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Alternative Market Briefing

Global Investment Management's currency hedge fund up 14.5% in first seven weeks

Wednesday, May 25, 2011

Benedicte Gravrand, Opalesque Geneva:

Global Investment Management (GIM)'s flagship fund, the GIM High Opportunity Forex Fund (USD share class) is up 14.449 % YTD after only 7 weeks in operations.

Astron Susilovic, Managing Director, Portfolio Manager and Head of Principle Strategies at GIM's Swiss offices told Opalesque that 50% of profits derived from trend-following and 50% from high frequency trading. "The fund is comparatively high leveraged (1:10) in majors and (1:15) in crosses," he added.

The fund is a currency fund executing a trend following, chart pattern recognition high frequency trading strategy. It aims to return an above average risk adjusted return compared to traditional asset classes. Rabobank is the prime broker, HSBC (Malta) the custodian and Apex Fund Services (Malta) is the fund´s administrator.

By its very nature, the fund does not have a view on the Forex market, but Susilovic's personal view is that the US dollar will become weaker against all major currencies and emerging markets currencies again, "as the Fed has not solved the structural problems which are unemployment and a restructuring of its industrial home base. You cannot fight Asian low labour costs with quantitative easing!" he explained.

According to Dow Jones Credit Suisse’s hedge fund index, currency trades positively contributed to many hedge fund portfolios in April 2011, as managers held short US dollar positions against a variety of emerging marke......................

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