Hedge fund group Tiberius is to launch a Multi-Strategy Commodity fund. The vehicle, which will be ...
Hedge fund group Tiberius is to launch a Multi-Strategy Commodity fund.
The vehicle, which will be available in September, will invest in nine multi-managed accounts covering commodities such as energy, metal, livestock and grains.
Strategies include relative, trend following and short-term trading. It aims to target a return of 12% to 15% annually with a volatility objective of 8% to 10%.
Nicolas Maduz, Matthieu Bosser, Markus Mezger and Christoph Eibl will co-manage the fund.
Maduz, chief executive at Tiberius, said: "We decided to launch the fund as demand for raw materials increases in developing economies such as China, India, Brazil and Russia.
"Lack of investment in production capacity during the 1980s and 1990s has also caused an imbalance between supply and demand, which has forced the price of commodities up. Furthermore, the tense geopolitical situation in the Middle East is also likely to add to this imbalance and disrupt an already tight market supply."
He also believed commodities were the best hedge against any unexpected inflation risk.
The fund has a minimum investment of $500 (£270) with an annual management charge of 1.5%. A performance fee of 15% for absolute returns over a high-water mark, will also be charged.
The Tiberius group specialises in active commodity fund management and this is the third fund to be launched.
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