The Kenmar Group and the Royal Bank of Scotland have launched what they believe to be the first ever commodity fund of funds in a Ucits III format.
The Market Access III Kenmar Liquid Commodity Index Fund seeks to provide investors with the performance of a diversified portfolio of commodity managers with reduced downside volatility versus typical long-only commodity indices, achieved by the long/short nature of the underlying managers.
Marc Goodman and Ken Shewer, co-chief executive officers and co-chief investment officers of Kenmar, said: “We are delighted to team up with RBS in offering an innovative investment solution for investors in the commodity space. RBS’s global reach and unparalleled expertise in structuring client solutions makes them the ideal partner for bringing this product to market.”
Richard Patey of RBS adds: “Kenmar’s more than 25 years in the industry allows for access to investment managers with demonstrated track records. In addition, Kenmar’s institutional Clarity managed account and analytics platform is the ideal tool for complying with the liquidity and transparency restrictions within the Ucits Directives. In today’s market, concerns about operational risk, position transparency and liquidity are key factors in an investor’s decision making process. Kenmar’s experience in monitoring and administering managed accounts, coupled with its long experience in hedge funds and managed futures, will provide a unique and valuable source of comfort to investors in the Kenmar Liquid Commodity Index Fund.”
The fund is Ucits III compliant and adheres to the highly regulated framework set out in the Ucits Directives. RBS has structured the fund and has launched it under its Luxembourg domiciled Sicav Market Access III.
