CrossBorder Capital is launching an ETF-based UCITS III version of its Pulsar Alpha fund.
The Pulsar Global Alpha UCITS fund, which will be domiciled in Dublin, is expected to launch at the beginning of March.
It will be one of the first market-neutral ETF-based UCITS funds. The long/short vehicle will hold no individual stock positions - thereby improving liquidity and enabling the fund to offer weekly dealing, says CrossBorder.
The company says it has developed a model that predicts market turning points with "remarkable accuracy" and thus identify risk and investment opportunities early. The model uses data from sources including central banks, stock exchanges, banks and the IMF.
CEO Michael Howell says: "We have demonstrated over the past two decades that our liquidity research model works. We have a huge amount of data that enables us to link liquidity and the future performance of various asset classes.
"The robust performance of our Pulsar funds in very difficult market conditions has attracted a lot of attention from pension fund managers and investment advisers, many of whom have been asking us for a UCITS version of the fund. We think it will prove very popular."
The Pulsar Global Alpha UCITS fund - like its sister, the Pulsar Alpha fund - will permanently short the MSCI World Index. It will take long positions in the regions and industry sectors highlighted by CrossBorder's asset allocation research.
"Our analysis of historical data and the actions of central bankers in previous decades suggest that China, the US and others will introduce quantitative tightening earlier in 2010 than many analysts expect, in response to fears over commodity inflation," adds Howell.
The Pulsar Global Alpha fund is expected to have a 2% management fee and 20% performance fee.
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