USD 9.2bn AuM BlueCrest is making its hedge fund strategies available to UK institutional and HNWI investors for the first time via an AIM-listed vehicle.
BlueCrest Capital Management LP's two founders Mike Platt & Bill Reeves were featured in the recent Sunday Times Rich List as two of the highest ranked entrants from the fund management industry.
UK investors will be able to access BlueCrest's highly successful multi-strategy fund AllBlue Ltd, which was previously only open to US investors, via a new AIM-listed vehicle Close AllBlue, which closes on 18 May.
The new AIM quoted closed-ended investment company, Close AllBlue Fund Limited, which is being placed by Close Fund Management, will provide UK investors with access to AllBlue Limited, and is intended to 'bridge the gap between single strategy hedge fund managers and fund of funds'.
Mike Platt, Director and Co-Founder of Bluecrest Capital Management Limited, commented: 'We are very excited about the project with Close, and offering investors the opportunity to access a BlueCrest managed fund in this format for the first time in the UK. We have worked exceedingly hard over the past five years to establish BlueCrest as an asset management business and we are very keen that this launch raises our profile in the UK whilst continuing to, demonstrate our skill at managing performance and volatility .'
AllBlue Limited was launched in September 2005 as a result of demand for an investment combining all the expertise of the BlueCrest principals. AllBlue Limited has already raised over USD 1 billion and returned 8.4% since launch with an annualised return of 12.1% and a volatility of 6%.
Close Fund Management already has a firm footing in the hedge fund arena following the launch in 2004 of its two sterling guaranteed hedge funds in partnership with Man Investments, raising GBP 85 million, the first of which is now up over 20% since launch.
Marc Gordon, Managing Director of Close Fund Management, commented on the launch of Close AllBlue Fund, said: 'Investment managers in the UK now realise that diversifying portfolios into alternative investments such as hedge funds can enhance both the volatility and the returns of traditional portfolios. Following the successful launches of our series with Man, the launch of the Close AllBlue Fund with BlueCrest allows us to offer investors the next generation of hedge fund products. With its multi-asset blend of BlueCrest strategies, the fund managers have excellent transparency, providing them with accurate correlation analysis and therefore a deep understanding of the risks and rewards within the portfolio.'
Gordon added: 'BlueCrest's global expertise and presence has delivered consistently strong performance with appropriate volatility. With BlueCrest's continued investment in risk management and their trading style based upon that of an investment bank, we expect this Fund to receive a really positive response from the UK market.'
The Close AllBlue Fund offers, via AllBlue Limited access to a portfolio of seven diversified strategies managed by BlueCrest and managers with close links to BlueCrest. The Close AllBlue Fund offers access to this portfolio in a format not otherwise available to the general investment community.
BlueCrest manages a highly diversified group of funds with over USD 9.2 billion of assets under management (as of 1 April 2006), which are widely accessed by institutions, fund of funds and professional investors. The NAV of its flagship fund - BlueCrest Capital International Limited - has increased from USD 100 at launch to an estimated USD 203.43 as of 13th April 2006.
Aimed at the UK institutional market, fund of fund providers, top-end financial advisers and private client brokers, the Close AllBlue Fund combines a key range of features specifically designed for the UK market:
- A Closed-ended, AIM quoted company
- Sterling Shares PEP/ISA able
- Minimum investment of GBP 37,500
- Open to eligible investors, likely to close 18 May 2006
- Diversified investment. Close AllBlue Fund will gain exposure to a blend of seven investment strategies and styles. These include the BlueCrest flagship fund with a mixed arbitrage strategy (BlueCrest Capital International Limited), BlueCrest Equity Fund Limited (an equity long/short fund), BlueCrest Emerging Markets Fund Limited (an emerging markets macro strategy) and BlueTrend Fund Limited, offering a systematic trading process.
- Consistent level of return with controlled risk. AllBlue Limited targets annualised absolute returns of 12%-14% and target annualised volatility of 6%. Allocations between the underlying funds comprising the portfolio is undertaken by a group of BlueCrest principals.
- Designed for UK investors. The Fund is denominated in sterling (with further USD and Euro share classes available), is PEP/ISA able and is Capital Gains Tax assessable.
Close Fund Management is recommending investors seek professional advice before investing.