11 Oct 2010
GLG Partners is launching the GLG Atlas Macro Alternative Fund, a UCITS III absolute return version of GLG’s multi-asset, global macro fund strategy. It is the eighth absolute return UCITS III fund launched by GLG since July 2009.
Portfolio manager Driss Ben-Brahim and GLG’s chief investment strategist Jamil Baz will employ a similar strategy to the Cayman-based GLG Atlas Macro Fund, which is manages about $250 million and is understood to have returned 35% since launch in early 2009. The fund targets an average annual net return of 10-15% with annualised volatility of 10-15% over time.
In common with the existing fund, the GLG Atlas Macro Alternative Fund will make investments on a global basis across all classes of financial instruments including equities, indices, currencies, and fixed income. While supported by extensive qualitative analysis and quantitative models, the strategy's thematic trade expressions will be mainly liquid and limited in number to avoid excessive portfolio complexity. Portfolio construction will follow an objectively defined risk allocation methodology.
The institutional management fee of the Ireland-domiciled UCITS Fund will be 2% of its net asset value, with a performance fee of 20%. The threshold for institutional investors will be a minimum of $1,000,000, while retail investors will be able to invest a minimum of $1,000.
The GLG Atlas Macro Alternative Fund will be incorporated in Ireland and listed on the Irish Stock Exchange. It will complement existing strategies that offer exposure to the UK, Europe and emerging markets.
Portfolio manager Driss Ben-Brahim and GLG’s chief investment strategist Jamil Baz will employ a similar strategy to the Cayman-based GLG Atlas Macro Fund, which is manages about $250 million and is understood to have returned 35% since launch in early 2009. The fund targets an average annual net return of 10-15% with annualised volatility of 10-15% over time.
“UCITS has been an area of great success for the firm and continues to be an area of focus," said Raffaele Costa, GLG Co-Head of Marketing, noting that GLG has raised about $1.5 billion in UCITS funds. "We are committed to delivering our best strategies in the format our investors are asking for and pleased that all the absolute return UCITS funds we have launched so far have produced positive returns."
In common with the existing fund, the GLG Atlas Macro Alternative Fund will make investments on a global basis across all classes of financial instruments including equities, indices, currencies, and fixed income. While supported by extensive qualitative analysis and quantitative models, the strategy's thematic trade expressions will be mainly liquid and limited in number to avoid excessive portfolio complexity. Portfolio construction will follow an objectively defined risk allocation methodology.
"The GLG Atlas Macro fund has performed well since launch in early 2009 and demand has been strong for a UCITS version that employs the same investment process under the same leadership," Costa said. “UCITS restrictions on certain asset classes mean the new fund will not exactly mirror the existing macro fund. We expect however this UCITS fund to be a good proxy for this strategy - with the same objective of delivering high absolute annual returns within an attractive volatility range.”
The institutional management fee of the Ireland-domiciled UCITS Fund will be 2% of its net asset value, with a performance fee of 20%. The threshold for institutional investors will be a minimum of $1,000,000, while retail investors will be able to invest a minimum of $1,000.
The GLG Atlas Macro Alternative Fund will be incorporated in Ireland and listed on the Irish Stock Exchange. It will complement existing strategies that offer exposure to the UK, Europe and emerging markets.
