Next Generation Absolute Return, the specialised (UCITS) investment management business domiciled in Luxembourg, has received approval from the Luxembourg regulators for four new single-manager UCITS III compliant sub-funds. Additionally, the regulators have approved Next Generation Absolute Return II and its multi-manager UCITS III compliant sub-fund.
“Approval for both SICAV’s and the five sub-funds has long been anticipated and we do appreciate the care and thoroughness of the Luxembourg supervisory authorities”, says Fred Sage, managing partner of Decision Analytics Advisory Partners AG, the founder and operator of the Next Generation Absolute Return business. "The five founding partners of Decision Analytics strongly believe that providing access to the specialisation, track record, experience and dedication of the sub-advisors of these new funds in a highly regulated format is a significant benefit to investors."
The new UCITS funds are based on strategies used by the sub-advisors in their non-UCITS funds with certain modifications to the UCITS investment policy and objectives in order to comply with UCITS regulations, restrictions, constraints and limitations as described in the funds’ prospectus.
Next Generation Absolute Return-Secquaero ILS Fund, is based on the non-UCITS track record and insurance expertise of Secquaero Advisors AG. The UCITS fund will invest in a broadly diversified portfolio comprised mainly of listed insurance linked securities (ILS) and will seek to generate absolute returns with a low correlation to traditional assets. The fund’s investment manager is German based ACATIS Investment GmbH (ACATIS), while the Swiss based Secquaero Advisors will act as investment advisor.
Next Generation Absolute Return-Fort Contrarian Fund, is based on the non-UCITS track record and systematic managed futures expertise of Fort L.P. The UCITS fund will invest in a broad spectrum of worldwide financial futures products, including short-term interest rates, bonds, foreign exchange rates or currencies and financial indices both the long and short sides of the market. Global and sector diversification in relation to the allocation of capital is used to minimise the volatility of returns and seek profits in a variety of market conditions. The fund’s investment manager is U.S. based Fort L.P.
Next Generation Absolute Return-FS Global Absolute Return Fund uses a proprietary asset allocation process to invest globally in a broad range of equity and bond markets using primarily market index futures and other instruments. The portfolio will be partially hedged at all times (25% to a maximum of 100% of the value of investments) with an aim to dampen volatility and to produce absolute type returns. ACATIS is the fund’s investment manager with the U.S based FS Fund Management LLC acting as investment advisor.
Next Generation Absolute Return-FS Global Macro Fund’s investment objective is similar to the FS Global Absolute Return Fund and uses the same proprietary asset allocation process but with higher volatility and therefore a separate risk return profile. The maximum net long portfolio position will be limited to 150% of the portfolio NAV and the maximum net short position will be limited to 100%. ACATIS is the fund’s investment manager with FS Fund Management LLC acting as investment advisor.
Next Generation Absolute Return-ACATIS UCITS Fund of Funds offers investor’s exposure to a portfolio comprised of UCITS complaint funds managed by boutique managers which will include both Next Generation single manager funds where it will provide the initial launch capital and to third party UCITS funds. ACATIS will act as the fund’s investment manager.
Funds will initially only be available to qualified investors on a private placement basis.
Decision Analytics focus will now shift to boosting marketing capabilities organically and via joint ventures and has plans to launch new single manager funds during the course of the year.
