Opalesque Industry Update - ML Capital Asset Management (ML Capital) announced today that the first manager to launch on the Montlake UCTIS platform will be Clareville Capital Partners LLP, the firm founded by David Yarrow. The fund will commence trading on October 1, 2010.|
David Yarrow and Angus Donaldson will co-manage a UCITS compliant derivative of the 13-yea- old Pegasus Fund, which employs a UK Long/Short equity strategy. Since its inception in 1997, the Pegasus Fund has built up a strong investment track record.
Commenting on the launch, John Lowry, Chairman of ML Capital said: "The UCITS revolution allows investors to access managers who can actively short stocks and hedge a portfolio, however managers with long and successful experience of running equity hedge funds are in short supply. The Pegasus fund has been running for over a decade and has always been run in line with the UCITS principles, which is very comforting to our investors.
"Yarrow and Donaldson's investment style will appeal to a lot of our investors. Their strong performance in upwardly trending markets and excellent downside protection in perilous markets is demonstrated by their track record. This is exactly what the alternative UCITS solution is looking to provide to investors and is why we believe that Clareville Capital is the ideal launch manager for the Montlake UCITS platform."
Angus Donaldson added that: "A UCITS compliant version of the Pegasus fund is a natural next step for us. Pegasus has always offered investors a high level of liquidity, transparency and stable returns over a variety of market conditions. We are delighted that ML Capital have appointed Clareville Capital to be the launch manager of their new UCITS platform. This is a key launch for our business.
"The past 10 years have illustrated the limitations of traditional "long only" equity investing. All investors should have the opportunity to protect themselves from market volatility by investing in regulated hedge funds. However, many of the managers who have launched alternative UCITS products have found that they have weak brand awareness outside of the hedge fund world. This applies not just to smaller boutiques but also some of the very largest hedge fund houses.
"While there are today a plethora of bank controlled platforms available, we were looking for a different solution, one with all the clear benefits of a strong platform with the added key factor of a real and widespread distribution capability. A link-up with a powerful distributor like ML Capital was an easy decision for Clareville which is and is likely to remain a focused boutique sized investment management business."