Absolute strategy takes advantage of bond market mis-pricings for returns

The Absolute fund is a fund of hedge funds that invests in portfolios with long/short strategies. The portfolio is market neutral and its main source of return comes from mis-pricings and other anomalies that exist within the bond and stock markets, rather than from trying to predict market trends. Managed by Charles Hovenden, chief investment officer, and Christopher Aldous, chief executive, the fund launched in October 2001. The strategy used for the fund was developed following the Long Term Capital Management (LTCM) disaster in 1998. Hovenden and Aldous wanted a investme...