0000910472-12-003283.txt : 20121101 0000910472-12-003283.hdr.sgml : 20121101 20121101103725 ACCESSION NUMBER: 0000910472-12-003283 CONFORMED SUBMISSION TYPE: 485BPOS PUBLIC DOCUMENT COUNT: 6 FILED AS OF DATE: 20121101 DATE AS OF CHANGE: 20121101 EFFECTIVENESS DATE: 20121101 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NORTHERN LIGHTS FUND TRUST II CENTRAL INDEX KEY: 0001518042 IRS NUMBER: 000000000 STATE OF INCORPORATION: DE FILING VALUES: FORM TYPE: 485BPOS SEC ACT: 1940 Act SEC FILE NUMBER: 811-22549 FILM NUMBER: 121172495 BUSINESS ADDRESS: STREET 1: 450 WIRELESS BLVD CITY: HAUPPAUGE STATE: NY ZIP: 11788 BUSINESS PHONE: 631-470-2600 MAIL ADDRESS: STREET 1: 450 WIRELESS BLVD CITY: HAUPPAUGE STATE: NY ZIP: 11788 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NORTHERN LIGHTS FUND TRUST II CENTRAL INDEX KEY: 0001518042 IRS NUMBER: 000000000 STATE OF INCORPORATION: DE FILING VALUES: FORM TYPE: 485BPOS SEC ACT: 1933 Act SEC FILE NUMBER: 333-174926 FILM NUMBER: 121172496 BUSINESS ADDRESS: STREET 1: 450 WIRELESS BLVD CITY: HAUPPAUGE STATE: NY ZIP: 11788 BUSINESS PHONE: 631-470-2600 MAIL ADDRESS: STREET 1: 450 WIRELESS BLVD CITY: HAUPPAUGE STATE: NY ZIP: 11788 0001518042 S000033695 Hundredfold Select Alternative Fund C000119654 Hundredfold Select Alternative Fund Investor Class Shares 485BPOS 1 hundredfold485bpos.htm 485BPOS GemCom, LLC



Securities Act Registration No. 333 -174926

Investment Company Act Registration No. 811 -22549


FORM N-1A

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549


REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933


Pre-Effective Amendment No.___

o

 


Post-Effective Amendment No.82

x


and/or

REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY

ACT OF 1940


Amendment No.   84

x


 (Check appropriate box or boxes.)

Northern Lights Fund Trust II

(Exact Name of Registrant as Specified in Charter)


 (Address of Principal Executive Offices)(Zip Code)

Registrant’s Telephone Number, including Area Code:  (402) 895-1600

17605 Wright Street

Omaha, NE 68130

402.895.1600


 (Name and Address of Agent for Service)

17605 Wright Street

Omaha, NE 68130

402.895.1600


With copy to:


David J. Baum, Esq.

Alston & Bird, LLP

950 F Street NW

Washington, DC 20004

(202) 239-3346

James P. Ash, Esq.

Gemini Fund Services, LLC

450 Wireless Blvd.

Hauppauge, New York 11788

(631) 470-2619


Approximate date of proposed public offering:  

It is proposed that this filing will become effective:   

x Immediately upon filing pursuant to paragraph (b)

 oOn (date)   pursuant to paragraph (b)

o 60 days after filing pursuant to paragraph (a)(1)

o On ___________ pursuant to paragraph (a)(1)

o 75 days after filing pursuant to paragraph (a)(2)

o On (date) pursuant to paragraph (a)(2) of Rule 485.

If appropriate, check the following box:

o This post-effective amendment designates a new effective date for a previously filed post-effective amendment.










This filing relates solely to the Hundredfold Select Alternative Fund, Investor Class shares, a series of the Trust.


SIGNATURES


Pursuant to the requirements of the Securities Act of 1933 and the Investment Company Act of 1940, the Registrant certifies that it meets all of the requirements for effectiveness of this Registration Statement pursuant to 485(b) under the Securities Act and has duly caused this Post-Effective Amendment No. 82 to the Registration Statement on Form N-1A to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of  Hauppauge, State of New York, on the 31st day of October, 2012.


NORTHERN LIGHTS FUND TRUST II


By: _/s/ Andrew Rogers

      Andrew Rogers

     Principal Executive Officer*



As required by the Securities Act of 1933, this Registration Statement has been signed by the following persons in the capacities indicated on October 31, 2012.


Brian Nielsen*

Trustee & Chairman

October 31, 2012

Anthony Lewis*

Trustee

October 31, 2012

Keith Rhoades*

Trustee

October 31, 2012

Randy Skalla*

Trustee

October 31, 2012

Thomas Sarkany*

Trustee

October 31, 2012

Andrew Rogers*

President and Principal Executive Officer

October 31, 2012

Kevin Wolf*

Treasurer and Principal Accounting Officer

October 31, 2012




*By: /s/ James Ash

         James Ash

     * Attorney-in-Fact –  pursuant to powers of attorney incorporated by reference to Post-Effective Amendment No.2 (filed August 3, 2011) and Post-Effective Amendment No. 14 (filed November 2, 2011) each to Registrant’s Registration Statement on Form N-1A.






INDEX


 

 

 

Index No.

  

Description of Exhibit

 

 

     

EX-101.INS

  

XBRL Instance Document

 

 

EX-101.SCH

  

XBRL Taxonomy Extension Schema Document

 

 

EX-101.DEF

  

XBRL Taxonomy Extension Definition Linkbase

 

 

EX-101.LAB

  

XBRL Taxonomy Extension Labels Linkbase

 

 

EX-101.PRE

  

