News

Latest news and insights related to the Alternative UCITS market

October was the best month of the year so far for Alternative UCITS funds. The LuxHedge Global Alternative UCITS index advanced with +0.68%, bringing YTD gains to 2.29%. In line with previous months and years, investors keep increasing their allocations to Alternative UCITS funds. Assets Under Manag...

Following strong investor interest, Systematica Investments has launched a UCITS version of their Alternative Risk Premia strategy. Using a broad range of asset classes, the fund aims to harvest different well documented premia such as value, momentum and carry. It aims for annualized returns of 6...

Long only index ETFs and Smart Beta factor ETFs are a success story with investors. Looking forward, Alternative ETFs with long and short exposures to different asset classes might seem like a very natural next step for the ETF industry....

After two tough years, it looks like the hedge fund industry will post its best return since 2013. 80% of hedge funds are in positive territory and the eVestment aggregate index reached +7.12% YTD. With the exception of commodities and FX, all primary strategies are positive year-to-date....

Hedge Funds continued their upward trend with a +0.69% advance for the HFRX Global Hedge Fund index in October, bringing YTD gains to +5.15%. The biggest gains were for Macro/CTA funds, advancing +1.92%. In the slipstream of a rising stock market, Equity Hedge funds gained +0.79%. After a very good ...

How did Alternative UCITS perform in 2017? Did market growth keep up and what are the latest trends on the different strategies in this segment? In this video newsletter, LuxHedge CEO Tim Vanvaerenbergh gives a quick update on the Alternative UCITS market....

Private pension plans in OECD countries attained a record level of 32 trn EUR at the end of 2016. Pension asset growth has outpaced GDP growth in most countries with total pension assets even exceeding total GDP in many cases. Pension providers mostly invest directly in bills, bonds or shares but in...

Jupiter Asset Management has launched the Jupiter Global Levered Absolute Return Fund, a 2x leveraged version of their 1.3BGBP Multi Strategy Absolute Return Fund. The new fund started trading on Thursday October 19 and currently has approx. 46MGBP in assets under management....

Heptagon capital has partnered with New York based alternative investment manager Kettle Hill Capital Management to launch a US Long Short Equity fund on their Irish UCITS platform. Kettle Hill specializes in finding market inefficiencies in the small cap US stock universe and aims to generate super...

We just hosted our LuxHedge Alternative UCITS seminar in Brussels last week where a broad range of Benelux professional investors and media attended. On fund selector side, we welcomed pension funds, insurers, private banks, family offices, Fund of Fund managers and Insurance brokers, all very inte...

Alternative UCITS continue on their path of steady gains, with the LuxHedge Global Index advancing +0.27% in September, 1.60% YTD. The heterogeneity of different funds in the universe remains very large with a largest fund return at +9.25% and a worst return of -7.20% last month. ...

Digital marketing specialist Kurtosys has surveyed 300 marketeers in the asset management industry. Roughly two-thirds of respondents indicates that they regard content marketing as their most effective marketing tool. More than three out of five plans to increase content marketing investments in th...

The Alternative Investment Management Association AIMA has published a new edition of its due diligence questionnaire, available to AIMA members. For the first time, the questionnaire covers private credit and private equity strategies as well as hedge funds. It also integrates the formerly separate...

ML Capital has announced the launch of a new Multi-Strategy fund on its Montlake UCITS platform, in partnership with U.S. boutique manager Advent Capital Management. The Advent Global Partners UCITS fund will make use of relative value volatility, event driven and credit strategies while exploiting...

JP Morgan announced the launch of 2 new UCITS ETF’s. Both will following a systematic, rules based investment approach to capture different long/short risk premia. They are designed to bring the diversifying advantages of hedge fund strategies in a liquid and transparent product form....

HFR’s index for UCITS compliant hedge funds gained +0.48% in September and is now up +3.52% YTD. Equity Hedge strategies gained +0.93% with positive performance for Europe, Japan and Emerging Asia strategies. The Relative Value Arbitrage Index also posted positive performance mainly driven by ...

French boutique manager Karakoram launches the K2 fund, an absolute return strategy mixing convertible bonds with short transactions on equity markets. The equity exposure is kept market neutral, fluctuating between -30% and +30%. The fund will be managed with a 3% volatility target and aims to outp...

