Cliff Asness’s Connecticut-based AQR Capital Management has seen significant new assets flow into its two-year old Australian hedge fund over the la
Cliff Asness’s Connecticut-based AQR Capital Management has seen significant new assets flow into its two-year old Australian hedge fund over the last few months reported the Financial Standard this week. AUD150million in institutional mandates from Australia and New Zealand has enabled the AQR Wholesale Delta Fund’s assets balloon to around AUD200million. Mercer alone allocated AUD52million. The fund launched in Australia in 2009 and is designed to give investors risk-controlled exposure to a number of different hedge fund strategies ranging from global macro and event-driven through to managed futures. Aside from being transparent and easily understandable compared to a lot of other hedge funds, Simon Wills, head of wholesale for AQR Australia said that price was another key selling point. “We have intentionally priced this fund at the cheapest end of the alternatives peer group, providing a strong value proposition to investors in the alternatives space,” Wills told the Financial Standard. Around USD8billion of AQR’s USD40billion in AUM originates from Australia and New Zealand. Australia has a high number of superannuation funds and represents a major institutional investor market to hedge funds.