Fri, May 27, 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. Paul Tudor’s hedge fund trims fee amidst poor performance, keep investors[more]

    Komfie Manalo, Opalesque Asia: Paul Tudor’s $11.6bn hedge fund firm Tudor Investment Corp. announced on Monday it would slash down fees of one of its biggest fund to 2.25% of assets and 25% of profits amidst backlash arising from poor performa

  2. Ares Capital to buy American Capital in $3.4 billion deal[more]

    From PIOnline.com: Ares Management's business development company Ares Capital Corp. is buying troubled BDC American Capital for $3.43 billion, said a joint news release by the BDCs and another release by Ares Management. Ares Capital Corp.'s assets are expected to grow to about $13.2 billion when t

  3. Performance - Hedge fund ETFs take a battering, Have long-short credit funds delivered?[more]

    Hedge fund ETFs take a battering From ETFStrategy.co.uk: It was a blow for the hedge fund world when Hillary Clinton’s son-in-law Marc Mezvinsky announced he would be closing his Greek-focused fund after it plummeted in value by 90%, just two years after it launched. For passive investor

  4. Launches - Man Group and American Beacon launch new emerging debt fund, Nikko AM launches new Japan equity UCITS fund[more]

    Man Group and American Beacon launch new emerging debt fund American Beacon Advisors, an experienced provider of investment advisory services to institutional and retail markets, launched the American Beacon GLG Total Return Fund today. The Fund became effective May 20. The America

  5. Emerging markets hedge funds perform strongly, but capital base erodes[more]

    Komfie Manalo, Opalesque Asia: Latin American Emerging Markets and Russian hedge funds lead industry gains in the first months of 2016, posting strong performances through April as global and EM equity, commodity and currency markets surged in recent weeks following steep losses to begin the year