Barclays' fund management arm, Barclays Global Investors, and its investment banking division, Barclays Capital, have launched a new fund of hedge funds for European institutional investors. Dublin-domiciled BGI Diversified Alpha Funds (DAF) uses a range of strategies including relative value, event driven and long-short equity.
DAF will invest in Dublin-regulated unit trusts for which 10 undisclosed hedge fund managers have been appointed. Managers are expected to be added over time, with the figure potentially reaching 25 in coming years, a spokesman added.
BGI will manage the fund - which will be hedged into a choice of currencies - and be responsible for its asset allocation. Barclays Capital will monitor individual portfolio risk exposures.
Commenting on the launch, Kevin Coldiron, head of alternative investments, BGI Europe said:
“[DAF] represents a step change for institutions allowing them to use hedge funds to improve the risk-return profile of their portfolios while maintaining the highest level of operational risk control.”
The fund aims to hit annual returns of between 4-6%.
US investment advisory firm Evaluation Associates Capital Markets (EACM) aided manager research.
By Madhu Kalia
The secretary of state for work and pensions has told MPs clawback and avoidance measures could be imposed for the people responsible for driving Carillion over the cliff.
Occupational pension provision has continued to grow in value, but there remains large variance in incomes across the pensioner age group, according to latest government data.
Defined benefit (DB) schemes could have an aggregate surplus by 2021 under Pension Protection Fund (PPF) projections, its strategic plan for 2018 to 2021 reveals.
Investment consultants are failing to recommend products that outperform net of fees, the Competition and Markets Authority (CMA) has said as its investigation into the market continues.