Hermes Fund Managers has launched its Hermes Absolute Return Commodity strategy on dbSelect, Deutsche Bank’s platform for accessing liquid hedge fund strategies.
The Hermes Absolute Return Commodity strategy allows investors to access Hermes’ commodities expertise in a flexible and customised format.
The Hermes investment process is based on a multi-strategy approach operating algorithmic models across 20 commodity curves, complemented by fundamental research. The strategy covers an investment universe of 25 liquid commodities and offers daily liquidity.
Hermes is one of the largest institutional commodities managers globally, managing over USD2.3bn.
Managed investment platforms allow hedge fund managers to offer multiple customised ways of accessing investment strategies in a transparent and efficient manner, whilst reducing counterparty risk and increasing liquidity for investors.
In the past year, Deutsche Bank’s dbSelect platform has become the largest managed account offering for commodity strategies in the market, with more than 15 strategies accessible to investors.
Hans Jacob Feder, global head of dbSelect at Deutsche Bank, says: “The addition of strategies from respected managers such as Hermes continues to drive strong growth across the dbSelect platform. We see substantial interest in commodity strategies as investors and managers welcome the liquidity and transparency benefits offered by managed accounts.”
Colin O’Shea, head of Hermes commodities, says: “Hermes is a leading asset manager in the commodities markets and we operate a proven multi-strategy approach with a low correlation between sectors and traditional asset classes. We’re pleased to offer our absolute return strategy to investors via the leading commodities platform, dbSelect.”