Last month, we added 10 new funds to our database, bringing the total to 174 new Alternative UCITS launches in 2017. The popularity of Alternative UCITS funds is still on the rise: on average, one new fund launches every business day....

Robeco’s 5 year outlook on expected asset returns shows bonds as currently very expensive, projecting an annual -2.5% return for the 10yr German bund and a mere +0.25% for worldwide high yield bonds. With central banks expected to take their foot off the pedal, their return outlook for most asset ...

Quaero Capital, who already run a long/short European Equities UCITS, have launched an Equity Market Neutral fund focussing on disruptive technologies and radical innovation. The fund has been seeded with 7MUSD and returned a bit more than 12% in a model portfolio running since Nov 2016 with bot...

A new AIMA paper zooms in on the CTA industry, highlighting the ability of many CTA funds to produce truly uncorrelated returns which lower volatility in well diversified portfolios. CTA’s are often seen as insurance products because of their tendency to outperform during market sell-offs and cris...

David Stemerman announced that he will wind down his hedge fund Conatus Capital to explore a run for governor of Connecticut. Conatus manages 1.6BUSD and the strategy just became available in UCITS format through the Schroders GAIA platform in June of this year....

UCITS funds registered net inflows of 174BEUR during the 2nd quarter of 2017. All long-term UCITS (i.e. UCITS excluding money market funds) showed positive inflows of 188BEUR, achieving the highest level since 2015 Q1. ...

After a tough start to 2017, Macro UCITS strategies began to recover during the summer months. In line with the broader hedge fund market, performance in this category was led by CTA / Managed futures funds progressing +1.06% during the month of August, still showing -2.19% YTD losses...

In its August market overview, Eurekahedge reports that almost all hedge fund strategies gained during the month with CTA/managed futures up 1.27% and macro funds up 1.17%. Emerging markets continued to outperform their developed market peers with India and Greater China leading the pack. Amongst de...

German investment firm RP Crest will rename its volatility fund “RP Vega” to “RP Gamma” on 15 September 2017. RP points out that gamma risk is the main risk of strategies that harvest the difference between realized and implied volatility....

AZ Fund Management, the Luxembourg-based asset management branch of Italian group Azimat, has renamed two of its Funds of Funds. The CGM Valor Bond Strategies has been renamed to CGM Alternative Multi Strategy Bond Fund. The fund invests in all types of fixed income strategies and will invest up to ...

We added 12 new Alternative UCITS funds to our LuxHedge database during the month of August. Notably 2 new Currency Arbitrage funds were added, a strategy that has not seen many new fund launches in recent years. Nearly all funds report prices and are tradable on a daily basis. Below an overview of ...

The alternative assets industry hit a record USD 7.8 trillion in AUM by the end of 2016. Hedge funds saw their assets hit a record $3.25tn despite net investor outflows through the year. The majority of investors reported a high satisfaction with the performance of their alternative assets....

LRI Group has partnered with a TAO Alternatives to launch an Alternative UCITS version of TAO’s investment strategy managed since 2007. The Opportunities Fund will be available to investors both in a UCITS and Luxembourg SIF form. The investment strategy avoids tail risk by adding long volatility ...

Investors sometimes question whether large positions by CTA’s are creating significant liquidity risks for people invested in CTA / Managed Futures Alternative funds. Specialist firm J8 Capital show in a blog that the total notional outstanding in derivatives is huge (USD 444 trillion) compared to...

AUM at the world’s 300 largest pension funds reached USD 15.7 trillion in 2016, which is an increase of 6.1% this year against a decline of 3.4% in 2015. The top 20 pension funds outperform their peers with a 7.1% growth because they are typically quicker to adapt to changing market environments a...

According to data released by HFR today, Emerging Markets Hedge fund capital increased to USD 213. 3 billion (+USD 7.5 billion for the quarter, net inflow USD 800 million) as global growth accelerates and investors’ risk appetite increases. The HFRI Emerging Markets (Total) Index recorded 12.6 pe...

Trium Capital has launched the Trium Opportunistic Equity Fund, an Irish-domiciled UCITS fund, on 17th August 2017. This is Trium’s third UCITS fund and it will adopt a fundamentally driven long/short strategy using bottom up research with a focus on special situations and opportunistic events acr...

According to Preqin’s latest performance update, hedge funds continue their streak of nine consecutive positive months with a gain of 1.15% in July (5.93% YTD). All strategies showed positive returns for the month with Emerging markets funds leading performance with a return of 2.63% (10.09% YTD)....

