ASIA/UK - City Financial has launched an Asia fund of hedge funds aimed at pension funds and other institutional investors.
The City Financial Asian Absolute Growth fund is the UK asset manager's first foray into the Asian fund of funds market and seeks to capitalise on the strong maturation of the region's hedge fund market over recent years.
The fund offers a concentrated portfolio of 10 high-conviction funds with exposure to growth in China, India and other Asian markets. These funds are selected by Clontarf Capital principal and portfolio manager Aoifinn Devitt and his team from a field of over 1000 and evaluated for transparency, track record and returns.
The fund is designed for investors seeking hedged exposure to Asia, with low fees and a high degree of transparency. The performance fee only applies once 10% performance has been delivered, with no catch up. City Financial said this, coupled with a management fee of 80 basis points, puts the fund in an exclusive group aimed at offering high returns without the characteristic high costs.
"Not long ago, the Asian hedge fund market was considered ‘the wild east,' but this is simply no longer the case," said City Financial chief executive Andrew Williams.
"We are delighted to be launching the City Financial Asian Absolute Growth fund to offer select exposure to the considerable on-the-ground fund management talent that the region is beginning to boast. We're also delighted to have Aoifinn Devitt and Clontarf join our roster of exceptional portfolio managers."
Aoifinn Devitt, portfolio manager of the fund, said: "Institutions have for years been investing in the Asian region but most still limit their exposure to long-only holdings.
"We are extremely proud to be able to offer a product that has evolved to meet their demands, not only featuring meticulous selection standards and complete transparency, but also an ‘evolved' fee structure that puts us head and shoulders above our peers."
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