Fri, Aug 26, 2016
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

FRM partners with Brazilian alternatives firm Itajubá, launches only Brazilian mutual fund that invests in offshore hedge funds

Thursday, December 15, 2011
Opalesque Industry Update - Financial Risk Management (FRM), a global hedge fund investment specialist, has established a strategic partnership with Itajubá International, a Brazilian alternatives specialist, to provide institutional investors in Brazil with access to global best of breed hedge funds.

As part of this relationship, FRM and Itajubá Investimentos, a Brazilian distributor owned by partners of Itajubá International, have recently launched the only Brazilian mutual fund which invests the majority of its assets in a global portfolio of offshore hedge funds.

FRM Global Hedge Fund FIM, when registered with the CVM (Brazilian Securities and Exchange Commission), will be available to super qualified Brazilian investors. It will invest the majority of its assets in an offshore fund managed by FRM which contains over 30 international CTAs and hedge funds.

The Fund’s objective is to produce positive return streams which are uncorrelated to Brazilian and international markets, providing institutional investors with a new option for diversifying their portfolios and increasing risk adjusted returns. In addition, the Fund will be fully hedged in Reais, allowing investors to benefit from the interest rate differential between Reais and US Dollars.

Marco Zanuso, Director at FRM responsible for Latin America stated: “Itajubá and FRM share the same philosophy, that alternative investments can bring significant value to institutional portfolios because of their diversification benefits.

“FRM has a long history of working with institutional investors around the world, particularly when they are in the early stages of exploring alternatives and need to build their knowledge on the sector prior to making allocations. We have a long term commitment to Brazil and look forward to working with our local partner Itajubá to serve this important and growing market.”

Leonardo Camozzato, Partner at Itajubá Investimentos, stated: “Although Brazil is among the 10 largest pension fund markets in the world, Brazilian pension funds are the only ones in this target group who overall have not diversified their portfolios through international and alternative investments.

“Up to this point, high local interest rates have enabled pension funds to meet their return targets. However, as these rates fall, pension funds will need to re-shape their portfolios and look for more profitable alternatives to successfully fulfill their obligations. Recent changes in Brazilian regulations now allow for up to 10% of pension assets to be invested overseas, and this new fund is designed to provide access to global hedge fund return streams which are independent of local markets.”

When registered with the CVM, FRM Global Hedge FIM will be managed by BNY Mellon Asset Management, administered by BNY Mellon Financial Services and distributed by Itajubá Investimentos. The fund will be available to Brazilian super qualified investors, including family offices, private banks, local fund of fund managers and pension funds.

(press release)

www.frmhedge.com

www.itajubainvestimentos.com.br

BG

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. Institutional investors - Investors set to increase allocation to private debt, With investment income key, Richmond retirement system faces funding challenges[more]

    Investors set to increase allocation to private debt Investors are set to increase their allocation to private debt, with 60% revealing they believe the private debt market will grow over the next 12 months, according to a new study by Elian, a leading funds services provider. 41%

  2. Investing - Hedge funds snap up banks, unload Apple, Some of hedge funds' favorite stocks are finally starting to beat the market, Einhorn's Greenlight shifts positions, Treasury yield climbs to two-month high as Fischer joins hawks, 9 stocks smart investors put their money in last quarter[more]

    Hedge funds snap up banks, unload Apple From Barrons.com: Prominent hedge funds have a newfound love of big banks, and some have a distaste for shares of Apple, regulatory filings released last week show. The filings suggest that the funds have been pivoting their portfolios in recent mon

  3. Chesapeake energy seeks $1 billion loan to refinance debt[more]

    From Bloomberg.com: Chesapeake Energy Corp. is seeking a $1 billion loan as the company battered by cratering fuel prices and credit downgrades takes a step to address its $9 billion debt load. The natural gas producer hired Goldman Sachs Group Inc., Citigroup Inc. and Mitsubishi UFJ Financial Group

  4. Institutions - Nordic pension funds magnify focus on unlisted and direct investing, building up teams[more]

    From IPE.com: As bond yields remain at low or negative levels, pension funds and other institutional investors in the Nordic region are stepping up efforts to find higher returns by adding more unlisted investments to portfolios and are expanding in-house teams in order to do this, according to new

  5. Strategies - The 'Holy Grail' hedge fund strategy to handle a black swan the size of World War I, Hedge funds get more pushback on terms as enthusiasm for strategy wanes[more]

    The 'Holy Grail' hedge fund strategy to handle a black swan the size of World War I From IBTImes.co.uk: To illustrate a strategic gap common to today's portfolio managers, George Sokoloff, PhD, founder and CIO at Carmot Capital, proposes an interesting thought experiment – a breakdown of