Ramsey Quantitative Systems has selected SEI's Advisors' Inner Circle Fund (AIC) II as the turnkey operating structure for it’s new Small Cap Hedged Equity Fund.
Through its Investment Manager Services (IMS) division, SEI SEIC, -0.43% supplies customized operating infrastructure and services to investment organizations around the world.
SEI helped pioneer the series trust concept over 20 years ago by introducing Advisors' Inner Circle Fund as an institutional-quality turnkey mutual fund operating platform in 1991. The AIC series trust enables investment organisations to rapidly launch and grow mutual funds without having to build their own fund operating infrastructure. The solution is also designed for asset managers seeking a more cost-effective way to operate existing funds.
"We believe the capabilities of SEI's AIC platform will offer us the highest likelihood of success in launching our fund as quickly and efficiently as possible," says Neil Ramsey, CEO, Ramsey Quantitative Systems, Inc. "We chose SEI because we were impressed by a trust solution that addresses every need of our fund's operations. We are excited to work with such a knowledgeable team."
Headquartered in Louisville, KY, RQSI has been engaged in developing investment strategies based on quantitative and fundamental trading factors for over 20 years. The Fund is a long-term portfolio designed to provide dynamic exposure to quality US small cap companies. It also provides a daily hedge, designed to offer some protection during market drawdowns. The hedge model includes negative impacts of changes in volatility structure, significant technical risk of sustained price weakness, price mean reversion, and econometric negative capital flow indicators.
"We are pleased to help RQSI expand their distribution options by having mutual fund solutions available for their traditional, family office, and institutional channels," says John Alshefski (pictured), Senior Vice President and Managing Director of SEI's Investment Manager Services division. "We are excited to partner with a global company that is committed to delivering innovative and effective strategies to meet the objectives of their clients."
This is part of a broader trend highlighted in SEI's white paper, Evolving in the New Operational Frontier, which notes that investment organisations need to consider packaging up their investment expertise in multiple vehicles to meet the demands of their investors and advisors.
"The Fund represents a fusion of our expertise and experience into a single investment product," says Chris Satterfield, President, Ramsey Quantitative Systems, Inc. "By providing a strong economic intuition with proven quantitative methods, the Fund is able to leverage various sources of data to harvest alpha, with the ultimate goal of providing our clients with positive return on investment."