With the recent launch of the Cheyne European Mid Cap Equity Fund, Cheyne’s UCITS umbrella has reached USD575m of assets, from just under USD30m two years ago.
The programme now incorporates five funds which have each been launched in response to investor demand.
Jonathan Lourie, co-founder and chief executive, says: “We are enormously proud of the firm’s achievement in growing its UCITS offering to over USD500m during this period. It is testament to Cheyne’s expertise and innovation and demonstrates our commitment to adapting to the changing regulatory environment, enabling us to provide investors in different jurisdictions with access to some of our core alternative investment strategies.”
The Cheyne European Mid Cap Equity Fund is a UCITS version of Cheyne’s existing long/short European Mid Cap strategy. The fund invests in European companies with a market capitalisation of between EUR500m and EUR10bn whilst maintaining a low net market exposure and low volatility. The fund is managed by Moni Sternbach who was previously head of European smaller companies at Gartmore.
The Cheyne Global CreditFund is an actively-managed, long-biased fund, which invests in a diverse portfolio of investment-grade and crossover companies. As with all of Cheyne’s corporate credit funds, investments are on a floating rather than fixed rate basis so the fund is designed to be an attractive alternative to fixed income credit strategies that may suffer as global interest rates rise. Cheyne’s corporate credit team is headed by John Weiss and David Peacock.
The Cheyne Convertibles Absolute Return Fund aims to generate long-term absolute capital appreciation by investing primarily in global convertible securities, capitalising on the compelling combination of downside protection and upside participation inherent in convertible securities. Cheyne’s convertible bond team is headed by Akin Akinloye who joined Cheyne at its inception in 2000 and previously worked with Cheyne’s founders, Jonathan Lourie and Stuart Fiertz, in the convertible bond management practice at Morgan Stanley.
The Cheyne European RealEstate Bond Fund capitalises on the ongoing dislocation in the European real estate debt markets by investing in senior, investment-grade European real estate-backed bonds. The fund is unleveraged and chooses investments with the aim of ensuring a high degree of seniority and collateral coverage. These are predominantly floating rate, providing a mitigant against any future rises in inflation and interest rates. Headed by Ravi Stickney, the team is the largest dedicated manager of real estate bonds in Europe.
The Cheyne South East Asia Long/Short (Malacca) Fund is a UCITS version of the Cheyne Malacca Asia Equity Fund. It is a long/short equity fund focused on South East Asia, a region experiencing disproportionate growth, in particular in the fund’s key markets of Indonesia, Thailand, Malaysia, Singapore, the Philippines and Vietnam. The portfolio managers, Christian Dangerfield and Calum Graham, have a track record of investing in Asia ex-Japan since 1999 and specifically in South East Asia since 2006.