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Alternative Market Briefing

Opalesque Exclusive: Harcourt launches Belmont (Lux) Recovery FoHFs today

Wednesday, July 01, 2009

Harcourt Investment Consulting AG (Harcourt), a FoHFs house headquartered in Zurich, has just announced the launch of Belmont (Lux) Recovery, a diversified fund of hedge funds dedicated to credit and distressed assets.

The fund is comprised of leading hedge funds engaging in the debt of companies which are stressed, in financial distress, undergoing bankruptcy or major restructurings. The fund’s managers are diversified by geography, style and industry sectors.

The opportunities in the credit and distressed space today are sizeable and abundant. In combination with the fund’s diversification, Belmont (Lux) Recovery aims to offer a stable return profile while keeping correlation to equity and fixed income markets low. The target of Belmont (Lux) Recovery is to achieve consistent annualized returns of Libor+800 bps net of fees, with a Sharpe ratio close to 1.4. Risks are further minimized through careful bottom-up manager selection. The fund will invest in 15-20 managers.

Harcourt Investment Consulting AG has been an active investor in the distressed space for a number of years. Starting with the last distressed cycle, in 2002, Harcourt actively, significantly and successfully invested in distressed managers. In the past 7 years, Harcourt has built deep understanding of the distressed space as a whole and developed a broad network as well as access to the leading proponents of the strategy.

Harcourt’s experience in the distressed space, combined with the most compelling market opportunity for the upco......................

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