It may be losing assets at an alarming, and increasing, rate, but GAM said today it will launch a new hedge fund designed to benefit from the market turmoil, promising to commit a “significant” amount to the vehicle.

The hedge fund arm of Julius Baer said its GAM Eclectic Fund will debut in February. The fund will employ a global long/short strategy, investing in battered stocks with high intrinsic values. It will be managed by Mark Hawtin, who joined GAM from Marshall Wace Asset Management.

“We believe in the manager and his experience,” a GAM spokeswoman told Reuters. “It is the best time to launch this product… It can invest in any sectors going through structural change or a shift in sentiment.”

The new fund is the second plan by GAM to capitalize on the financial crisis. Last month, it announced plans for a distressed debt fund of hedge funds for debut either this year or early next.