GAM has expanded its range of UCITS III funds to include an onshore version of its successful global macro interest rate and currency strategy managed by Investment Director, Adrian Owens.
The fund aims to generate returns of between 8% and 12% per annum above LIBOR over a rolling 3-5 year period. GAM Star Global Rates will invest in a diverse range of government bonds and currencies to exploit market inefficiencies. The focus of the fund is on mature markets where good liquidity is available. Correlation with other investment strategies and equity markets is expected to be minimal.
Commenting on the fund Adrian Owens said: “Portfolio diversification is essential to the management of this fund. However, at the same time, we do not want to diversify away our returns. By focusing on key themes, we seek to achieve a structure that is concentrated enough to deliver double digit returns while also providing diversification.”
Adrian’s 21 years as an economist and investment manager are at the heart of his ability to understand how macro factors drive market behaviour. He employs an entirely discretionary, global macro style that has economic fundamentals at its core.
Craig Wallis, Group Head of Institutional and Fund Distribution at GAM, said: “Adrian’s existing offshore global rates fund, which employs the same strategy, has proved to be incredibly successful, returning an average of 12.37% p.a1 for investors since its inception in January 2004. The launch of GAM Star Global Rates means that we can offer investors access to these impressive returns backed by the reassurance of a UCITS III structure.”
Whilst many asset managers have been quick to set up Managed Account Platforms as a solution to the transparency issues arising over the last year, they lack the regulatory oversight provided by a UCITS framework. The UCITS III structure offers investors a compelling alternative to Managed Accounts. GAM Star Global Rates provides full transparency, regular liquidity and is tax efficient for onshore clients
1GBP Class. Data as at 31 October 2009