CICC Investment Management (USA) and PineBridge Investments have launched the first global fund of hedge funds targeting qualified Chinese investors.
The launch of the global fund of hedge funds demonstrates the strategic decision of CICC Investment Management (USA)’s parent company, China International Capital Corporation (CICC), to expand its investment management business globally.
PineBridge and CICC Investment Management (USA) have both invested proprietary capital to seed the fund and ensure alignment of interests with investors. CICC Investment Management (USA) serves as the fund’s investment manager and PineBridge as its sub-adviser. CICC Investment Management (USA) will leverage its resources in Beijing and New York. The PineBridge Hedge Fund Solutions team is primarily based in New York, London and Hong Kong.
Talal Al Zain, chief executive of PineBridge Investments Middle East, says: "This fund, available to qualified Chinese investors, is further proof of PineBridge’s ability to meet investor demand for innovative and specialized alpha-orientated solutions across asset classes. Our integrated global investment platform allows for the easy flow of investment ideas and innovation between all our regional offices. Following the establishment of our MENA headquarters earlier this year, PineBridge Investment Middle East is increasingly serving as a link between global investors."
The fund intends to invest in a diverse range of hedge funds globally across equity long/short, event driven, global macro/CTA, and relative value strategies. Potential managers of these hedge funds are expected to have outperformed HFRX, with proven track records and assets under management ranging from the hundreds of millions to billions of dollars. The fund aims to generate attractive risk adjusted returns with low volatility and low correlations with the broad markets.