Opalesque Industry Update - GLG Partners LP ("GLG"), the Financial Services Authority ("FSA") authorised and regulated investment manager, is launching the GLG Atlas Macro Alternative Fund (the “UCITS Fund”), a UCITS III absolute return version of GLG’s multi-asset, global macro fund strategy. |
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, and target an average annual net return of 10-15% p.a with annualised volatility of 10-15% over time.
In common with the existing fund, the GLG Atlas Macro Alternative Fund will seek to 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 per cent of its net asset value, with a performance fee of 20 per cent of profits. Institutional investors will be required to invest 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 the eighth absolute return UCITS III fund launched by GLG since July 2009 and will complement the existing strategies that offer exposure to the UK, Europe and Emerging Markets. GLG has raised about $1.5 billion in this form.
The UCITS Fund will be a sub-fund of GLG Investments VI plc, incorporated in Ireland and has been authorised by the Irish Financial Services Regulatory Authority (the “Financial Regulator”) for listing on the Irish Stock Exchange.
“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. "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."
"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.”
On May 17 2010, GLG Partners, Inc. announced that it has agreed to be acquired by Man Group plc. The transaction is expected to be completed later this week, subject to approval from GLG shareholders at a meeting convened for tomorrow, October 12 2010. www.glgpartners.com