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

Man's FRM Capital Advisors launches strategic relationship with Japan focused hedge fund

Wednesday, January 30, 2013
Opalesque Industry Update - FRM Capital Advisors (FCA), the seeding division of FRM, Man Group plc‘s (Man) fund of hedge fund division, has entered into a strategic relationship with a Japan focused hedge fund.

FCA will make a significant investment in a fund launched by Arena Capital Management Limited (“Arena”), a Hong Kong based investment advisor. Arena, established in May 2012 by Toby Bartlett (CIO), manages a Japanese Long-Short Equity strategy focusing on domestic demand sectors, constructed with a factor neutral pair trading book.

Joining Mr Bartlett at Arena are Greg McLaughlin (COO), Ayumu Kuroda (Head of Trading and Risk Systems) and Yukimi Oda (Research Analyst).

Patric de Gentile Williams, Head of Seeding at FRM said: “This deal reinforces the global nature of FCA as a seeding business and is the first investment we have made since FRM was acquired by Man last year. Asia, and specifically Japan, is an important focus in our manager research, where we have a local office and a significant investor base.

“Arena’s focus on Japanese domestic demand sector is unique and Toby has extensive experience in researching and investing in this space from his time at Highbridge, Citadel and Fidelity Investments Japan. We see this both as an opportunity to be able to generate alpha in what is traditionally a less researched market by hedge funds where greater inefficiencies will allow managers that do in depth analysis to create an edge, and as an opportunity to attract assets from investors looking to allocate to pure Japanese Long-Short Equity funds.

“In addition, the recent drop in the Yen and newly elected Prime Minister Abe’s growth-focused economic strategy has caused a substantial rally in the domestic market that may spur meaningful investor interest.”

“Toby has consistently demonstrated his ability to run a successful portfolio within a robust risk management framework and with FCA’s support he will be able to build a successful alternative investment management business to the benefit of his investors, his team and FCA’s investors.”

Toby Bartlett, CIO of Arena, said: “As a new hedge fund, this major investment by FCA allows us to focus all our energies on operational excellence and generating high quality returns for our investors.

“Our focused approach to fundamental research in Japanese equities, combined with disciplined portfolio construction and risk management, allows us to have low correlation to markets and protect against downside volatility whilst capitalizing on market opportunities for our investors.

“This strategic relationship with FCA is a major endorsement of the investment process and business principles of Arena.”

Arena is the first seeding deal announced by FCA since FRM was acquired by Man in May 2012 and combined with its multi-manager business to create the largest independent European based fund of hedge funds group.

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. Investing - Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched, Myriad hedge fund sold bulk of its Alibaba stake last year[more]

    Seth Klarman of Baupost outlines his investment process as major stock market indices are stretched From Valuewalk.com: As hedge fund manager Seth Klarman, leader of the $28 billion Baupost Group, reviews 2014 performance and considers investors gained near 7 percent on the year, he cons

  2. Adamas Asset Management and Ping An Insurance to co-manage $500m debt fund[more]

    Komfie Manalo, Opalesque Asia: Hong Kong-based Adamas Asset Management and Ping An Insurance Group, one of China’s largest financial institutions, have finalized a memorandum of und

  3. Opalesque Exclusive: dbSelect’s top ten FX strategies average almost 10% in January[more]

    Benedicte Gravrand, Opalesque Geneva: In one of Deutsche Asset & Wealth Management (AWM)’s hedge fund platforms, called dbSelect, a number of FX Strategies did very well in January. dbSelect is a managed investment platform for unf

  4. Opalesque Exclusive: SEC’s Mark J. Flannery warns hedge funds against valuation misconduct[more]

    Komfie Manalo, Opalesque Asia: Securities and Exchange Commission chief economist and director of Division of Economic and Risk Analysis (DERA) Mark J. Flannery has warned of the risks posed by market misconduct, particularly in the true valuation of assets by hedge fund managers. In his

  5. Dymon Asia's $3bn macro hedge fund lost 10.45% in January[more]

    From Reuters.com: Dymon Asia's $3.1 billion macro hedge fund lost 10.45 percent in January, performance data seen by Reuters showed, a month where many peers lost heavily after a surprise rise in the Swiss franc. Singapore-based Dymon, set up by Danny Yong, a former founding partner and chie