Macquarie Bank's Funds Management Group, in collaboration with Macquarie's Treasury and Commodities Group, has launched the Macquarie Commodity Alpha Segregated Portfolio, an institutional fund that utilises a range of trading strategies to maximise returns through various commodity derivatives, primarily commodity futures.
According to Sebastian Barrack, Executive Director in Macquarie Bank's Treasury and Commodities Group, the fund has been developed in response to demand from investors seeking increased exposure to commodity trading skills.
"The fund capitalises on the expertise of Macquarie's commodity markets business across a broad range of commodities," Mr Barrack said. "The fund utilises our substantial commodity market experience in two ways - we will develop trading strategies to generate alpha, and our team of 40 traders will provide shorter-term tactical advice with respect to the implementation of trades.
"The fund offers investors access to a broad range of alpha strategies. These may involve taking both outright long and short positions in commodity futures, trading between different contracts on the same commodity and taking offsetting long and short positions in similar commodities," Mr Barrack said.
The launch of the Macquarie Commodity Alpha Segregated Portfolio follows the Macquarie Commodities Fund, which utilises the same alpha strategies in order to enhance index performance. The alpha strategies sub fund of the Macquarie Commodities Fund, an unleveraged fund, has generated a cumulative performance of 2.8 per cent since its inception in August 2006. This would translate to over 19.5 per cent for the Macquarie Commodity Alpha Segregated Portfolio, given its higher risk allocation and leverage limit. Macquarie Funds Management manages over US$50 billion globally for both retail and institutional clients and has over 25 years funds management experience.
According to Adam Kibble, Division Director, Macquarie Funds Management, the fund benefits from Macquarie's proprietary risk framework, which takes account of the riskiness of individual positions and ensures diversification of risks.
"We use a Value-at-Risk based risk management framework to better measure the true risk of the fund's trading strategies, accounting for the risks and diversification effects of the offsetting long/short positions. The VaR framework is recalibrated regularly to account for changing volatilities and correlations over time and is complemented by single position and leverage controls and risk-return analysis," Mr Kibble said.
The Macquarie Bank Group is a diversified international investment bank with over 11,000 people in 24 countries. Macquarie has extensive global experience in both funds management and commodities trading. Macquarie Funds Management has over 25 years experience in funds management and manages more than US$50 billion globally for both retail and institutional clients. Macquarie's Treasury and Commodities Group provides specialist strategic and trading advice. The Group is a leading international provider of price risk management solutions for producers, consumers, trade participants and investors, with a client base that spans the globe. Macquarie's experience and capability covers a broad range of commodities, including agricultural commodities and energy products. Corporate Website
No comments:
Post a Comment