Laxey Readies UCITS-Compliant Investment Trusts Hedge Fund

Feb 18 2010 | 2:15am ET

Laxey Partners is the latest hedge fund to join the UCITS III bandwagon with a fund that will invest in investment trusts.

The London-based activist firm plans to launch a Dublin-domiciled absolute return fund that seeks to profit from discount volatility in investment trusts, the Financial Times reports. While the new vehicle will be a passive investor, it will often invest in the same trusts as other, activist Laxey funds, potential boosting the hedge fund’s strength in battles with management.

Laxey sees an opportunity in a sector where widespread activism before the economic crisis kept discounts to net asset value low.

“Hedge funds have more redemptions and deleveraging to go through so we think the extra-tight discount discipline that was producing will be absent for the foreseeable future,” Laxey co-founder Andrew Pegge told the FT.

The firm said the new fund would meet client demand for onshore hedge funds.


In Depth

Humble in Hofstra...One Debate an Election Can Make

Sep 26 2016 | 10:20am ET

Tonight's U.S. Presidential debate, infamously coined the “Humbling in Hofstra...

Lifestyle

Vortic: Reimagining the Custom Wristwatch

Sep 27 2016 | 7:24pm ET

American watch manufacturer Vortic, which started out restoring antique pocket watch...

Guest Contributor

Hedge Fund Marketing – Tips for Your Initial Sales Meeting

Sep 29 2016 | 5:46pm ET

There are two main goals a hedge fund should have for an initial in-person sales...