Manas Fund To Focus On Asia Ex-Japan Companies

Mar 19 2012 | 11:21am ET

Anuj Sehgal, a former JPMorgan vice president, has launched his first hedge fund—an Asia ex-Japan vehicle with a Sanskrit name.

The Manas Asian Equities Value Fund launched on March 1 (Manas means ‘mind’ in Sanskrit). The fund will invest across asset classes, with the exception of commodities. The focus will be supply chain, component, product and service companies in the region—particularly Hong Kong, India, Singapore and Taiwan. Manas Capital is the investment manager of the fund and Geomatrix (HK) is the investment advisor.

The fund will eschew leverage and employ derivatives “sparingly.” Sehgal says the approach is “to find good businesses run by good managements which are undervalued and buy them on the long side. On the short side the approach is exactly opposite. I don’t believe in doing pair trades. So hedging will be largely restricted at the portfolio level and that too very minimal. As a rule I am also averse to leverage as it cuts both ways.”

Sehgal has seeded the fund with his own capital and that of friends and family. The minimum investment for the fund is US$100,000 and the fund’s capacity is US$300 million.

The fund aims to have a concentrated portfolio of 30 long positions and 5-10 short positions.

The Hong Kong-based Sehgal has over 10 years of investing experience in Asia‐ex Japan, most recently, as a director at Anand Rathi, an Indian financial services firm. Prior to that he was a risk analyst for Nomura International and before that a risk analyst for the $300 million equity long/short hedge fund North of South Capital. Sehgal spent five years at JPMorgan in Hong Kong and Singapore in investment banking and equity research.

Asian funds had a rough time of it in 2011. Eurekahedge reported the average Asia ex-Japan fund lost 12.7% in 2011. By contrast, global hedge funds lost only 4.15%, their second-worst year ever. Sehgal, however, is not discouraged:

“The approach is a very stock-specific, value approach with a concentrated portfolio. I don’t know what will happen in 2012, but in Asia there are great businesses that are run by great people. One has to be on the look out to invest in them when they are available at cheap valuations because of events around the world.”


In Depth

Q&A: Open Season For Closed-End Funds

Aug 29 2014 | 10:00am ET

When Maury Fertig and Bob Huffman, former Salomon Brothers coworkers, launched...

Lifestyle

Och Funds Women In Finance Initiative At U-M

Aug 28 2014 | 3:01pm ET

Och-Ziff Capital founder Daniel Och and his wife have made a "generous donation"...

Guest Contributor

Looking Ahead: What’s In Store For Managed Futures?

Aug 22 2014 | 12:52pm ET

The last five years were phenomenal for investors in equity indices. Will the next...

 

Editor's Note

    Get A Sneak Peak Of The Alpha Pages

    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…

 

Futures Magazine

July/August 2014 Cover

The time was right

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 ...

The Alpha Pages

TAP July/August 2014 Cover

The Alpha Pages Interview: Senator Rand Paul

Senator Paul sat down in the debut series of the Alpha Pages Interview to discuss the broken tax code, regulation surrounding Bitcoin, and his plans for the 2016 Presidential election.