XBRL Taxonomy Extension Presentation Linkbase






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Total Annual Fund Operating Expenses for the Fund do not correlate to the "Ratios to Average Net Assets: Net Expenses" provided in the Financial Highlights section of the statutory prospectus, which reflects the operating expenses of the Fund and does not include acquired fund fees and expenses. NORTHERN LIGHTS FUND TRUST II 485BPOS false 0001518042 2011-12-31 2012-10-19 2012-10-19 2012-10-19 Hundredfold Select Alternative Fund Fees and Expenses of the Fund <p style="MARGIN: 0px"> This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund. </p> 0.0100 0.0000 0.0055 0.0045 0.0010 0.0135 0.0290 ~ http://nlft.com/20121019/role/ScheduleOperatingExpenses20001 column dei_LegalEntityAxis compact cik0001518042_S000033695Member column rr_ProspectusShareClassAxis compact * row primary compact * ~ Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment) These expenses are based on estimated amounts for the Fund's current fiscal year. Total Annual Fund Operating Expenses for the Fund do not correlate to the "Ratios to Average Net Assets: Net Expenses" provided in the Financial Highlights section of the statutory prospectus, which reflects the operating expenses of the Fund and does not include acquired fund fees and expenses. Performance <p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 11px" align="justify"> Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares<font style="FONT-FAMILY: Arial; FONT-SIZE: 11pt">.</font> The following performance information provides some indication of the risks of investing in the Fund by demonstrating how its returns have varied over time. The bar chart shows changes in the Fund?s performance of its Service Class shares from calendar year to calendar year. The table shows how the Service Class shares? average annual returns for the one-year, five-&#160;year and since inception periods compare with those of a broad-based market index for the same periods. Returns for Investor Class shares would have substantially similar annual returns as Service Class shares because the shares are invested in the same portfolio of securities and the annual returns would differ only to the extent that the Classes do not have the same expenses. The S&amp;P 500 Index shows how the Fund compared with the performance of a widely used securities index during the periods shown. The Barclays Capital U.S. Aggregate Bond Index shows how the performance of stocks compared with bonds during the same periods. Prior to June&#160;11, 2007, the Fund pursued a different investment objective and strategy; therefore, performance results presented for periods prior to that date reflect the performance of the prior strategy. The Fund?s past performance, before and after taxes, is not necessarily an indication of how it will perform in the future. Updated performance is available on the Fund?s website at www.HundredfoldSelect.com, or by contacting Gemini Fund Services or Hundredfold or by calling the Fund toll-free at 855-582-8006. </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund was reorganized on October 3, 2011 from a predecessor fund (the ?Predecessor Fund?) to a series of Northern Lights Fund Trust II (the ?Trust?), a Delaware statutory trust (the ?Reorganization?). &#160;The Fund is a continuation of the Predecessor Fund and, therefore, the performance information includes performance of the Predecessor Fund. </p> Service Class Shares Annual Total Return for the Calendar Year Ended December 31, -0.0007 0.0872 0.0285 -0.1224 0.3002 0.1106 0.0379 ~ http://nlft.com/20121019/role/ScheduleAnnualTotalReturnsBarChart20003 column dei_LegalEntityAxis compact cik0001518042_S000033695Member column rr_ProspectusShareClassAxis compact cik0001518042_C000103767Member row primary compact * ~ highest calendar quarter return 0.1512 2009-06-30 lowest calendar quarter return -0.0537 2008-03-31 <p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 11px" align="justify"> During the period of time shown in the bar chart, the Fund?s highest calendar quarter return was 15.12% for the quarter ended June&#160;30, 2009 and its lowest calendar quarter return was ?5.37% for the quarter ended March&#160;31, 2008. </p> 0.0379 0.0623 0.0567 0.0209 0.0526 0.0447 0.0269 0.0494 0.0427 0.0784 0.0650 0.0551 0.0211 -0.0025 0.0388 2004-09-01 ~ http://nlft.com/20121019/role/ScheduleAverageAnnualReturnsTransposed20004 column dei_LegalEntityAxis compact cik0001518042_S000033695Member column rr_ProspectusShareClassAxis compact * column rr_PerformanceMeasureAxis compact * row primary compact * ~ <p style="MARGIN: 0px" align="justify"> After-tax returns are calculated using the historically highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor?s tax situation and may differ from those shown, and after-tax returns are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts (?IRAs?). </p> After-tax returns are calculated using the historically highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares. The following performance information provides some indication of the risks of investing in the Fund by demonstrating how its returns have varied over time. The Fund's past performance, before and after taxes, is not necessarily an indication of how it will perform in the future. The Barclays Capital U.S. Aggregate Bond Index shows how the performance of stocks compared with bonds during the same periods. (Reflects no deduction for fees, expenses or taxes) Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares. 855-582-8006 www.HundredfoldSelect.com Average Annual Total Returns (for the periods ended December 31, 2011) Actual after-tax returns depend on an investor's tax situation and may differ from those shown, and after-tax returns are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts ("IRAs"). The Fund was reorganized on October 3, 2011 from a predecessor fund (the "Predecessor Fund") to a series of Northern Lights Fund Trust II (the "Trust"), a Delaware statutory trust (the "Reorganization"). The Fund is a continuation of the Predecessor Fund and, therefore, the performance information includes performance of the Predecessor Fund. Investment Objective <p style="MARGIN: 0px"> The Fund seeks a moderate total rate of return (income plus capital appreciation) on an annual basis. </p> Portfolio Turnover. <p align="justify" style="MARGIN: 0px; FONT-FAMILY: Arial"><font style="FONT-FAMILY: Times New Roman">The Fund pays transaction costs, such as commissions, when it buys and sells securities (or ?turns over? its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund&#160;Operating Expenses or in the example, affect the Fund?s performance. During the most recent fiscal year, the Fund?s portfolio turnover rate was 360% of the average value of its portfolio.</font> </p> 3.60 Principal Investment Strategy <p style="MARGIN: 0px" align="justify"> Hundredfold Advisors LLC (?Hundredfold? or the ?Subadviser?) actively manages the Fund?s portfolio to invest in any combination of equity and fixed-income securities based on market conditions and trends and the Subadviser?s expectations and assessment of risks. (The term ?Alternative? in the Fund?s name simply refers to the fact that the Subadviser may choose from among many investment alternatives.) Although the Fund may invest directly in equity and fixed-income securities, it will primarily invest in such securities indirectly through securities that invest in or are a derivative of such securities, primarily including futures contracts, swap agreements, exchange-traded funds (?ETFs?), naked and covered options on such instruments, currencies, and other investment companies. &#160;It may also seek exposure to securities of foreign issuers. </p> <br/><p style="MARGIN: 0px" align="justify"> The Select Alternative Fund invests directly or indirectly in fixed-income securities without any restriction on maturity or creditworthiness, which primarily include government securities, asset-backed debt securities, mortgaged-backed securities and debt securities rated below investment grade, also known as ?junk bonds?. The Fund invests in equity securities without consideration to any specific sector or market capitalization range. The Subadviser?s investment decisions are based on a variety of trading models and an analysis of the overall investment opportunities and risks among categories or sectors of equity and fixed-income securities or investment vehicles that represent pools of such securities, such as major market indices, investment companies and ETFs. The Subadviser?s strategy does not involve fundamental research and analysis of individual securities. The Fund is a ?non-diversified? fund, meaning that a relatively high percentage of its assets may be invested in a limited number of issuers of securities. The Fund employs an aggressive management strategy that typically results in high portfolio turnover. </p> <br/><p style="MARGIN: 0px" align="justify"> The Subadviser employs an investment strategy that alternates between positions designed to profit from market trends, such as entering into ?long? and ?short? positions, directly or indirectly through ETFs, other investment companies and derivatives of equity and fixed-income securities, and investing in cash or cash equivalents as a temporary defensive measure. The Subadviser seeks to take ?long? positions in or purchase securities prior to or at the outset of upward trends for such securities and seeks to take<b>&#160;</b>?short? positions in or sell securities prior to or early in downward trends in the value of such securities. There is no limit on the amount of the Fund?s assets that may be invested in derivative instruments or used to cover short positions. The Subadviser may reposition the Fund?s portfolio in response to market movements in an attempt to participate in a developing trend and may attempt to anticipate market moves and initiate appropriate action in advance of actual market trends. The Subadviser will employ leveraged investment techniques that allow the Fund to increase its exposure to the market during times when the Subadviser anticipates a strong market trend. The Subadviser also may employ hedging strategies designed to reduce volatility and risk. </p> Example. <p align="justify" style="MARGIN: 0px; FONT-FAMILY: Arial"> <font style="FONT-FAMILY: Times New Roman">This example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.</font></p> 293 898 1528 3223 ~ http://nlft.com/20121019/role/ScheduleExpenseExampleTransposed20002 column dei_LegalEntityAxis compact cik0001518042_S000033695Member column rr_ProspectusShareClassAxis compact * row primary compact * ~ The example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all your shares at the end of those periods. The example also assumes that your investment has a 5% return each year and that the Fund?s operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be: Principal Investment Risks <p style="MARGIN: 0px" align="justify"> An investment in the Fund entails risks. The Fund could lose money, or its performance could trail that of other investment alternatives. Neither the Subadviser nor the Fund?s adviser, Advisors Preferred LLC (?Advisors Preferred? or the ?Adviser?) can guarantee that the Fund will achieve its objective. (Collectively, the Subadviser and Advisors Preferred are referred to herein as ?Advisers? in certain circumstances.) In addition, the Fund presents some risks not traditionally associated with most mutual funds. It is important that investors closely review and understand these risks before making an investment in the Fund. Turbulence in financial markets and reduced liquidity in equity, credit and fixed income markets could negatively affect many issuers worldwide, including the Fund. There is the risk that you could lose all or a portion of your money on your investment in the Fund. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Aggressive Investment Techniques Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund uses investment techniques that may be considered aggressive. Risks associated with the use of swap agreements and futures contracts include potentially dramatic price changes (losses) in the value of the instruments and imperfect correlations between the price of the contract and the underlying security or index. These instruments may increase the volatility of the Fund and may involve a small investment of cash relative to the magnitude of the risk assumed. