Basis Capital's Yield Alpha Fund delivered a 20.13 per cent net US dollar total yield return for the 24 months to 1 December 2005.
The fund has also yet to record a single month of negative performance in the two years since its launch having delivered a 9.90 per cent net US dollar total yield for the 12 months to 1 December 2005.
Named the AsiaHedge Fund of the Year in 2005, the firm says the Basis Yield Alpha Fund is now attracting global institutional and fund of fund investors seeking high yielding, investments.
The fund primarily invests in Global Structured Credit - CDO equity and mezzanine debt - and employs a long/short investment philosophy.
'The Yield Alpha Fund is now established as a consistent, bone fide alpha generator, and investors have come to recognise that strength,' says Stuart Fowler, joint managing director of Sydney-based Basis Capital. 'Our critical difference as a manager is the rigour of our risk management process and investment selection criteria. This is the reason we have continued delivering attractive risk-adjusted returns.'
According to Steve Howell, joint managing director and Basis CIO, the firm's investment performance continues to draw favourable feedback from existing investors in the US, Europe and Asia.
'We typically attract pension funds, fund of hedge funds, private banks, and some very high net worth private investors,' says Howell. 'At this point the feedback we have from these valued relationships is very pleasing, and we plan to continue managing the Yield Alpha Fund, and our Pac-Rim Opportunity Fund, with their needs in mind.'
This positive feedback recently resulted in the introduction of a new 'version' of the Yield Alpha Fund allowing access to US tax-paying investors as well as endowment funds and others not covered by particular US tax regulations.
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