Wednesday, 22 March 2017
Last updated 23 hours ago
Mar 24 2011 | 1:40pm ET
A pair of former Dresdner Bank derivatives traders are set to launch an Asia-focused managed futures hedge fund.
Mathias Piardon and Frederic Levy's Noho Capital won an asset management license from the Hong Kong Securities and Futures Commission last week and will receive its first seed investment in the next few days, Reuters reports. The duo have been running their strategy using their own capital since August, and say they have enjoyed positive returns in five of seven months.
Among the strategies employed by the nascent firm are reversal, trend-following and deterministic. Expansion into other asset classes in the future is in the cards.
"What we are doing is purely systematic trading," Piardon, formerly head of Asia ex-Japan equity derivatives trading at Dresdner, told Reuters. "We have proprietary algorithms that we developed in the last two years."
Piardon and Levy, who was regional head of exotic equity trading at ABN Amro before his brief stint at Dresdner, say they hope to raise $40 million for the fund by the end of the year. Noho plans to hire a chief operating officer to assist with fundraising, but Piardon said he wanted to keep Noho's operations lean.
"We do not want 30 people," he said. "We like the boutique system where we can control everything."
Noho is currently looking for a prime broker. The firm plans to launch an off-shore fund with a US$100,000 minimum investment requirement.