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Asset-Backed Securities Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Payment of interest and repayment of principal may be impacted by the cash flows generated by the assets backing these securities. The value of the Fund?s asset-backed securities also may be affected by changes in interest rates, the availability of information concerning the interests in and structure of the pools of purchase contracts, financing leases or sales agreements that are represented by these securities, the creditworthiness of the servicing agent for the pool, the originator of the loans or receivables, or the entities that provide any supporting letters of credit, surety bonds, or other credit enhancements. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Credit Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund could lose money if the issuer of a debt security is unable to meet its financial obligations or goes bankrupt. The Fund could also lose money if the issuer of a debt security in which it has a short position is upgraded or generally improves its standing. Changes in an issuer?s financial strength or in an issuer?s or debt security?s credit rating also may affect a security?s value and thus have an impact on Fund performance. Credit risk usually applies to most debt securities, but generally is not a factor for U.S. government obligations. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Counterparty Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund may invest in financial instruments involving counterparties for the purpose of attempting to gain exposure to a particular group of securities or asset class without actually purchasing those securities or investments, or to hedge a position. The Fund may enter into swap agreements with a limited number of counterparties, which may increase the Fund?s exposure to counterparty credit risk. Swap agreements also may be considered to be illiquid. </p> <br/><p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 11px" align="justify"> <b><i>Depositary Receipt Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> To the extent the Fund invests in stocks of foreign corporations, the Fund?s investment in such stocks may also be in the form of depositary receipts or other securities convertible into securities of foreign issuers, including American Depositary Receipts (?ADRs?). While the use of ADRs, which are traded on exchanges and represent an ownership in a foreign security, provide an alternative to directly purchasing the underlying foreign securities in their respective national markets and currencies, investments in ADRs continue to be subject to many of the risks associated with investing directly in foreign securities. &#160; </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Derivatives Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Investments in derivatives are subject to market risks that may cause their prices to fluctuate over time and increase the Fund?s volatility. As a result, the Fund may incur larger losses or smaller gains than otherwise would be the case if the Fund invested directly in the underlying securities. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Emerging Markets Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Investments in emerging markets instruments involve greater risks than investing in foreign instruments in general. Risks of investing in emerging market countries include political or social upheaval, nationalization of businesses, restrictions on foreign ownership and prohibitions on the repatriation of assets and risks from an economy?s dependence on revenues from particular commodities or industries. In addition, currency transfer restrictions, limited potential buyers for such instruments, delays and disruption in settlement procedures and illiquidity or low volumes of transactions may make exits difficult or impossible at times. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Equity Securities Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Investments in publicly issued equity securities in general are subject to market risks that may cause their prices to fluctuate over time and in turn cause the Fund?s NAV to fluctuate. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Foreign Securities Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Investments in foreign securities involve greater risks than investing in domestic securities. As a result, the Fund?s returns and net asset values may be affected to a large degree by fluctuations in currency exchange rates, political, diplomatic or economic conditions and regulatory requirements in other countries. The Fund also may invest in depositary receipts, including ADRs, which are traded on exchanges and provide an alternative to investing directly in foreign securities. Investments in ADRs are subject to many of the risks associated with investing directly in foreign securities. </p> <br/><p style="MARGIN: 0px" align="justify"> <strike></strike><i><b>High Portfolio Turnover Risk</b></i> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund may experience high portfolio turnover, which would involve correspondingly greater expenses to the Fund, as well as potentially adverse tax consequences, to the Fund?s shareholders from distributions of increased net short-term capital gains, and may adversely affect the Fund?s performance. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>High-Yield Securities Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund will invest a significant portion or all of its assets in securities rated below investment grade or ?junk bonds.? Junk bonds may be sensitive to economic changes, political changes, or adverse developments specific to a company. High yield securities may have speculative characteristics. These securities generally involve greater risk of default or price changes than other types of fixed-income securities and the Fund?s performance may vary significantly as a result. Therefore, an investment in the Fund is subject to a higher risk of loss than an investment in a fund that may not invest in lower-rated securities. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Holding Cash Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund may hold cash positions when the market is not producing returns greater than the short-term cash investments in which the Fund may invest. There is a risk that the sections of the market in which the Fund invests will begin to rise or fall rapidly and the Fund will not be able to sell stocks quickly enough to avoid losses, or reinvest its cash positions into areas of the advancing market quickly enough to capture the initial returns of changing market conditions. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Interest Rate Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Debt securities have varying levels of sensitivity to changes in interest rates. The longer the maturity of a security, the greater the impact a change in interest rates could have on the security?s price. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Leverage Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The Fund may employ leveraged investment techniques, including the use of financial instruments to produce leverage results as well as borrowing money for investment purposes. Use of leverage can magnify the effects of changes in the value of the Fund and makes it more volatile. The leveraged investment techniques that the Fund employs could cause investors in the Fund to lose more money in adverse environments. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Non-Diversification Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> A non-diversified fund invests a high percentage of its assets in a limited number of securities, exposing the Fund to fluctuations in net asset value and total return. </p> <br/><p style="MARGIN: 0px"> <b><i>Other Investment Companies Risk and ETFs Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Investments in the securities of other investment companies may involve duplication of advisory fees and certain other expenses. Fund shareholders indirectly bear the Fund?s proportionate share of the fees and expenses paid by shareholders of the other investment company or ETF, in addition to the fees and expenses Fund shareholders directly bear in connection with the Fund?s own operations. If the investment company or ETF fails to achieve its investment objective, the value of the Fund?s investment will decline, adversely affecting the Fund?s performance. In addition, ETF shares potentially may trade at a discount or a premium and are subject to brokerage and other trading costs, which could result in greater expenses to the Fund. Finally, because the value of ETF shares depends on the demand in the market, the Adviser may not be able to liquidate the Fund?s holdings in an ETF?s shares at the most optimal time, adversely affecting the Fund?s performance. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Prepayment Risk and Mortgage-Backed Securities Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Many types of debt securities, including mortgage securities, are subject to prepayment risk. Prepayment occurs when the issuer of a security can repay principal prior to the security?s maturity. Securities subject to prepayment can offer less potential for gains during a declining interest rate environment and similar or greater potential for loss in a rising interest rate environment. In addition, the potential impact of prepayment features on the price of a debt security can be difficult to predict and result in greater volatility. As a result, the Fund may have to reinvest its assets in mortgage securities or other debt securities that have lower yields. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Shorting Securities Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Short positions are designed to profit from a decline in the price of particular securities, baskets of securities or indices. The Fund will lose value if and when the instrument?s price rises&#160;? a result that is the opposite from traditional mutual funds. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Small- and Mid-Capitalization Companies Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> Investing in the securities of small-capitalization and mid-capitalization companies involves greater risks and the possibility of greater price volatility than investing in larger capitalization and more-established companies. Investments in mid-cap companies involve less risk than investing in small-cap companies. Smaller companies may have limited operating history, product lines, and financial resources, and the securities of these companies may lack sufficient market liquidity. Mid-cap companies often have narrower markets and more limited managerial and financial resources than larger, more established companies. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Subadviser?s Investment Strategy Risk</i></b> </p> <br/><p style="MARGIN: 0px" align="justify"> The principal risk of investing in the Fund is that the Subadviser?s investment strategy will not be successful. While the Subadviser seeks to take advantage of investment opportunities for the Fund that will maximize its investment returns, there is no guarantee that such opportunities will ultimately benefit the Fund. The Subadviser will aggressively change the Fund?s portfolio in response to market conditions that are unpredictable and may expose the Fund to greater market risk than other mutual funds. There is no assurance that the Subadviser?s investment strategy will enable the Fund to achieve its investment objective. </p> <br/><p style="MARGIN: 0px" align="justify"> <b><i>Tax Risk</i></b> &#160; </p> <br/><p style="MARGIN: 0px" align="justify"> Certain of the Fund?s investment strategies, including transactions in options and futures contracts, may be subject to the special tax rules, the effect of which may have adverse tax consequences for the Fund. </p> A non-diversified fund invests a high percentage of its assets in a limited number of securities, exposing the Fund to fluctuations in net asset value and total return. The Fund could lose money, or its performance could trail that of other investment alternatives. 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Label Element Value
Risk/Return: rr_RiskReturnAbstract  
Prospectus Date rr_ProspectusDate Oct. 19, 2012

