BGI takes a long-equity double vision
Barclays Global Investors Australia(BGIA) has launched a new absolute return long-short Australian equity fund to complement its first long-short equity fund released back in 2001.
The BGI Total Return — Absolute Equity Fund, as it will be known, aims to deliver a 9 per cent per annum return above the cash rate with a 6 per cent tracking error.
It will be predominantly targeted at institutional investors, structured product and hedge fund of fund providers.
BGIA’s other fund is its Total Return — Australian Equity Market Neutral Fund.
“While there are some similarities with our existing market neutral strategy, the absolute equity long-short strategy incorporates some complementary ideas for stock selection, as well as targeting additional investor returns from sector and style positioning.
“This strategy has smaller expected capacity — around $100 million — compared to the market neutral long-short strategy launched in 2001,” says BGIA equity investment director Morry Waked.
The fund will aim to achieve a net dollar exposure of zero to equities by taking long and short equity positions and produce absolute returns over time independent of movements in the equity market.
Recommended for you
Licensee Centrepoint Alliance has completed the acquisition of Brighter Super’s annual review service advice book, via Financial Advice Matters.
ASIC has launched court proceedings against the responsible entity of three managed investment schemes with around 600 retail investors.
There is a gap in the market for Australian advisers to help individuals with succession planning as the country has been noted by Capital Group for being overly “hands off” around inheritances.
ASIC has cancelled the AFSL of an advice firm associated with Shield and First Guardian collapses, and permanently banned its responsible manager.
