UCITS investors seeking CTA strategies
24. Oct 2011
Geneva 24th October 2011: In its latest survey on the growing market for Alternative UCITS, ML Capital observed a dramatic increase in demand for CTA’S, which is at an all-time high, with 57% of respondents committed to the sector.
ML Capital surveyed a diverse range of active Alternative UCITS investors, who collectively manage €80 billion and today invest upwards of €30 billion into Alternative UCITS products.
Key highlights this quarter are as follows:
§ Allocations to CTA’s and Global Macro strategies are set to continue to increase dramatically. The largest increase in allocations are to Global Macro systematic and CTA strategies, both of which saw demand almost double over the last quarter from 30% to almost 60%.
§ Demand for developed equity market hedge strategies has declined noticeably since the beginning of 2011 and interest in Event Driven strategies has also been quite negative.
§ There is however a significant push into emerging markets funds underway – with 39% of respondents indicating a desire to move into global emerging markets UCITS funds.
§ The two least popular categories this quarter are UK L/S and distressed.
Commenting on the latest survey, John Lowry, Co-Founder and Chairman of ML Capital: “During this quarter, when respondents’ allocations to UCITS rose dramatically from 10 to 30 billion, the increase in market volatility has seen a big shift towards those strategies that offer the potential to make money, or at least protect a significant element of the markets’ risk.”
***
About ML Capital
ML Capital is an independent and privately-owned financial services group specialising in advising on and delivering alternative investment solutions and strategies for the investment industry. ML Capital provides a truly global service for its clients from its headquarters in in Malta and operations centres in London, Geneva and Dublin.
ML Capital prides itself on delivering exceptional client service premised on a detailed understanding of the needs of its clients matched with a proven track record in providing sound investment advice.
Our senior partners have a combined experience of over 70 years in the investment-management industry in key areas incorporating manager due diligence, portfolio management, operations and risk management.
About The MontLake UCITS Platform
The MontLake UCITS Platform, domiciled in Ireland and regulated by the Central Bank of Ireland, provides investment managers with a turnkey solution for launching a UCITS fund under its umbrella structure. Typical time to market is 10 weeks or less, with the platform offering immediate access to a wide range of investors through ML Capital’s distribution network.
Funds placed on the platform by ML Capital will benefit from top-tier service providers including Citi for custody, administration and trustee services, KPMG for audit, and Bridge Consulting for oversight and directorships. ML Capital has also ensured that managers utilising the MontLake UCITS Platform will have unfettered access to a network of the leading prime brokerage firms.
For more information on ML Capital please visit our website www.mlcapital.com or our platform website www.montlakeucits.com.
Media contact:
ML Capital Asset Management
Name: James Hanlon
Phone: +41 22 318 56 70
Email: James@mlcapital.com