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Hundredfold Select Alternative Fund
Hundredfold Select Alternative Fund
Investment Objective

The Fund seeks a moderate total rate of return (income plus capital appreciation) on an annual basis.

Fees and Expenses of the Fund

This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.

Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
Operating Expenses
Hundredfold Select Alternative Fund
Hundredfold Select Alternative Fund Investor Class Shares
Management Fees 1.00%
Distribution (12b-1) Fees none
Other Expenses 0.55%
Operating Services Fee 0.45%
Shareholder Servicing Fees 0.10%
Acquired Fund Fees and Expenses [1] 1.35%
Total Annual Fund Operating Expenses [2] 2.90%
[1] These expenses are based on estimated amounts for the Fund's current fiscal year.
[2] Total Annual Fund Operating Expenses for the Fund do not correlate to the "Ratios to Average Net Assets: Net Expenses" provided in the Financial Highlights section of the statutory prospectus, which reflects the operating expenses of the Fund and does not include acquired fund fees and expenses.
Example.

This example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.

The example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all your shares at the end of those periods. The example also assumes that your investment has a 5% return each year and that the Fund?s operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:
Expense Example (USD $)
1 Year
3 Year
5 Years
10 Years
Hundredfold Select Alternative Fund Hundredfold Select Alternative Fund Investor Class Shares
293 898 1,528 3,223
Portfolio Turnover.

The Fund pays transaction costs, such as commissions, when it buys and sells securities (or ?turns over? its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund?s performance. During the most recent fiscal year, the Fund?s portfolio turnover rate was 360% of the average value of its portfolio.

Principal Investment Strategy

Hundredfold Advisors LLC (?Hundredfold? or the ?Subadviser?) actively manages the Fund?s portfolio to invest in any combination of equity and fixed-income securities based on market conditions and trends and the Subadviser?s expectations and assessment of risks. (The term ?Alternative? in the Fund?s name simply refers to the fact that the Subadviser may choose from among many investment alternatives.) Although the Fund may invest directly in equity and fixed-income securities, it will primarily invest in such securities indirectly through securities that invest in or are a derivative of such securities, primarily including futures contracts, swap agreements, exchange-traded funds (?ETFs?), naked and covered options on such instruments, currencies, and other investment companies.  It may also seek exposure to securities of foreign issuers.


The Select Alternative Fund invests directly or indirectly in fixed-income securities without any restriction on maturity or creditworthiness, which primarily include government securities, asset-backed debt securities, mortgaged-backed securities and debt securities rated below investment grade, also known as ?junk bonds?. The Fund invests in equity securities without consideration to any specific sector or market capitalization range. The Subadviser?s investment decisions are based on a variety of trading models and an analysis of the overall investment opportunities and risks among categories or sectors of equity and fixed-income securities or investment vehicles that represent pools of such securities, such as major market indices, investment companies and ETFs. The Subadviser?s strategy does not involve fundamental research and analysis of individual securities. The Fund is a ?non-diversified? fund, meaning that a relatively high percentage of its assets may be invested in a limited number of issuers of securities. The Fund employs an aggressive management strategy that typically results in high portfolio turnover.


The Subadviser employs an investment strategy that alternates between positions designed to profit from market trends, such as entering into ?long? and ?short? positions, directly or indirectly through ETFs, other investment companies and derivatives of equity and fixed-income securities, and investing in cash or cash equivalents as a temporary defensive measure. The Subadviser seeks to take ?long? positions in or purchase securities prior to or at the outset of upward trends for such securities and seeks to take ?short? positions in or sell securities prior to or early in downward trends in the value of such securities. There is no limit on the amount of the Fund?s assets that may be invested in derivative instruments or used to cover short positions. The Subadviser may reposition the Fund?s portfolio in response to market movements in an attempt to participate in a developing trend and may attempt to anticipate market moves and initiate appropriate action in advance of actual market trends. The Subadviser will employ leveraged investment techniques that allow the Fund to increase its exposure to the market during times when the Subadviser anticipates a strong market trend. The Subadviser also may employ hedging strategies designed to reduce volatility and risk.

Principal Investment Risks

An investment in the Fund entails risks. The Fund could lose money, or its performance could trail that of other investment alternatives. Neither the Subadviser nor the Fund?s adviser, Advisors Preferred LLC (?Advisors Preferred? or the ?Adviser?) can guarantee that the Fund will achieve its objective. (Collectively, the Subadviser and Advisors Preferred are referred to herein as ?Advisers? in certain circumstances.) In addition, the Fund presents some risks not traditionally associated with most mutual funds. It is important that investors closely review and understand these risks before making an investment in the Fund. Turbulence in financial markets and reduced liquidity in equity, credit and fixed income markets could negatively affect many issuers worldwide, including the Fund. There is the risk that you could lose all or a portion of your money on your investment in the Fund.


Aggressive Investment Techniques Risk


The Fund uses investment techniques that may be considered aggressive. Risks associated with the use of swap agreements and futures contracts include potentially dramatic price changes (losses) in the value of the instruments and imperfect correlations between the price of the contract and the underlying security or index. These instruments may increase the volatility of the Fund and may involve a small investment of cash relative to the magnitude of the risk assumed.


Asset-Backed Securities Risk


Payment of interest and repayment of principal may be impacted by the cash flows generated by the assets backing these securities. The value of the Fund?s asset-backed securities also may be affected by changes in interest rates, the availability of information concerning the interests in and structure of the pools of purchase contracts, financing leases or sales agreements that are represented by these securities, the creditworthiness of the servicing agent for the pool, the originator of the loans or receivables, or the entities that provide any supporting letters of credit, surety bonds, or other credit enhancements.


Credit Risk


The Fund could lose money if the issuer of a debt security is unable to meet its financial obligations or goes bankrupt. The Fund could also lose money if the issuer of a debt security in which it has a short position is upgraded or generally improves its standing. Changes in an issuer?s financial strength or in an issuer?s or debt security?s credit rating also may affect a security?s value and thus have an impact on Fund performance. Credit risk usually applies to most debt securities, but generally is not a factor for U.S. government obligations.


Counterparty Risk


The Fund may invest in financial instruments involving counterparties for the purpose of attempting to gain exposure to a particular group of securities or asset class without actually purchasing those securities or investments, or to hedge a position. The Fund may enter into swap agreements with a limited number of counterparties, which may increase the Fund?s exposure to counterparty credit risk. Swap agreements also may be considered to be illiquid.


Depositary Receipt Risk


To the extent the Fund invests in stocks of foreign corporations, the Fund?s investment in such stocks may also be in the form of depositary receipts or other securities convertible into securities of foreign issuers, including American Depositary Receipts (?ADRs?). While the use of ADRs, which are traded on exchanges and represent an ownership in a foreign security, provide an alternative to directly purchasing the underlying foreign securities in their respective national markets and currencies, investments in ADRs continue to be subject to many of the risks associated with investing directly in foreign securities.  


