International asset management group Forsyth Partners is launching a new Dublin listed fund of hedge funds – the Forsyth Multi Strategy
International asset management group Forsyth Partners is launching a new Dublin listed fund of hedge funds – the Forsyth Multi Strategy Fund.
The fund aims to achieve capital growth through investment in a tightly controlled portfolio of between 25 and 35 hedge funds which will use a range of different investment strategies including convertible arbitrage, multi-strategy, merger arbitrage, global macro, fixed income, CTA, long/short equity, equity market neutral, distressed and high yield.
The Forsyth Multi Strategy Fund will be managed on a fund of hedge funds basis while Forsyth Partners’ team of research analysts will be responsible for manager selection and monitoring.
A key feature of the fund is the transparency of its holdings, which will allow investors to drill down into the portfolio to gain a better understanding of the performance characteristics of an individual fund or strategy. This transparency, coupled with detailed information on market exposure, aids the management team in controlling position risk. There is also a daily estimated Net Asset Value (NAV).
The Forsyth Multi Strategy Fund is the first fund of its type Forsyth Partners has launched in the institutional market and has been designed to appeal to international investment banks and major pension funds.
‘This is an idea we developed together with JPMorgan and we believe the fund sets new standards in terms of innovation and investment potential,’ says Paul Forsyth, Group Chief Executive. ‘The Forsyth Multi Strategy Fund has been carefully tailored to match the requirements of the institutional market and is the first of many similar initiatives.”
Paolo Cuniberti, EMEA head of investor client management for hedge funds at JPMorgan adds: ‘This innovative product will have a broad appeal to our institutional client base and we are looking forward to working with Forsyth Partners again to develop further products.”
The fund will be traded monthly and offers both USD and Euro share classes. The minimum investment is USD 1m, or the currency equivalent, with subsequent investment of USD 100,000. The annual management fee is 1.75%, with a 10% performance fee, calculated on a high water mark basis, each payable monthly.
‘The objective of the Forsyth Multi Strategy Fund is to deliver above average long term returns from a portfolio of hedge funds whilst maintaining low volatility,’ says Gian Luca Giurlani, Head of Global Investment Banking Relationships at Forsyth Partners. ‘The portfolio will be strictly monitored to ensure that the individual funds remain within the performance perimeters.’
Background notes: Forsyth Partners is an international asset management group with offices in the UK, Jersey, Cape Town, Japan, Hong Kong, Taiwan, Seoul, Zurich and Dubai. Clients extend to over 600 companies in over 55 countries. Forsyth’s range of international offshore hedge, equity and bond funds are all managed on a fund of funds basis.
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