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Man Group's fund of fund division FRM to seed CommEq Asset Management

Tuesday, June 25, 2013
Opalesque Industry Update - FRM, Man Group plc‘s (“Man”) fund of hedge fund division, has formed a strategic relationship with CommEq Asset Management (“CommEq”) which involves FRM making a seed allocation to CommEq and helping CommEq launch an institutional asset management business.

CommEq seeks out previously under-explored, unstructured data sources and data streams that it believes have the potential to significantly influence the perception of corporations and hence the pricing of their securities. CommEq has developed a mature, artificial intelligence based prediction engine which aims to generate alpha from these sources through a systematic, scalable investment process.

CommEq was founded by Norwegian technology entrepreneur, Christofer Solheim. Together with Götz von Groll and Chris Shaw, Christofer has demonstrated experience in analytics and software start-ups. As part of the relationship FRM will provide infrastructure and operational support to Commeq, as well as risk management via its Managed Accounts platform.

Patric de Gentile Williams, Head of Seeding at FRM, said: “Following an investment of more than 150 man years in natural language processing technology and predictive systems, CommEq has developed what we view as an innovative systematic platform which we believe goes well beyond known approaches in the field. We feel this strategy may be attractive for investors looking for highly liquid, systematic, relative value investment strategies.”

CommEq Founder & CEO Christofer Solheim, said: “Our alpha innovation and extensive research and development have enabled us to generate alpha throughout a wide range of market conditions for over five years. The strategic relationship with FRM will help us both scale our business and accelerate our investment products.”

Press release

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