Man To Launch Tops-Like ETF

Jan 31 2011 | 1:39am ET

The Man Group today will launch its first hedge fund exchange-traded fund, designed to profit from brokers' best ideas.

The Man GLG Europe Plus Source ETF will use an algorithmic system to trade on brokers' buy recommendations. Hundreds of these will be aggregated and rated; the brokers with the winning tips will win the trades based on those tips, the Financial Times reports. The system is similar to that employed by Marshall Wace Asset Management for its Tops program.

The Man fund will not trade on sell recommendations, however; Tops does.

The new strategy, one of the first joint products offered by Man and GLG Partners, which Man acquired last year, is the brainchild of Man's quantitative research group, MSS. That unit this month also launched a tail risk fund, Man Tail Protect, one of several so-called "black swan" funds—which seek to profit from extreme, unlikely moves in the market—to debut recently.

The ETF's strategy is already being used in a managed account for a single large client, according to the FT. The ETF is expected to list with about US$260 million, before "intensive" marketing begins next month.


In Depth

Debunking Conventional Investment Wisdom

Feb 8 2017 | 3:22pm ET

Due diligence in the hedge fund world has long involved some combination of the...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Future of Private Equity: New Opportunities, New Challenges

Feb 3 2017 | 6:41pm ET

The private equity industry’s astonishing rebound since the financial crisis has...

 

From the current issue of