WEST PALM BEACH, FL (HEDGECO.NET) – ABN AMRO Asset Management firm is launching a new hedge fund vehicle, according to a news release. The new hedge fund is targeting affluent investors,institutional clients, and private banks. According to Rob Andrew, a senior portfolio manager at the firm, the first in the series of new funds would be a currency fund. An emerging market vehicle,concentrating on long/short investment strategy, will follow it later. Fund manager Rafael Kassim would manage the emerging market strategy.
Most of current ABN AMRO hedge fund portfolios have been concentrated on benchmarks, and the company now wants to introduce other hedge fund investments to compliment the existing portfolios. Mr. Andrew commented, “Until now all of our products have been benchmark-orientated.� He added, “Our product range isn’t complete and we wanted to introduce absolute-return types of products.”
The new currency strategy aims at 12-15% annual return range to investors in the fund, volatility is expected in the range of 15%, according to Andrew. The currency fund is denominated in euro as well as the dollar; the new portfolio would be leveraged up to five times, he added.
Andrew also explained that the currency strategy would utilize a trend analytical model, relying on, and �analyzing yield curve slopes, interest rate differentials adjusted for volatility and spot price trends.� Managers analyzing such models would watch for buy and sell signals, prompting an entry into the market or an exit from it.
Fee structure and minimum investment requirements for the new currency fund were not immediately provided.
Paul Oranika
Editor-in-Chief
HedgeCo.Net
Email: Editor@hedgeco.net
HedgeCo.Net is a premier hedge fund database and community for qualified and accredited investors only. Membership on www.hedgeco.net is FREE and EASY. We also offer FREE LISTINGS for Hedge Funds!
Be sure to check out our sister sites. www.hedgefundlounge.com, www.hedgefundtools.com, and coming soon www.hedgefundemployment.com.