We added 19 new Alternative UCITS funds to our LuxHedge database during the month of July, among which also the first launch of a convertible arbitrage fund in 2017. All but 2 of the funds report their prices on a daily basis. Below an overview of the recent fund launches and additions....

The explosive growth of the UCITS space or the Undertakings for Collective Investment in Transferable Securities is not predicted to slow down. In certain regions, it is now essentially "UCITS or nothing", said Dr Toby Goodworth, head of Diversifying Strategies at investment consultancy firm bfinanc...

First Trust Global Portfolios (FTGP) announced the launch of the first actively managed foreign exchange UCITS ETF in Europe. The new First Trust FactorFX Ucits ETF (FTFX) will be available on the London Stock Exchange from August 1st and will trade 20 to 30 currency pairs through forwards, futures,...

After the launch of their Smart Premia fund in August 2016, Uncia Asset Management now announced a second Alternative UCITS fund: Uncia Small Premia, an Equity long/short fund focusing on European small and mid cap stocks. The fund will seek to outperform its composite benchmark – 30% Stoxx 600 In...

During June, we added 29 new Alternative UCITS funds to our LuxHedge database, the biggest monthly increase in 2017 sofar. Multi Strategy and Equity Hedge funds were the most popular categories with respectively 10 and 8 launches each...

Tages Capital and New York-based alternative investment manager Atreaus Capital announce the launch of the Tages Atreaus Macro UCITS Fund. The new fund is the fifth Alternative UCITS fund that launches on the Tages platform and offers investors access to Atreaus’ macro strategies within UCITS g...

HFR's HFRI Index advanced with +0.4% in June (+3.7% YTD), the eighth consecutive monthly gain and the 15th gain in the last 16 months. Performance was led by Equity Hedge, Event driven and Fixed income Relative Value strategies that all continued to perform strong. With implied volatilities near his...

H2O announced that it acquired 51% of Arctic Blue, an asset management company managing USD 200m through a managed account and a Cayman fund. The deal is pending FCA approval. Artic Blue will operate out of H2O’s London platform but remains a separate management entity with investment products th...

nvestmentEurope reports that Chinese asset management firm ChinaAMC has launched an absolute return sub-fund within its Luxembourg-domiciled Sicav ChinaAMC Ucits Fund. The ChinaAMC Summerspring Fund has been soft-launched in June 2017 and primarily invests in China-related listed stocks globally...

Tages Capital announced the launch of the Tages Rotella UCITS Fund in partnership with Chicago & Bellevue based Rotella Capital Management . This will be the fourth sub-fund of Tages International Funds SICAV, a UCITS-compliant umbrella fund structure domiciled in Luxembourg and regulated by the CSS...

Winton, the British-based investment manager founded by David Harding in 1997, is launching an Absolute Return Futures fund on Monday July 3rd. The fund will be UCITS-compliant and regulated by the Central Bank of Ireland and has been designed for UK defined contribution pension schemes, financial a...

Neuberger Berman has extended its alternative fund range with the launch of the Neuberger Berman Uncorrelated Strategies Fund, a sub-fund of their Irish-domiciled UCITS umbrella. The fund is intended for investors who desire less correlated outcomes and access to alternative strategies at a much low...

The value of assets in collective investment funds globally stood at €38.3trn ($42.68trn) at the end of May, following an increase in AUM of €696bn ($775.8bn), according to data published by Thomson Reuters Lipper. Compared to a year ago, assets increased by nearly 13%, or $4.88trn, of which $1....

Tages Capital announces that P. Schoenfeld Asset Management (PSAM) will act as the manager of the Tages PSAM Credit Fund, an existing sub-fund of Tages International Funds (a UCITS-compliant umbrella fund structure). The new Fund’s focus will remain a credit long/short investment strategy. Origina...

The European Fund and Asset Management Association (EFAMA) has today published its latest Quarterly Statistical Release describing the trends in the European investment fund industry in the first quarter of 2017. UCITS registered net sales of EUR 202 billion, a sharp increase with respect to......

During May, we added 11 new Alternative UCITS funds to our LuxHedge database which is less than the average 20 funds per month that were added since the beginning of 2017. Quite notably 3 new Alternative UCITS Fund of Funds were launched, where we would typically only see 1 per month. We also added ...

