Nauerz & Noell AG, a Frankfurt-based hedge funds advisor, has launched its first offshore single manager fund, NN Advanced Directional HY.
The fund is seeking high returns by low volatility by taking advantage of market exaggeration in intra day movements and the reverse to the mean.
Nauerz said: "We have installed a strict pre trade risk management which keeps positions without leverage and allows only 0.2 % risk per trade."
He added: "In order to seed the fund we developed a capital note which will raise EUR 50 million from retail investors."
Nauerz & Noell was founded in 2000 by George Nauerz, CEO of the firm. Nauerz was responsible for GNC Asset Management from 1996-1999. Prior to that he handled the asset management activities of a local real estate company.