hatteras Funds » Prior Managing Director at JPMorgan Asset Management; President of Undiscovered Managers, LLC, and Principal and Senior Vice Presid ent of the Burridge Group » Held corporate finance positions at Mellon Bank, Nikko Securities, Bankers Trust, and Westpac Banking for first ten years of career » Received MBA from the University of Pittsburgh and a BA from the University of Wisconsin. Earned designation as a Chartered Financial Analyst (CFA ) J. Michael Fields, CAIA – Chief Operating Officer, Executive Management Team Member » Manages client service, fund accounting, compliance, and integration as well as SEC and Board level communications » Previously employed by an institutional consulting firm and Morgan Stanley » Received MBA from the University of Central Florida and a BA from the University of Florida. Earned designation as a Chartered Alternatives Investment Analyst (CAIA ) Michael J. Hutten – President of Distribution, Executive Management Team Member » Manages sales and distribution initiatives, marketing efforts, and national account relationships » Prior Executive Director for the western U.S. where he focused on business development and client relationships, serving Inve stm ent Consultants, RIAS and Broker/Dealers » Nearly two decades of alternative investment industry experience » Received BA in Business Economics from the University of California Santa Barbara Jessica T. Sherburne – Director of Marketing, Executive Management Team Member » Responsible for creating and managing the firms brand, communications and website » Prior Director of Marketing for First Eagle Funds » Received BS with a double major in Math and Physics from Trinity College » Attended the Eisenbeg School of Management at the University of Massachusetts to earn her Master of Business Administration degree

American Realty Capital 12 Liquidity & Distribution Statistics As of August 31, 2013. Assets Under Management = $2.0 Billion By Fund Type By Distribution Channel RIA 35% Wirehouse 35% Regional BD 20% IBD 5% Other 5% Alternative Mutual Funds is fastest growing product Wirehouses and RIAs account for 70% of distribution Hatteras Core Alternatives Fund (Quarterly) 54% Hatteras Alternative Mutual Funds (Daily) 44% Hatteras Global Private Equity Funds (>1 Year) 2%

EX-99.2

Exhibit 99.2

FOR IMMEDIATE RELEASE

RCS Capital Corporation Announces Agreement to Purchase
the Hatteras Funds Group, Adviser to the Hatteras Funds

Accretive Acquisition Adds Fifth Line of Business, Diversifies Revenue Base, Establishes Presence in Rapidly Growing Liquid Alternatives Sector, Expands and Complements Existing Distribution Channels, Builds out Management Team

New York, New York, October 1, 2013 – RCS Capital Corporation (“RCAP”) (NYSE: RCAP) announced today that on October 1, 2013, a newly formed wholly-owned subsidiary of RCS Advisory Services, LLC, which is an operating subsidiary of RCAP, has entered into an agreement to acquire substantially all the assets related to the business and operations of, and acquire certain liabilities of, a group of related companies (the “Hatteras Funds Group”) that manage and distribute the Hatteras Funds (“Hatteras Funds”), a family of funds that provides alternative investment solutions to financial advisors and their clients through SEC-registered investment companies and other investment vehicles. Following the closing of the acquisition, the Hatteras Funds Group and the Hatteras Funds will continue to operate under current management and the “Hatteras” brand.  

RCAP believes that the acquisition will advance RCAP’s strategic goal of growing its family of companies and expanding its platform of alternative investment offerings and constitutes the deployment of a majority of the proceeds from RCAP’s June 2013 initial public offering. Nicholas S. Schorsch, Executive Chairman of RCAP, commented, “With over $2 billion under management across multiple alternative investment funds, the Hatteras Funds Group manages and distributes “best of class” liquid alternative investments to what we view as a sophisticated client base. We are excited to announce this acquisition opportunity bringing a first-rate management team and one of the premier liquid alternative investment firms into our family of companies. We are pleased to be able to add their liquid alternative investment funds to our platform of durable income solutions.”

Mr. Schorsch continued, “The Hatteras Funds Group, led by founder David Perkins, manages what we view as an exciting and first class alternative funds complex that draws on the talents of its internal managers as well as high quality investment firms respected throughout the alternative investment management industry.” 

William M. Kahane, Chief Executive Officer of RCAP, commented, “Adding this fifth line of business to RCAP will complement our existing durable income investment solutions, further build out our distribution footprint through SEC-registered investment companies and wire houses, and provide greater incremental revenue and earnings for RCAP, increasing value for our shareholders.” Mr. Kahane added, “The anticipated acquisition of the Hatteras Funds Group has not been factored into our previously issued 2013 guidance.”

Edward M. Weil, Jr., President of RCAP, commented, "We believe that the acquisition will enhance our ability to provide top performing, integrated investment solutions to retail investors, and significantly expand our presence in the liquid alternative investment space. This channel is growing rapidly as investors seek to put their money to work in non-correlated funds offering direct exposure to hedged strategies, in a liquid wrapper.”

Mr. Perkins, CEO of the Hatteras Funds Group, commented, “We believe that our clients will benefit from immediate access to RCAP’s well-capitalized and diverse distribution platform. We are excited to join with RCAP allowing us to continue to develop alternative investment solutions for financial advisors and their clients across the liquidity spectrum.”

Following the acquisition, holders of shares of RCAP’s Class A Common Stock will be entitled to the same voting control and economic interests in the Hatteras Funds Group as in RCAP’s other operating subsidiaries. The transaction is subject to the approval of the Hatteras Funds’ boards and shareholders under the Investment Company Act of 1940, as amended. The transaction is expected to close in the first quarter of 2014 and is subject to certain regulatory approvals and filings and other customary closing conditions.

