Sun, Apr 26, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Swiss Investment Managers debuts Europe's first director's dealings fund

Monday, September 05, 2011

Athanasios T. Ladopoulos
Opalesque Industry Update - 'Swiss Investment Managers' (SIM) will launch the "Directors Dealings Fund" (DDF) in September, the first hedge fund in Europe and US investing solely in the reported share dealings of company directors and senior corporate executives in their own firms.

Investing in listed companies, DDF will base its long or short investment decisions on publicly announced reports of transactions by company directors and senior management who are using their own money to buy or sell equity in their own firms.

SIM's fund managers will employ a counterintuitive approach, using a contrarian interpretation of directors' and managers' share dealings. The strategy has a low 0.2% to 0.4% correlation to equity capital markets and targets low volatility with strong risk-adjusted returns, generating real alpha. The fund is aiming for a risk-adjusted return of around 15%.

DDF is managed by Athanasios T. Ladopoulos, a partner in Swiss Investment Managers, supported by George Muzea, who is considered the "father" of the so-called Director Dealing and Corporate Insiders Transactions strategy, acting as senior advisor. It is a "specialised investment fund" (SIF / FIS), registered in Luxembourg with the CSSF.

The fund will not use leverage or derivatives and thus will have no associated collateral risk. It will invest in large- and mid-cap European and US companies enabling liquidity terms which are expected to make it highly appealing to a broad range of eligible high net worth individuals (HNWI's), family office and institutional investors.

"Directors and executive management team members generally know more about the companies they manage than outsiders, such as broker analysts or fund managers," points out Ladopoulos. "When directors and executives buy significant amounts of shares, that's a strong signal something good will happen. Conversely, when they sell significant amounts of shares, it's a signal of tough times ahead. DDF combines intellectual capital with proprietary investment management mechanisms to analyse such activities and thus is well placed to take advantage of these dealings."

(press release

km

What do you think?

   Use "anonymous" as my name    |   Alert me via email on new comments   |   
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. U.S. does not want hedge funds to invest in offshore re-insurers for tax purposes[more]

    Komfie Manalo, Opalesque Asia: The U.S. Treasury Department on Thursday introduced a new rule aimed at limiting hedge funds’ ability to reduce their tax bills by investing in insurance companies in offshore tax havens. As a general rule, the U.S. tax laws does not allow hedge funds to use off

  2. Ruling: Hedge funds suing Argentina can have access to bond offering details[more]

    Komfie Manalo, Opalesque Asia: U.S. District Judge Thomas Griesa in Manhattan ruled yesterday that hedge funds are entitled to details of a recent bond offering by Buenos Aires, reports

  3. Fund managers express concern of overvaluation in both equity and bond markets[more]

    Komfie Manalo, Opalesque Asia: According to the BofA Merrill Lynch Fund Manager Survey, investors see growing overvaluations in both

  4. Update: Wall Street has strong feelings about Jon Corzine trying to make a comeback[more]

    From Businessinsider.com.au: Former New Jersey Governor Jon Corzine is thinking about starting his own hedge fund, according to the Wall Street Journal, and because of the way his last firm imploded, Wall Street has strong feelings about that. “Truth is the larger seeders would never give him money

  5. Opalesque Exclusive: Cybersecurity and hedge funds - A manager’s experience, Part Four[more]

    Benedicte Gravrand, Opalesque Geneva: Ruane, Cunniff and Goldfarb, Inc. used to have their own IT infrastructure. Todd Ruoff, Executive Vice President in charge of trading, operations and technology, was responsible for its maintenance. Then he started looking at outsourced providers a couple of

 

banner