Derivatives Risk


Investments in derivatives are subject to market risks that may cause their prices to fluctuate over time and increase the Fund?s volatility. As a result, the Fund may incur larger losses or smaller gains than otherwise would be the case if the Fund invested directly in the underlying securities.


Emerging Markets Risk


Investments in emerging markets instruments involve greater risks than investing in foreign instruments in general. Risks of investing in emerging market countries include political or social upheaval, nationalization of businesses, restrictions on foreign ownership and prohibitions on the repatriation of assets and risks from an economy?s dependence on revenues from particular commodities or industries. In addition, currency transfer restrictions, limited potential buyers for such instruments, delays and disruption in settlement procedures and illiquidity or low volumes of transactions may make exits difficult or impossible at times.


Equity Securities Risk


Investments in publicly issued equity securities in general are subject to market risks that may cause their prices to fluctuate over time and in turn cause the Fund?s NAV to fluctuate.


Foreign Securities Risk


Investments in foreign securities involve greater risks than investing in domestic securities. As a result, the Fund?s returns and net asset values may be affected to a large degree by fluctuations in currency exchange rates, political, diplomatic or economic conditions and regulatory requirements in other countries. The Fund also may invest in depositary receipts, including ADRs, which are traded on exchanges and provide an alternative to investing directly in foreign securities. Investments in ADRs are subject to many of the risks associated with investing directly in foreign securities.


High Portfolio Turnover Risk


The Fund may experience high portfolio turnover, which would involve correspondingly greater expenses to the Fund, as well as potentially adverse tax consequences, to the Fund?s shareholders from distributions of increased net short-term capital gains, and may adversely affect the Fund?s performance.


High-Yield Securities Risk


The Fund will invest a significant portion or all of its assets in securities rated below investment grade or ?junk bonds.? Junk bonds may be sensitive to economic changes, political changes, or adverse developments specific to a company. High yield securities may have speculative characteristics. These securities generally involve greater risk of default or price changes than other types of fixed-income securities and the Fund?s performance may vary significantly as a result. Therefore, an investment in the Fund is subject to a higher risk of loss than an investment in a fund that may not invest in lower-rated securities.


Holding Cash Risk


The Fund may hold cash positions when the market is not producing returns greater than the short-term cash investments in which the Fund may invest. There is a risk that the sections of the market in which the Fund invests will begin to rise or fall rapidly and the Fund will not be able to sell stocks quickly enough to avoid losses, or reinvest its cash positions into areas of the advancing market quickly enough to capture the initial returns of changing market conditions.


Interest Rate Risk


Debt securities have varying levels of sensitivity to changes in interest rates. The longer the maturity of a security, the greater the impact a change in interest rates could have on the security?s price.


Leverage Risk


The Fund may employ leveraged investment techniques, including the use of financial instruments to produce leverage results as well as borrowing money for investment purposes. Use of leverage can magnify the effects of changes in the value of the Fund and makes it more volatile. The leveraged investment techniques that the Fund employs could cause investors in the Fund to lose more money in adverse environments.


Non-Diversification Risk


A non-diversified fund invests a high percentage of its assets in a limited number of securities, exposing the Fund to fluctuations in net asset value and total return.


Other Investment Companies Risk and ETFs Risk


Investments in the securities of other investment companies may involve duplication of advisory fees and certain other expenses. Fund shareholders indirectly bear the Fund?s proportionate share of the fees and expenses paid by shareholders of the other investment company or ETF, in addition to the fees and expenses Fund shareholders directly bear in connection with the Fund?s own operations. If the investment company or ETF fails to achieve its investment objective, the value of the Fund?s investment will decline, adversely affecting the Fund?s performance. In addition, ETF shares potentially may trade at a discount or a premium and are subject to brokerage and other trading costs, which could result in greater expenses to the Fund. Finally, because the value of ETF shares depends on the demand in the market, the Adviser may not be able to liquidate the Fund?s holdings in an ETF?s shares at the most optimal time, adversely affecting the Fund?s performance.


Prepayment Risk and Mortgage-Backed Securities Risk


Many types of debt securities, including mortgage securities, are subject to prepayment risk. Prepayment occurs when the issuer of a security can repay principal prior to the security?s maturity. Securities subject to prepayment can offer less potential for gains during a declining interest rate environment and similar or greater potential for loss in a rising interest rate environment. In addition, the potential impact of prepayment features on the price of a debt security can be difficult to predict and result in greater volatility. As a result, the Fund may have to reinvest its assets in mortgage securities or other debt securities that have lower yields.


Shorting Securities Risk


Short positions are designed to profit from a decline in the price of particular securities, baskets of securities or indices. The Fund will lose value if and when the instrument?s price rises ? a result that is the opposite from traditional mutual funds.


Small- and Mid-Capitalization Companies Risk


Investing in the securities of small-capitalization and mid-capitalization companies involves greater risks and the possibility of greater price volatility than investing in larger capitalization and more-established companies. Investments in mid-cap companies involve less risk than investing in small-cap companies. Smaller companies may have limited operating history, product lines, and financial resources, and the securities of these companies may lack sufficient market liquidity. Mid-cap companies often have narrower markets and more limited managerial and financial resources than larger, more established companies.


Subadviser?s Investment Strategy Risk


The principal risk of investing in the Fund is that the Subadviser?s investment strategy will not be successful. While the Subadviser seeks to take advantage of investment opportunities for the Fund that will maximize its investment returns, there is no guarantee that such opportunities will ultimately benefit the Fund. The Subadviser will aggressively change the Fund?s portfolio in response to market conditions that are unpredictable and may expose the Fund to greater market risk than other mutual funds. There is no assurance that the Subadviser?s investment strategy will enable the Fund to achieve its investment objective.


Tax Risk  


Certain of the Fund?s investment strategies, including transactions in options and futures contracts, may be subject to the special tax rules, the effect of which may have adverse tax consequences for the Fund.

Performance

Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares. The following performance information provides some indication of the risks of investing in the Fund by demonstrating how its returns have varied over time. The bar chart shows changes in the Fund?s performance of its Service Class shares from calendar year to calendar year. The table shows how the Service Class shares? average annual returns for the one-year, five- year and since inception periods compare with those of a broad-based market index for the same periods. Returns for Investor Class shares would have substantially similar annual returns as Service Class shares because the shares are invested in the same portfolio of securities and the annual returns would differ only to the extent that the Classes do not have the same expenses. The S&P 500 Index shows how the Fund compared with the performance of a widely used securities index during the periods shown. The Barclays Capital U.S. Aggregate Bond Index shows how the performance of stocks compared with bonds during the same periods. Prior to June 11, 2007, the Fund pursued a different investment objective and strategy; therefore, performance results presented for periods prior to that date reflect the performance of the prior strategy. The Fund?s past performance, before and after taxes, is not necessarily an indication of how it will perform in the future. Updated performance is available on the Fund?s website at www.HundredfoldSelect.com, or by contacting Gemini Fund Services or Hundredfold or by calling the Fund toll-free at 855-582-8006.


The Fund was reorganized on October 3, 2011 from a predecessor fund (the ?Predecessor Fund?) to a series of Northern Lights Fund Trust II (the ?Trust?), a Delaware statutory trust (the ?Reorganization?).  The Fund is a continuation of the Predecessor Fund and, therefore, the performance information includes performance of the Predecessor Fund.

Service Class Shares Annual Total Return for the Calendar Year Ended December 31,
Bar Chart

During the period of time shown in the bar chart, the Fund?s highest calendar quarter return was 15.12% for the quarter ended June 30, 2009 and its lowest calendar quarter return was ?5.37% for the quarter ended March 31, 2008.

