Thursday, 28 August 2014
Last updated 7 min ago
Feb 22 2010 | 11:02am ET
Launched with a bang, a Cazenove Capital Management retail hedge fund is likely to remain cold to new investors for some time.
The firm’s Absolute U.K. Dynamic Fund, which sucked up £123 million in just two weeks after its launch in September, will remain closed to new investment for another six to nine months, the Financial Times reports. The firm hopes that the extra time will give the fund a chance to boost its performance, which has been basically flat since inception.
Absolute U.K. Dynamic is modeled on Cazenove’s U.K. Dynamic Absolute Return Fund, and boasts the same managers as the hedge fund, Paul Marriage and Neil Pegrum. But unlike the Absolute Return fund, U.K. Dynamic is open to retail investors.
Marriage blamed the new fund’s slow start on the recent market rally.
“We predicted it would take us eight to 12 weeks to get invested, given our small- and mid-cap bias and the liquidity headwinds involved,” he told the FT. “But we launched on the day Kraft tabled its initial bid for Cadbury, which created a strong upward shift in the market and people’s expectations for equities.”
“It would have been easy to start quickly, but we took a step back and invested carefully, so it took us longer to build the portfolio,” he explained. The fund is now fully invested, and targeting between 15% and 16% annual returns.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...