FH International Asset Management has launched a Delaware-domiciled feeder fund for its Cayman-based FH Emerging Markets Short Term Debt fund.
Steve Landis, FH managing director and portfolio manager of the FH Emerging Markets Short Term Debt Fund LP, told FINalternatives it was opened in response to “U.S. high-net-worth investors and independent investment advisors and high-net-worth brokers at some of the larger firms that were interested in getting access to the [original] fund for domestic and tactical investors.”
Landis says that while the initial launch is small (just over $14.8 million), he believes the fund represents “such an attractive product” for its audience that it should see “significant” interest.
“[T]his is a fund that invests in short duration, investment grade, emerging market debt,” said Landis in a phone interview. “[W]hen we think about the strategy we are mindful of the $150 billion that’s allocated to… short-term bond mutual funds, we think about Barclays’…three-year emerging market debt index.”
In a statement announcing the launch, Landis said the new vehicle would be an “exciting alternative for investors who are seeking yield from short duration investment funds and want to gain exposure to emerging market debt, recently one of the fastest growing and best performing asset classes.”
Landis, with over 25 years’ experience in fixed-income markets, has been at FH International since 2000. He is currently part of the team that manages the FH Emerging Market Debt Fund and the Nordic Fund for Emerging Market Debt.
Minimum investment in the new fund is $250,000 but Landis says the manager has some discretion to make the fund available to smaller, qualified investors. Deutsche Bank Trust Company Americas is the custodian.