Eaton Vance has launched a defensive equity fund designed to recover strongly from ‘stress’ events, the company has announced. The Ucits-compliant Eaton Vance International (Ireland) Parametric Global Defensive Equity fund will be overseen by the US group’s subsidiary Parametric Po...

Investor priorities have shifted since the 2008 financial crisis, but one trend is clear : transparency has become paramount. A global EIU survey of asset managers and institutional investors, sponsored by Northern Trust, suggests that transparency has leapt in importance following the financial cr...

JP Morgan has reportedly teamed with Morningstar to launch a new strategy that will provide investors with access to a synthetic basket of liquid alternative funds. The new strategy, named the JP Morgan Morningstar Alternative Strategy, will rely on Morningstar’s investment management team to sele...

Signs of economic growth, steady US yields and a calm dollar greenlit a rebound in global risk assets after last week’s declines, according to the latest Weekly Brief from Lyxor’s Cross Asset Research team. Less noise about the controversial Trump’s ties to Russia and a......

Neuberger Berman has broadened its suite of alternative investment solutions with the launch of two UCITS funds employing collateralised index put writing strategies. The Neuberger Berman US Equity Index PutWrite and Global Equity Index PutWrite funds seek to generate attractive risk-adjusted return...

Brussels, 24 May 2017: The European Fund and Asset Management Association (EFAMA) has today published the 9th Edition of its Asset Management Report.  The report focuses on the value of assets managed by regulated third-party asset managers in Europe, providing detailed data on the location......

Candriam Investors Group has launched a long/short equity fund aimed at stocks benefiting from digital disruption and the so-called ‘uberization’ of the economy, Citywire Selector can reveal. Read more…...

The low yield and low rates environment has pushed fund selectors to seriously appraise their fixed income allocations. For one investment professional, potential for income generation lies in an unexpected area of the Alternative Ucits market. Read more…...

During April, we added 20 new Alternative UCITS funds to our LuxHedge database. Following the trend of the last two quarters, we noticed a big inflow of newly launched funds with a Macro focus. Contrary to the past months, there were only a limited amount......

Cohen & Steers is set to unveil its Luxembourg-domiciled Global Preferred Securities fund later this month to be run by William Scapell. The new vehicle is a sub-fund of the firm’s Luxembourg UCITS platform and will begin trading on 15 May. Read more…...

In the Global (ex US) peer group, the Alternative Ucits sectors taking in the most estimated net flows over the first quarter of 2017 was Multi Strategy, which accrued estimated net flows of €2.14 billion across all funds tracked by Citywire in the sector. Read......

As one of the fastest-growing segments of the fund management world, the Alternative Ucits market brings many offbeat ideas to investors seeking returns, as well as putting forward new ways in which to shield investors from unpredictable markets. Read more…...

CTAs should not be viewed as an insurance policy for Alternative Ucits fund managers, according to GSAM’s Rob Mullane. Read more…...

During March, we added 21 new Alternative UCITS funds to our LuxHedge database, all but one with a daily liquidity. Following the trend of the past months, the biggest inflow in number of alternative UCITS is seen in funds with an equity hedge or Macro......

Absolute return funds should fulfil a specific role in a portfolio, argues Sam Liddle – and nobody expects or wants their goalkeeper rushing up the pitch to try and score. The question of exactly what constitutes ‘absolute return’ taxes fund managers and investors in the......

Alternative UCITS funds combine absolute returns with a relatively low risk level. The return characteristics look like Hedge Funds but Alternative UCITS are considerably safer, more prudent and transparent in their operations. For these reasons, they have gained tremendously in popularity over the ...

Liquid alternative fund manager ABR Dynamic Funds has launched a new UCITS-compliant equity-based systematic absolute return fund in conjunction with Swiss distributor OpenFunds. Read more…...

The Global Fundamental Equity fund, a UCITS fund, is a value-orientated mandate that will use an investment process based on qualitative analysis, supported by quantitative analysis. Read more…...

During January 2017, we recorded a strong net growth of 5 bn EUR in Assets under Management that entered into Alternative UCITS funds. We added 21 new Alternative UCITS funds to our database, all of which offer daily liquidity. The biggest inflow in number of......

We are proud to announce the appointment of Tim Vanvaerenbergh as the new CEO of LuxHedge, our financial technology and investment advisory boutique that is specialized in Alternative UCITS funds and fund selection....