Average Annual Total Returns (for the periods ended December 31, 2011)
Average Annual Returns Hundredfold Select Alternative Fund
1 Year
5 Years
Since Inception
Inception Date
Hundredfold Select Alternative Fund Service Class
3.79% 6.23% 5.67% Sep. 01, 2004
Hundredfold Select Alternative Fund Service Class After Taxes on Distributions
2.09% 5.26% 4.47%  
Hundredfold Select Alternative Fund Service Class After Taxes on Distributions and Sale of Fund Shares
2.69% 4.94% 4.27%  
Barclays Capital U.S. Aggregate Bond Index (Reflects no deduction for fees, expenses or taxes)
7.84% 6.50% 5.51%  
S&P 500 Index (Reflects no deduction for fees, expenses or taxes)
2.11% (0.25%) 3.88%  

After-tax returns are calculated using the historically highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor?s tax situation and may differ from those shown, and after-tax returns are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts (?IRAs?).

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XML 13 R7.htm IDEA: XBRL DOCUMENT v2.4.0.6
Label Element Value
Risk/Return: rr_RiskReturnAbstract  
Risk/Return [Heading] rr_RiskReturnHeading Hundredfold Select Alternative Fund
Objective [Heading] rr_ObjectiveHeading Investment Objective
Objective, Primary [Text Block] rr_ObjectivePrimaryTextBlock

The Fund seeks a moderate total rate of return (income plus capital appreciation) on an annual basis.

Expense [Heading] rr_ExpenseHeading Fees and Expenses of the Fund
Expense Narrative [Text Block] rr_ExpenseNarrativeTextBlock

This table describes the fees and expenses that you may pay if you buy and hold shares of the Fund.

Operating Expenses Caption [Text] rr_OperatingExpensesCaption Annual Fund Operating Expenses (expenses that you pay each year as a percentage of the value of your investment)
Portfolio Turnover [Heading] rr_PortfolioTurnoverHeading Portfolio Turnover.
Portfolio Turnover [Text Block] rr_PortfolioTurnoverTextBlock

The Fund pays transaction costs, such as commissions, when it buys and sells securities (or ?turns over? its portfolio). A higher portfolio turnover rate may indicate higher transaction costs and may result in higher taxes when Fund shares are held in a taxable account. These costs, which are not reflected in Annual Fund Operating Expenses or in the example, affect the Fund?s performance. During the most recent fiscal year, the Fund?s portfolio turnover rate was 360% of the average value of its portfolio.

Portfolio Turnover, Rate rr_PortfolioTurnoverRate 360.00%
Acquired Fund Fees and Expenses, Based on Estimates [Text] rr_AcquiredFundFeesAndExpensesBasedOnEstimates These expenses are based on estimated amounts for the Fund's current fiscal year.
Expenses Not Correlated to Ratio Due to Acquired Fund Fees [Text] rr_ExpensesNotCorrelatedToRatioDueToAcquiredFundFees Total Annual Fund Operating Expenses for the Fund do not correlate to the "Ratios to Average Net Assets: Net Expenses" provided in the Financial Highlights section of the statutory prospectus, which reflects the operating expenses of the Fund and does not include acquired fund fees and expenses.
Expense Example [Heading] rr_ExpenseExampleHeading Example.
Expense Example Narrative [Text Block] rr_ExpenseExampleNarrativeTextBlock

This example is intended to help you compare the cost of investing in the Fund with the cost of investing in other mutual funds.

Expense Example by, Year, Caption [Text] rr_ExpenseExampleByYearCaption The example assumes that you invest $10,000 in the Fund for the time periods indicated and then redeem all your shares at the end of those periods. The example also assumes that your investment has a 5% return each year and that the Fund?s operating expenses remain the same. Although your actual costs may be higher or lower, based on these assumptions your costs would be:
Strategy [Heading] rr_StrategyHeading Principal Investment Strategy
Strategy Narrative [Text Block] rr_StrategyNarrativeTextBlock

Hundredfold Advisors LLC (?Hundredfold? or the ?Subadviser?) actively manages the Fund?s portfolio to invest in any combination of equity and fixed-income securities based on market conditions and trends and the Subadviser?s expectations and assessment of risks. (The term ?Alternative? in the Fund?s name simply refers to the fact that the Subadviser may choose from among many investment alternatives.) Although the Fund may invest directly in equity and fixed-income securities, it will primarily invest in such securities indirectly through securities that invest in or are a derivative of such securities, primarily including futures contracts, swap agreements, exchange-traded funds (?ETFs?), naked and covered options on such instruments, currencies, and other investment companies.  It may also seek exposure to securities of foreign issuers.


The Select Alternative Fund invests directly or indirectly in fixed-income securities without any restriction on maturity or creditworthiness, which primarily include government securities, asset-backed debt securities, mortgaged-backed securities and debt securities rated below investment grade, also known as ?junk bonds?. The Fund invests in equity securities without consideration to any specific sector or market capitalization range. The Subadviser?s investment decisions are based on a variety of trading models and an analysis of the overall investment opportunities and risks among categories or sectors of equity and fixed-income securities or investment vehicles that represent pools of such securities, such as major market indices, investment companies and ETFs. The Subadviser?s strategy does not involve fundamental research and analysis of individual securities. The Fund is a ?non-diversified? fund, meaning that a relatively high percentage of its assets may be invested in a limited number of issuers of securities. The Fund employs an aggressive management strategy that typically results in high portfolio turnover.


The Subadviser employs an investment strategy that alternates between positions designed to profit from market trends, such as entering into ?long? and ?short? positions, directly or indirectly through ETFs, other investment companies and derivatives of equity and fixed-income securities, and investing in cash or cash equivalents as a temporary defensive measure. The Subadviser seeks to take ?long? positions in or purchase securities prior to or at the outset of upward trends for such securities and seeks to take ?short? positions in or sell securities prior to or early in downward trends in the value of such securities. There is no limit on the amount of the Fund?s assets that may be invested in derivative instruments or used to cover short positions. The Subadviser may reposition the Fund?s portfolio in response to market movements in an attempt to participate in a developing trend and may attempt to anticipate market moves and initiate appropriate action in advance of actual market trends. The Subadviser will employ leveraged investment techniques that allow the Fund to increase its exposure to the market during times when the Subadviser anticipates a strong market trend. The Subadviser also may employ hedging strategies designed to reduce volatility and risk.

Risk [Heading] rr_RiskHeading Principal Investment Risks
Risk Narrative [Text Block] rr_RiskNarrativeTextBlock

An investment in the Fund entails risks. The Fund could lose money, or its performance could trail that of other investment alternatives. Neither the Subadviser nor the Fund?s adviser, Advisors Preferred LLC (?Advisors Preferred? or the ?Adviser?) can guarantee that the Fund will achieve its objective. (Collectively, the Subadviser and Advisors Preferred are referred to herein as ?Advisers? in certain circumstances.) In addition, the Fund presents some risks not traditionally associated with most mutual funds. It is important that investors closely review and understand these risks before making an investment in the Fund. Turbulence in financial markets and reduced liquidity in equity, credit and fixed income markets could negatively affect many issuers worldwide, including the Fund. There is the risk that you could lose all or a portion of your money on your investment in the Fund.


Aggressive Investment Techniques Risk


The Fund uses investment techniques that may be considered aggressive. Risks associated with the use of swap agreements and futures contracts include potentially dramatic price changes (losses) in the value of the instruments and imperfect correlations between the price of the contract and the underlying security or index. These instruments may increase the volatility of the Fund and may involve a small investment of cash relative to the magnitude of the risk assumed.


Asset-Backed Securities Risk


Payment of interest and repayment of principal may be impacted by the cash flows generated by the assets backing these securities. The value of the Fund?s asset-backed securities also may be affected by changes in interest rates, the availability of information concerning the interests in and structure of the pools of purchase contracts, financing leases or sales agreements that are represented by these securities, the creditworthiness of the servicing agent for the pool, the originator of the loans or receivables, or the entities that provide any supporting letters of credit, surety bonds, or other credit enhancements.


