Wealth Manager - the site for professional investment managers

Register to get unlimited access to all of Citywire’s Fund Manager database. Registration is free and only takes a minute.

Blacksquare plans fund of absolute return funds

Blacksquare plans fund of absolute return funds

Investment boutique Blacksquare Capital has joined the race to launch a fund of Ucits III absolute return funds.

The firm, which specialises in alternative multi-manager products, is planning to launch the IFSL Blacksquare Capital Absolute Return Balanced fund in October or November, subject to regulatory approval. The news comes two weeks after Citywire Wealth Manager revealed that Collins Stewart was looking to launch a similar proposition.

Blacksquare chief executive Christopher Peel (above) said the time is ripe to launch an Ucits III-compliant fund of absolute return funds, owing to a growing need to provide investors with due diligence and diversification across the absolute return sector.

Peel said: ‘Investors want exposure to a regulated portfolio that offers diversification across asset classes, which is tax-efficient and liquid.’

Peel has seen ‘huge interest’ in the fund and hopes it will be sold through a number of private banks and platforms that he is in talks with. He expects seed money to come from the IFA network and family offices.

The Blacksquare fund will be managed by the firm’s research head Richard Sherwin. It will contain between 10 and 15 absolute return funds and aims to achieve a diversified exposure across different asset classes.

The fund will provide daily liquidity and aims to achieve cash +5% a year, although Peel does not wish it to be viewed strictly as a ‘cash-plus product’, but rather as a sophisticated multi-manager fund.

Peel said groups likely to have funds in the portfolio include BlackRock, Gartmore, Brevan Howard and Goldman Sachs Asset Management. The fund is expected to have an allocation of about 40% towards fixed-income strategies, 22% foreign exchange and 21% in equity-related strategies.

Blacksquare was set up four years ago by Peel and Madilean Coen. It has a three-strong fund of hedge funds range, which comprises the Blacksquare Capital Access, the Blacksquare Capital Global Macro fund and Blacksquare Capital Commodity funds.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play JPM’s Negyal: Back divis to temper EM volatility

JPM’s Negyal: Back divis to temper EM volatility

Omar Negyal, co-manager of the JPMorgan Global Emerging Markets Income trust, says a dividend approach to emerging markets reduces the volatility of investing in the asset class.

Play WMR: Why Russia will lose this war

WMR: Why Russia will lose this war

Author and journalist Adam Lebor believes a perfect storm is brewing when it comes to the Russian economy. .

Play WMR: Gerard Lyons warns Asia is the real risk, not Russia & Ukraine

WMR: Gerard Lyons warns Asia is the real risk, not Russia & Ukraine

Chief economic adviser to London mayor Boris Johnson outlines the geo-political risks in Asia and explains why the risk of another eurozone crisis must not be underestimated.

Your Business: Cover Star Club

Profile: 'new normal' now is as dangerous as when it was applied to tech

Profile: 'new normal' now is as dangerous as when it was applied to tech

7IM's CIO Chris Darbyshire says he has been re-energised by his new role, but has little time for 'new normal' doom-mongers

Wealth Manager on Twitter