Sun, Feb 1, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Industry Updates

Axiom Fund waives management fees - a first for the alternative UCITS sector

Tuesday, April 24, 2012
Opalesque Industry Update - Axiom Fund announced a major change in the fee structure of the Axiom UCITS Alternative Investable Index Fund (“the Axiom Fund”). The Axiom Fund has waived its management fees, becoming the first fund of funds in the alternative UCITS space to charge performance fees only.

Axiom Fundis taking this groundbreaking step to better align the interests of investors in the fund and lead the way in developing a new approach to fees for the UCITS industry. The 1% management fee will be replaced with a 10% performance fee, meaning that investors will now only pay fees when the fund delivers positive performance. The performance fee is subject to a high water mark.

Launched in December 2010, the Axiom Fund is the first investable index of UCITS hedge funds. It offers weekly liquidity and aims to replicate the performance of the UCITS Alternative Blue Chip Index (“the UAI Blue Chip Index”) provided by Alix Capital. The UAI Blue Chip Index is a rule based benchmark comprising the 50 largest UCITS hedge funds and is rebalanced quarterly.

Alessandro Mauceri, Chairman of the Board of the Axiom Fund, says: “The Axiom Fund addresses clients’ ongoing concerns regarding traditional funds of hedge funds, notably their opacity, lack of liquidity, the operational risk linked to such structures and the multiple layers of fees.

“In 2009, we were among the pioneers in entering the UCITS onshore hedge funds universe, enabling us to respond to the main concerns of investors. Today we are solving the last issue by waiving our management commission and charging only incentive fees. This ensures that our interests are truly aligned with those of our clients.

“Investors remain keen to allocate to alternatives in the search of alpha, but are challenging the approach of traditional investment vehicles. As the UCITS sector continues to grow we believe that inflows will follow the best UCITs products available. The Axiom fund gives investors easy access to these top tier funds in a highly transparent, cost efficient way.”

Louis Zanolin, CEO of Alix Capital, says: “Given their high liquidity and strong regulatory oversight, UCITS hedge funds are particularly well suited for index based products. The added benefit of real alignment of interests between investors and managers on this fund creates a compelling investment proposition for investors.”

Press release

bc

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. Opalesque Exclusive: Ex-Citi trader launches 'sleep-at-night’ long/short equity fund[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: After working at Citi's proprietary trading desk, managing a large portfolio between 2008 and 2011, Joel S. Salomon founded SalaurMor Management in New Yor

  2. Investing - U.S. investors favor currency hedged Europe ETFs as euro tumbles, Quants win back investors as Swiss franc fuels volatility gains, David Einhorn's $7bn hedge fund is loading up on this stock, Hedge fund BlueMountain Capital unveils Ocwen Financial short, claims default on notes[more]

    U.S. investors favor currency hedged Europe ETFs as euro tumbles From Reuters.com: U.S. investors stung by the falling euro who want to stay invested in Europe are turning to exchange-traded funds designed to strip out the impact of the region's currency. The biggest among so-called "cur

  3. News Briefs - Millennials use tech tools to jump into investing, Winklevoss twins to launch bitcoin exchange with FDIC insured deposits, Robertson’s legacy from hedge funds to New Zealand, Real estate managers exploring smaller open-end funds[more]

    Millennials use tech tools to jump into investing It is the Facebookification of monetary investing. From social networking platforms that enable young investors to stick to every other's stock-picking mojo, to internet sites for initially-timers hungry for a piece of the Silicon Valley

  4. Update: Prosecutors seek 12 years for hedge fund manager Francisco Illarramendi[more]

    Komfie Manalo, Opalesque Asia: Federal prosecutors have asked the court to sentence convicted hedge fund manager Francisco Illarramendi to 12 years imprisonment for running an elaborate Ponzi scheme that bilked investors hundreds of millions in dollars, including a Venezuelan pension fund, report

  5. Institutions - Ontario pension fund leader calls all asset classes ‘expensive’, Taiwan's BLF plans $2bn in alternative mandates[more]

    Ontario pension fund leader calls all asset classes ‘expensive’ From WSJ.com: The head of one of the world’s largest pension funds said that across asset classes, “everything is expensive.” Ron Mock, who leads Canada’s $141 billion Ontario Teachers’ Pension Plan, said that the plan would