Jupiter has launched the Jupiter US Equity Long Short fund, a sub-fund of the Jupiter Global Fund SICAV which is managed by Darren Starr, an experienced hedge fund manager who joined Jupiter’s growing liquid alternatives business in April this year.
The fund will look to generate an absolute return over a three-year rolling period, independent of market conditions.
The Jupiter US Equity Long Short Fund will comprise a concentrated portfolio of circa 40-60 stocks based in, or conducting most of their activities in, the US. The Fund will hold both long and short positions, providing the flexibility to hedge against periods of falling equity markets, and looking to reduce the correlation with broad stock market performance and to limit the monthly volatility of portfolio returns. The net equity exposure of the fund will normally range between plus and minus 25 per cent of net assets while the gross equity exposure is expected to average around 200 per cent.
Starr (pictured), has over 10 years’ experience managing US equity long-short portfolios across roles at UBS, SAC Global Investors and Caxton. Darren is based in Jupiter’s London office and works closely with the firm’s other long-short and long-only equity portfolio managers.
Magnus Spence, Jupiter’s Head of Investments, Alternatives, says: “The launch of this Fund is an important step in our strategic initiative to continue to build out our liquid alternatives capabilities at Jupiter. Darren is a highly experienced US equity investor with significant expertise in equity long short investing and risk management. We are pleased to have him on board.”
“The universe of liquid alternatives has grown rapidly over the last few years despite generating fairly mediocre returns. Many investors have been disappointed by the low levels of risk taking, the high fees and the elevated correlations with equity markets. The Jupiter US Equity Long Short Fund has been specifically designed to address these concerns. We believe it will be a valuable addition to the universe of liquid alternative funds.”
Starr says: “I am delighted to join Jupiter and to be given the opportunity to manage this US Equity Long Short fund. The US equity market is delicately balanced with strong domestic economic conditions driving corporate earnings growth. On the other hand, ongoing disruption in many sectors as well as macroeconomic and political challenges present considerable risks. This is an exciting time to be launching the US Equity Long Short Fund and I relish the opportunity given to me by Jupiter.”