Credit Risk


The Fund could lose money if the issuer of a debt security is unable to meet its financial obligations or goes bankrupt. The Fund could also lose money if the issuer of a debt security in which it has a short position is upgraded or generally improves its standing. Changes in an issuer?s financial strength or in an issuer?s or debt security?s credit rating also may affect a security?s value and thus have an impact on Fund performance. Credit risk usually applies to most debt securities, but generally is not a factor for U.S. government obligations.


Counterparty Risk


The Fund may invest in financial instruments involving counterparties for the purpose of attempting to gain exposure to a particular group of securities or asset class without actually purchasing those securities or investments, or to hedge a position. The Fund may enter into swap agreements with a limited number of counterparties, which may increase the Fund?s exposure to counterparty credit risk. Swap agreements also may be considered to be illiquid.


Depositary Receipt Risk


To the extent the Fund invests in stocks of foreign corporations, the Fund?s investment in such stocks may also be in the form of depositary receipts or other securities convertible into securities of foreign issuers, including American Depositary Receipts (?ADRs?). While the use of ADRs, which are traded on exchanges and represent an ownership in a foreign security, provide an alternative to directly purchasing the underlying foreign securities in their respective national markets and currencies, investments in ADRs continue to be subject to many of the risks associated with investing directly in foreign securities.  


Derivatives Risk


Investments in derivatives are subject to market risks that may cause their prices to fluctuate over time and increase the Fund?s volatility. As a result, the Fund may incur larger losses or smaller gains than otherwise would be the case if the Fund invested directly in the underlying securities.


Emerging Markets Risk


Investments in emerging markets instruments involve greater risks than investing in foreign instruments in general. Risks of investing in emerging market countries include political or social upheaval, nationalization of businesses, restrictions on foreign ownership and prohibitions on the repatriation of assets and risks from an economy?s dependence on revenues from particular commodities or industries. In addition, currency transfer restrictions, limited potential buyers for such instruments, delays and disruption in settlement procedures and illiquidity or low volumes of transactions may make exits difficult or impossible at times.


Equity Securities Risk


Investments in publicly issued equity securities in general are subject to market risks that may cause their prices to fluctuate over time and in turn cause the Fund?s NAV to fluctuate.


Foreign Securities Risk


Investments in foreign securities involve greater risks than investing in domestic securities. As a result, the Fund?s returns and net asset values may be affected to a large degree by fluctuations in currency exchange rates, political, diplomatic or economic conditions and regulatory requirements in other countries. The Fund also may invest in depositary receipts, including ADRs, which are traded on exchanges and provide an alternative to investing directly in foreign securities. Investments in ADRs are subject to many of the risks associated with investing directly in foreign securities.


High Portfolio Turnover Risk


The Fund may experience high portfolio turnover, which would involve correspondingly greater expenses to the Fund, as well as potentially adverse tax consequences, to the Fund?s shareholders from distributions of increased net short-term capital gains, and may adversely affect the Fund?s performance.


High-Yield Securities Risk


The Fund will invest a significant portion or all of its assets in securities rated below investment grade or ?junk bonds.? Junk bonds may be sensitive to economic changes, political changes, or adverse developments specific to a company. High yield securities may have speculative characteristics. These securities generally involve greater risk of default or price changes than other types of fixed-income securities and the Fund?s performance may vary significantly as a result. Therefore, an investment in the Fund is subject to a higher risk of loss than an investment in a fund that may not invest in lower-rated securities.


Holding Cash Risk


The Fund may hold cash positions when the market is not producing returns greater than the short-term cash investments in which the Fund may invest. There is a risk that the sections of the market in which the Fund invests will begin to rise or fall rapidly and the Fund will not be able to sell stocks quickly enough to avoid losses, or reinvest its cash positions into areas of the advancing market quickly enough to capture the initial returns of changing market conditions.


Interest Rate Risk


Debt securities have varying levels of sensitivity to changes in interest rates. The longer the maturity of a security, the greater the impact a change in interest rates could have on the security?s price.


Leverage Risk


The Fund may employ leveraged investment techniques, including the use of financial instruments to produce leverage results as well as borrowing money for investment purposes. Use of leverage can magnify the effects of changes in the value of the Fund and makes it more volatile. The leveraged investment techniques that the Fund employs could cause investors in the Fund to lose more money in adverse environments.


Non-Diversification Risk


A non-diversified fund invests a high percentage of its assets in a limited number of securities, exposing the Fund to fluctuations in net asset value and total return.


Other Investment Companies Risk and ETFs Risk


Investments in the securities of other investment companies may involve duplication of advisory fees and certain other expenses. Fund shareholders indirectly bear the Fund?s proportionate share of the fees and expenses paid by shareholders of the other investment company or ETF, in addition to the fees and expenses Fund shareholders directly bear in connection with the Fund?s own operations. If the investment company or ETF fails to achieve its investment objective, the value of the Fund?s investment will decline, adversely affecting the Fund?s performance. In addition, ETF shares potentially may trade at a discount or a premium and are subject to brokerage and other trading costs, which could result in greater expenses to the Fund. Finally, because the value of ETF shares depends on the demand in the market, the Adviser may not be able to liquidate the Fund?s holdings in an ETF?s shares at the most optimal time, adversely affecting the Fund?s performance.


Prepayment Risk and Mortgage-Backed Securities Risk


Many types of debt securities, including mortgage securities, are subject to prepayment risk. Prepayment occurs when the issuer of a security can repay principal prior to the security?s maturity. Securities subject to prepayment can offer less potential for gains during a declining interest rate environment and similar or greater potential for loss in a rising interest rate environment. In addition, the potential impact of prepayment features on the price of a debt security can be difficult to predict and result in greater volatility. As a result, the Fund may have to reinvest its assets in mortgage securities or other debt securities that have lower yields.


Shorting Securities Risk


Short positions are designed to profit from a decline in the price of particular securities, baskets of securities or indices. The Fund will lose value if and when the instrument?s price rises ? a result that is the opposite from traditional mutual funds.


Small- and Mid-Capitalization Companies Risk


Investing in the securities of small-capitalization and mid-capitalization companies involves greater risks and the possibility of greater price volatility than investing in larger capitalization and more-established companies. Investments in mid-cap companies involve less risk than investing in small-cap companies. Smaller companies may have limited operating history, product lines, and financial resources, and the securities of these companies may lack sufficient market liquidity. Mid-cap companies often have narrower markets and more limited managerial and financial resources than larger, more established companies.


Subadviser?s Investment Strategy Risk


The principal risk of investing in the Fund is that the Subadviser?s investment strategy will not be successful. While the Subadviser seeks to take advantage of investment opportunities for the Fund that will maximize its investment returns, there is no guarantee that such opportunities will ultimately benefit the Fund. The Subadviser will aggressively change the Fund?s portfolio in response to market conditions that are unpredictable and may expose the Fund to greater market risk than other mutual funds. There is no assurance that the Subadviser?s investment strategy will enable the Fund to achieve its investment objective.


Tax Risk  


Certain of the Fund?s investment strategies, including transactions in options and futures contracts, may be subject to the special tax rules, the effect of which may have adverse tax consequences for the Fund.

