RWC launches $1 billion capacity Cayman strategy for Hermes managers

RWC is launching a new Cayman fund with a $1 billion capacity for some of the managers it poached from Hermes.

The six-strong European focus team is headed by Maarten Wildschut and Petteri Soininen and currently manages $300 million in assets. The team takes an activist approach to investing in pan-European equities, and the new fund will use the same strategy that has been in place since the team’s inception in 2009.

The fund, which is a Cayman master-feeder fund, will invest in 10-20 companies where the team believe a constructive activist approach will improve shareholder returns.

In September RWC announced it had taken on the three investment teams behind Hermes Focus funds, giving it three strongly-performing EU, Japan and UK-focused funds.

The European Focus fund has generated returns of 115% since 2009, compared to the FTSE World Series Europe TR Index’s 51% return.

‘The launch of a Cayman vehicle reflects the desire of investors to access the strategy efficiently,’ said RWC principal Dan Mannix.

‘The team’s move to RWC has also coincided with a marked increase in institutional interest in European equities, particularly in concentrated high conviction portfolios.’