Man Investments unveils new product
Dubai , May 16, 2007
Man Investments, one of the world's largest hedge fund providers, has unveiled a new capital guaranteed product in its Man AP family.
Man AP Spectrum Ltd combines for the first time the proven performance of the AHL Institutional Programme with a significant allocation to Bayswater, a San Francisco-based quantitative global macro manager, said an official spokesman.
It also allocates capital to four Man Global Strategies style portfolios to provide added opportunities for profit and diversification.
The Bayswater Macro Programme achieved annualised returns of 14.4 per cent between August 1, 2004, and February 28, 2007, while the AHL Institutional Programme generated annualised returns of 17.1 per cent in the timeframe October 17, 1995, to February 28, 2007.
Both AHL and Bayswater are built on the philosophy that financial markets are inefficient and can be exploited by applying systematic and non-discretionary trading models.
The difference is that Bayswater takes a longer term global macro approach while AHL aims to capture short and medium term trends on a wide range of global markets. The mix of the two managers in a portfolio is attractive since they are complementary due to the low correlation (0.28 for the period August 1, 2004, to February 28, 2007) and have the potential to capture profits at different points in a market cycle in a wide range of markets.
"We are pleased to offer investors access to Bayswater as a core component of a structured investment product for the first time," said CEO of Man Investments Middle East Antoine Massad.
Man AP Spectrum Ltd is offered in a choice of USD and EUR bonds, each targeting mean annualised returns of 13 to 16 per cent (USD bonds) and 11 to 14 per cent (EUR bonds) for a mean annualised volatility of about nine to 11 per cent for both bond classes.
Investors will also benefit from a capital guarantee provided by Merrill Lynch International Bank Limited, and a profit lock-in feature.
Man AP Spectrum Ltd will be open for investment till June 4, 2007.TradeArabia News Service
