Saturday, 27 August 2016
Last updated 3 hours ago
Jan 21 2011 | 1:24pm ET
Indus Capital Partners has launched its first UCITS III-compliant hedge fund.
The new Indus PacifiChoice Asia Fund debuted with US$10 million. It is managed by Sheldon Kasowitz and Ethan Devine of New York-based Indus, which launched the fund on Morgan Stanley's FundLogic platform.
The Indus UCITS fund will have between 60 and 90 long and short positions in Asia-Pacific markets, with about one-third of the portfolio concentrated in its top 10 positions.
"Asian markets are inherently inefficient and are therefore an excellent backdrop for long/short strategies," Indus said. "Since we founded Indus in 2000, we have been developing an investment process which we believe can yield positive returns in difficult markets, and strongly positive returns in stock-friendly markets, yielding an attractive return profile over a given cycle."
Morgan Stanley plans to market the fund primarily within the European Union. Its standard management fee will be 2% for institutional investors and 2.5% for retail investors, with both paying 20% for performance. There will also be a minimum investment requirement of US$1 million, £1 million or €1 million. But the fund is offering an "early bird" period with a reduced management fee of 1.5% and no minimum investment.
Morgan Stanley did not say how long the early-bird period would last.
The Indus fund is the second new fund on the Morgan Stanley platform this year, following the launch earlier this month of an Algebris Investments-run financials fund. There are now five UCITS funds on the FundLogic platform, with a sixth to come next month.