Institutional investor demand has prompted UK-based Abbey National Asset Managers to offer a range of alternative investment funds for the first time.
The three new funds are being offered through Abbey National’s subsidiary fund management company, Talorcan.
Talorcan director Adrian Cunningham explained: “Institutional investor demand for alternative investments has grown quite sharply, largely due to the fact they are better understood now.”
He said further: “Hedge funds are not correlated to other asset classes – i.e. bonds and stocks so the additional diversification is obviously an additional benefit to institutional investors.”
Talorcan - which is based in Glasgow - is being run by ex-Abbey National Asset Managers team members, Scott Jamieson, Adrian Cunningham and Clare Bowman.
The fund manager's first fund to go live – the Talorcan Equity Pairs Plus – is market neutral and at the low end of the risk scale for hedge funds.
Two other funds – the Talorcan Forex Fund and Talorcan Global Fund – are described as having higher risks, but with potentially higher yields.
The Forex fund will trade in currency in both developed and emerging markets, while the Global Fund will invest across the range of the world's major capital and derivative markets.
By David Rowley
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