Risk Lose Money [Text] rr_RiskLoseMoney The Fund could lose money, or its performance could trail that of other investment alternatives.
Risk Nondiversified Status [Text] rr_RiskNondiversifiedStatus A non-diversified fund invests a high percentage of its assets in a limited number of securities, exposing the Fund to fluctuations in net asset value and total return.
Bar Chart and Performance Table [Heading] rr_BarChartAndPerformanceTableHeading Performance
Performance Narrative [Text Block] rr_PerformanceNarrativeTextBlock

Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares. The following performance information provides some indication of the risks of investing in the Fund by demonstrating how its returns have varied over time. The bar chart shows changes in the Fund?s performance of its Service Class shares from calendar year to calendar year. The table shows how the Service Class shares? average annual returns for the one-year, five- year and since inception periods compare with those of a broad-based market index for the same periods. Returns for Investor Class shares would have substantially similar annual returns as Service Class shares because the shares are invested in the same portfolio of securities and the annual returns would differ only to the extent that the Classes do not have the same expenses. The S&P 500 Index shows how the Fund compared with the performance of a widely used securities index during the periods shown. The Barclays Capital U.S. Aggregate Bond Index shows how the performance of stocks compared with bonds during the same periods. Prior to June 11, 2007, the Fund pursued a different investment objective and strategy; therefore, performance results presented for periods prior to that date reflect the performance of the prior strategy. The Fund?s past performance, before and after taxes, is not necessarily an indication of how it will perform in the future. Updated performance is available on the Fund?s website at www.HundredfoldSelect.com, or by contacting Gemini Fund Services or Hundredfold or by calling the Fund toll-free at 855-582-8006.


The Fund was reorganized on October 3, 2011 from a predecessor fund (the ?Predecessor Fund?) to a series of Northern Lights Fund Trust II (the ?Trust?), a Delaware statutory trust (the ?Reorganization?).  The Fund is a continuation of the Predecessor Fund and, therefore, the performance information includes performance of the Predecessor Fund.

Performance Information Illustrates Variability of Returns [Text] rr_PerformanceInformationIllustratesVariabilityOfReturns The following performance information provides some indication of the risks of investing in the Fund by demonstrating how its returns have varied over time.
Performance Additional Market Index [Text] rr_PerformanceAdditionalMarketIndex The Barclays Capital U.S. Aggregate Bond Index shows how the performance of stocks compared with bonds during the same periods.
Performance Availability Phone [Text] rr_PerformanceAvailabilityPhone 855-582-8006
Performance Availability Website Address [Text] rr_PerformanceAvailabilityWebSiteAddress www.HundredfoldSelect.com
Performance Past Does Not Indicate Future [Text] rr_PerformancePastDoesNotIndicateFuture The Fund's past performance, before and after taxes, is not necessarily an indication of how it will perform in the future.
Bar Chart [Heading] rr_BarChartHeading Service Class Shares Annual Total Return for the Calendar Year Ended December 31,
Bar Chart Closing [Text Block] rr_BarChartClosingTextBlock

During the period of time shown in the bar chart, the Fund?s highest calendar quarter return was 15.12% for the quarter ended June 30, 2009 and its lowest calendar quarter return was ?5.37% for the quarter ended March 31, 2008.

Bar Chart, Reason Selected Class Different from Immediately Preceding Period [Text] rr_BarChartReasonSelectedClassDifferentFromImmediatelyPrecedingPeriod The Fund was reorganized on October 3, 2011 from a predecessor fund (the "Predecessor Fund") to a series of Northern Lights Fund Trust II (the "Trust"), a Delaware statutory trust (the "Reorganization"). The Fund is a continuation of the Predecessor Fund and, therefore, the performance information includes performance of the Predecessor Fund.
Bar Chart, Returns for Class Not Offered in Prospectus [Text] rr_BarChartReturnsForClassNotOfferedInProspectus Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares.
Highest Quarterly Return, Label rr_HighestQuarterlyReturnLabel highest calendar quarter return
Highest Quarterly Return, Date rr_BarChartHighestQuarterlyReturnDate Jun. 30, 2009
Highest Quarterly Return rr_BarChartHighestQuarterlyReturn 15.12%
Lowest Quarterly Return, Label rr_LowestQuarterlyReturnLabel lowest calendar quarter return
Lowest Quarterly Return, Date rr_BarChartLowestQuarterlyReturnDate Mar. 31, 2008
Lowest Quarterly Return rr_BarChartLowestQuarterlyReturn (5.37%)
Index No Deduction for Fees, Expenses, Taxes [Text] rr_IndexNoDeductionForFeesExpensesTaxes (Reflects no deduction for fees, expenses or taxes)
Performance Table Uses Highest Federal Rate rr_PerformanceTableUsesHighestFederalRate After-tax returns are calculated using the historically highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes.
Performance Table Not Relevant to Tax Deferred rr_PerformanceTableNotRelevantToTaxDeferred Actual after-tax returns depend on an investor's tax situation and may differ from those shown, and after-tax returns are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts ("IRAs").
Performance Table Closing [Text Block] rr_PerformanceTableClosingTextBlock

After-tax returns are calculated using the historically highest individual federal marginal income tax rates and do not reflect the impact of state and local taxes. Actual after-tax returns depend on an investor?s tax situation and may differ from those shown, and after-tax returns are not relevant to investors who hold their Fund shares through tax-deferred arrangements, such as 401(k) plans or individual retirement accounts (?IRAs?).

Caption rr_AverageAnnualReturnCaption Average Annual Total Returns (for the periods ended December 31, 2011)
Barclays Capital U.S. Aggregate Bond Index (Reflects no deduction for fees, expenses or taxes)
 
Risk/Return: rr_RiskReturnAbstract  
1 Year rr_AverageAnnualReturnYear01 7.84%
5 Years rr_AverageAnnualReturnYear05 6.50%
Since Inception rr_AverageAnnualReturnSinceInception 5.51%
S&P 500 Index (Reflects no deduction for fees, expenses or taxes)
 
Risk/Return: rr_RiskReturnAbstract  
1 Year rr_AverageAnnualReturnYear01 2.11%
5 Years rr_AverageAnnualReturnYear05 (0.25%)
Since Inception rr_AverageAnnualReturnSinceInception 3.88%
Hundredfold Select Alternative Fund Investor Class Shares
 
Risk/Return: rr_RiskReturnAbstract  
Management Fees rr_ManagementFeesOverAssets 1.00%
Distribution (12b-1) Fees rr_DistributionAndService12b1FeesOverAssets none
Operating Services Fee rr_Component1OtherExpensesOverAssets 0.45%
Shareholder Servicing Fees rr_Component2OtherExpensesOverAssets 0.10%
Other Expenses rr_OtherExpensesOverAssets 0.55%
Acquired Fund Fees and Expenses rr_AcquiredFundFeesAndExpensesOverAssets 1.35% [1]
Total Annual Fund Operating Expenses rr_ExpensesOverAssets 2.90% [2]
Expense Example, with Redemption, 1 Year rr_ExpenseExampleYear01 293
Expense Example, with Redemption, 3 Years rr_ExpenseExampleYear03 898
Expense Example, with Redemption, 5 Years rr_ExpenseExampleYear05 1,528
Expense Example, with Redemption, 10 Years rr_ExpenseExampleYear10 3,223
Performance One Year or Less [Text] rr_PerformanceOneYearOrLess Because the Fund has only recently commenced investment operations of Investor Class shares, no performance information is available for Investor Class shares.
[1] These expenses are based on estimated amounts for the Fund's current fiscal year.
[2] Total Annual Fund Operating Expenses for the Fund do not correlate to the "Ratios to Average Net Assets: Net Expenses" provided in the Financial Highlights section of the statutory prospectus, which reflects the operating expenses of the Fund and does not include acquired fund fees and expenses.
XML 14 R1.htm IDEA: XBRL DOCUMENT v2.4.0.6
Document and Entity Information
0 Months Ended
Dec. 31, 2011
Risk/Return:  
Document Type 485BPOS
Document Period End Date Dec. 31, 2011
Registrant Name NORTHERN LIGHTS FUND TRUST II
Central Index Key 0001518042
Amendment Flag false
Document Creation Date Oct. 19, 2012
Document Effective Date Oct. 19, 2012
Prospectus Date Oct. 19, 2012
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