Cayman Island-domiciled fund will employ bottom-up equity strategy
Global Value, a Singapore-based fund management business, has launched its Global Alpha Long Short fund.
The new fund, domiciled in the Cayman Islands and listed on the Dublin Stock Exchange, will utilise the highly successful Global Value Plus strategy, while adding a short overlay portfolio.
The manager will employ a global opportunistic bottom-up equity strategy. Target long investments will display the characteristics of strong growth at a deep discount, or attractive assets-to-cashflow characteristics.
Target short investments will include companies with the inverse characteristics, in addition to exchange traded funds (ETFs) and index futures.
The long and short strategies will be managed as two separate, cross-collateralised pools.
Both the long and short portfolios will be similarly managed in respect of the number of the equity holdings (20-25) and exposure limits by country (50%), sector (35%) and specific company (7.5%).
Anthony Rawlinson, who heads up Global Value, said: "The company has been successful at seeking out high growth, quoted equity anomalies across the spectrum of market capitalisation globally.
"The same bottom-up research process can equally be applied to overlay this with a short strategy to capture additional returns and to help mitigate volatility and systematic risk."
The fund, which launched on 1 October, initially aims to raise up to £100m.
Minimum investment is $250,000 and there is an annual management fee of 1.5% and performance fee of 20%, subject to a high water mark. The fund will have dollar and euro share classes.
Global Value was formed in 1996 and operates from Singapore with £1.5bn assets under management.
In managing Global Value, Rawlinson, who has 25 years' experience in investment management and previously managed the Citibank Value Investment Portfolio, will be assisted by Koh Kok Aun.
The managers hope the fund will raise £1bn within five years.key points
Global Value launches long-short hedge fund
Anthony Rawlinson, previously of Citibank, will manage the fund
Rawlinson will employ a global opportunistic bottom-up strategy
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