AllianceBernstein launches fund for ex-Caxton manager across Europe
AllianceBernstein has launched a US equity absolute return strategy in Europe, managed by Kurt Feuerman whom the firm recruited from US hedge fund Caxton Associates last year.
Feuerman (pictured) has made gains using the same strategy for 12 of the past 13 years, on less than half the annual volatility of the S&P 500 index.
The launch follows the debut in Germany in January of his Select US Equity Portfolio.
The Select Absolute Alpha Portfolio he runs is based in Luxembourg and seeks long-term gains using both fundamental analysis of companies, and of the broader macro landscape.
It comes at a time of renewed interest in US equities, which jumped by 12.6% in the first quarter, and lost just 0.8% last year, compared to a 10.1% decline by global shares.
Feuerman looks for companies with potential for earnings growth over three to five years, strong management and “understandable, transparent business models”.
Feuerman said: “Last year was a turbulent one for US equities that created stiff headwinds for active managers, but given the current attractive valuations, we think stocks have the potential to continue to rise.
“Even if we see some slowing economic growth, it does not necessarily mean bad times ahead for stocks. However, it will have a major impact on which types of stocks will outperform and we need to be flexible to adjust our portfolio accordingly.”
The fund typically holds between 60 and 120 stocks, and can take short positions on single stocks or an index.