About RCAP

RCAP is a publicly traded Delaware holding company listed on the New York Stock Exchange formed to operate and grow businesses focused on the retail direct investment industry. RCAP holds a direct minority economic interest in Realty Capital Securities, LLC, a FINRA-registered wholesale broker-dealer and an investment banking and capital markets business, American National Stock Transfer, LLC, an SEC-registered transfer agent, and RCS Advisory Services, LLC, a transaction management services business. Additional information about RCAP can be found on its website at www.rcscapital.com. RCAP may disseminate information about itself, including the results of its operations and financial information, via social media platforms such as Facebook, LinkedIn and Twitter.

Important Notice

The statements in this press release include statements regarding the intent, belief or current expectations of RCAP and members of its management team, as well as the assumptions on which such statements are based, and generally are identified by the use of words such as “may,” “will,” “seeks,” “strives,” “anticipates,” “believes,” “estimates,” “expects,” “plans,” “intends,” “should” or similar expressions. Actual results may differ materially from those contemplated by such forward-looking statements, including those set forth in the Risk Factors section of RCAP’s prospectus. The following additional factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: the ability to obtain requisite approvals for the acquisition, including, among other things, regulatory approval of certain changes in control of the Hatteras Funds Group’s FINRA-regulated broker-dealer businesses; market volatility; unexpected costs or unexpected liabilities that may arise from the acquisition, whether or not consummated; the inability to retain key personnel; the deterioration of market conditions; and future regulatory or legislative actions that could adversely affect the parties to the transaction. Further, forward-looking statements speak only as of the date they are made, and RCAP undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time, unless required by law.

Investor Inquiries:

Anthony J. DeFazio	Brian S. Block, CFO
DDCworks	RCS Capital Corporation
tdefazio@ddcworks.com	bblock@arlcap.com
Ph: 484-342-3600	Ph: 866-904-2988

EX-99.3

Exhibit 99.3

 

HATTERAS FUNDS GROUP TO BE ACQUIRED BY RCS CAPITAL CORPORATION

RCS Capital Increases its Exposure to Alternative Investments with Acquisition of Hatteras, a Boutique Alternative Investment Specialist

Existing Hatteras Leadership Team to Remain Autonomous

RCAP to Provide Access to Integrated Distribution Platform and

Financial and Strategic Support

New York, NY, and Raleigh, NC, October 1, 2013 – Hatteras Funds Group, a boutique alternative investment specialist providing unique alternative investment solutions to financial advisors and their clients, has entered into a definitive agreement with RCS Capital Corporation (“RCAP”) (NYSE: RCAP). Following this transaction, the Hatteras Funds Group, which recently celebrated its 10-year anniversary, will continue to operate autonomously under its current management team as a subsidiary of RCAP.

The acquisition will provide significant financial resources to the Hatteras Funds Group, enhancing the firm’s competitive strength and allowing it to expand its alternative investments platform. Hatteras will join RCAP’s existing subsidiaries Realty Capital Securities, LLC, their wholesale distribution and investment banking / capital markets business, RCS Advisory Services LLC, their transaction management business, and American National Stock Transfer, LLC, their stock transfer business.

David Perkins, Hatteras’ CEO commented, “Our clients will benefit from our access to a well-capitalized platform. RCAP’s support allows us to invest in infrastructure, resources, personnel and technology in order to increase our commitment to offering best-in-class investment management and client service. Over the next few years we plan to launch several additional alternative investment solutions that meet the needs of our financial advisors and their clients.”

Nicholas S. Schorsch, Chairman of RCAP, commented “We are excited to announce this acquisition and this opportunity to bring a first-rate management team and one of the premier boutique liquid alternative investment firms in the industry into our family of companies and to add their liquid alternative investment funds to our platform of distribution products.”

Mr. Schorsch continued, “The Hatteras Funds Group, led by David Perkins, manages an exciting and first class alternative funds complex that draws on the talents of its internal managers as well as high quality investment firms respected throughout the alternative investment management industry.”

“We believe the combination of Hatteras Funds and RCAP will be well-positioned to create substantial future value for our clients,” added Perkins.

About Hatteras Funds

Hatteras Funds is a boutique alternative investment specialist dedicated to providing unique alternative investment solutions for financial advisors and their clients. Founded in 2003, Hatteras provides retail investors with access to the same sophisticated investment approach and superior management talent as the largest institutions. The Raleigh, N.C.-based firm manages $2 billion in alternative investment strategies for a broad range of institutions, endowments, pensions and high-net-worth individuals. For more information, please visit hatterasfunds.com.

 

About RCAP

RCAP is a publicly traded Delaware holding company listed on the New York Stock Exchange formed to operate and grow businesses focused on the retail direct investment industry. RCAP holds a direct minority economic interest in Realty Capital Securities, LLC, a FINRA-registered wholesale broker-dealer and an investment banking and capital markets business, American National Stock Transfer, LLC, an SEC-registered transfer agent, and RCS Advisory Services, LLC, a transaction management services business. Additional information about RCAP can be found on its website at www.rcscapital.com. RCAP may disseminate information about itself, including the results of its operations and financial information, via social media platforms such as Facebook, LinkedIn and Twitter.

Important Notice

The statements in this press release include statements regarding the intent, belief or current expectations of RCAP and members of RCAP’s management team, as well as the assumptions on which such statements are based, and generally are identified by the use of words such as “may,” “will,” “seeks,” “strives,” “anticipates,” “believes,” “estimates,” “expects,” “plans,” “intends,” “should” or similar expressions. Actual results may differ materially from those contemplated by such forward-looking statements, including those set forth in the Risk Factors section of RCAP’s prospectus. Further, forward-looking statements speak only as of the date they are made, and RCAP undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time, unless required by law.

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