3A, SYZ & CO Group’s hedge fund management division, recently launched the ACE Natural Resources Fund, a fund of funds focused on raw materials and natural resources. In its first five months of trading, the vehicle’s U.S. dollar share class is up some 3.25% and is currently managing some $32 million in assets.
ACE’s assets are invested in a number of hedge fund strategies, including long/short equity, macro, CTA and arbitrage, according to fund documents. The fund had a 55% allocation to long/short equity and a 39% allocation to the energy sector as of the end of March. Last month, the fund’s dollar share class gained 1.96%, “primarily by oily names on both sides of the Atlantic,” according to the firm’s monthly fund update.
“In particular, a position with a Scandinavian bias we initiated in March had a strong month. In the midstream sector, the MLP specialized manager continued to deliver strong returns. The metals focused managers, both commodity and equity oriented, also contributed to the overall positive result, with a Canadian manager leading the group.”
The ACE Natural Resources Fund requires a minimum investment of US$1,000 for share class A, US$10,000 for share class C and US$5 million for share class C. The first two share classes have a management fee of 1.5% and share class C of 1%. The performance fee is 7.5% for all share classes.