Gottex Fund Management is to soft close the non-leveraged classes in its highly successful Gottex Market Neutral Fund (MNFund) on 1 March 2005.
After this date, existing Gottex clients and prospective clients in the final stages of due diligence will be able to invest up to pre-agreed capacity limits.
The move comes on the back of the closing of the 2x and 3x leveraged share classes last year.
Joachim Gottschalk, CEO of Gottex, said: "The closing of the MN Fund is a reflection of our desire to cap the total size of the fund (currently USD 4 billion) in order to maintain vital flexibility with respect to strategy and manager allocation, thereby enabling us to continue to target superior-risk adjusted returns."
Gottschalk added: "Whilst the soft closure of the MN Fund might be regrettable for prospective investors, our primary concern is to protect existing investors' interests as well as ensure that we offer other attractive investment alternatives. All other Gottex products benefit from the same investment team and infrastructure that has made the MN Fund so successful."
While Gottex is closing its MN Fund to new investors, it will continue to offer a diversified conservative fund of hedge funds (FoF) via the Gottex Market Neutral Fund II. This product is an 'allocation portfolio', which allocates across all four of Gottex's master portfolios (including a minimum allocation of 30 per cent to the MN Fund's master portfolio, for which capacity has been reserved).
Gottex's other three master portfolios are: the Gottex Relative Value & Event Driven Fund (a Conservative FoF), the Gottex Trading Fund (a Global Trading FoF), and the Gottex Hedged Equity Fund (a Growth FoF).
Gottex's second allocation portfolio, the Gottex Absolute Return Fund, is a highly Diversified FoF that allocates across all of Gottex's master portfolios, except the MN Fund's master portfolio. With the exception of the MN Fund, all of Gottex's products continue to be available in leveraged and non-leveraged share classes in all major currencies.
Background notes: Founded in 1992, Gottex Fund Management is a leading global investment management group specializing in absolute return strategies. With total funds under management in excess of USD 4.5 billion, Gottex offers a complete range of FoFs, specialising in conservative and market neutral FoFs. Gottex is headquartered in Lausanne, Switzerland, and has offices in London, New York, Boston, and Sydney.