GAM has enhanced its range of UCITS III funds to include a directional, highly liquid, emerging market debt and currency fund managed by Pharo Global Advisors Limited.
GAM Star Pharo Emerging Market Debt & FX will invest the majority of its assets in emerging market government and quasi-government cash bonds, and currency futures and forwards. The fund aims to generate returns of between 5% and 10% per annum above the JP Morgan EMBI Global Diversified Composite Index. Pharo combines a rigorous risk management approach with a flexible, disciplined trading style in order to generate outperformance.
Guillaume Fonkenell, Chief Investment Officer at Pharo, said: “Emerging countries are coming out of the crisis in much better shape than the OECD countries. They should continue to experience explosive GDP growth in the coming years. As a result, we expect the asset class to continue to outperform.”
Pharo’s management team has extensive experience trading emerging markets for the past 20 years. Their skillset is diversified across markets, trading approaches and asset classes. The firm’s investment professionals use a global perspective to select opportunities in the most liquid sectors of emerging market fixed income; employing a top-down, macro economic approach to identify themes which form the framework of their portfolio construction.
Daniel Durrer, Head of Fund Distribution – Intermediary Clients at GAM, said: “GAM has always employed an open architecture approach to investment management in order to give our clients access to the best money managers in the world. Our extensive Multi-Manager research team recognised Pharo as an outstanding asset manager and in 2000 we invested in the firm’s Pharo Master Fund at launch. We are delighted to offer our clients’ access to Pharo’s emerging market investment expertise in a regulated vehicle.”