Lundmark & Co launches managed futures hedge fund
Sweden’s Lundmark & Co has received SEK50m (€5.6m) in seeding capital from two foundations to launch a hedge fund using a managed futures strategy, which will target both retail and institutional investors.
Lundmark & Co said that managed futures is the fastest growing strategy globally, with local players Nordea and SEB currently managing about SEK16bn (€1.8bn) this way on behalf of clients.
The new fund has been modelled by Eric Lundström, manager of the company’s Aktiv Världen fund, to give a 278% return over the past five years, with positive returns in each discrete year.
Assets to be considered include equities, fixed income, currency and commodities. It will not track an index, and seeks absolute return.
Håkan Lundmark, managing director, said the independent fund company had long been looking for a fund that would provide returns in volatile markets, while also providing some capital protection.
“We are convinced that we have found just such a product, and that is why we are launching the Aktiv Trend hedge fund,” he said.
The fund offers daily trading, no minimum investment, and will show holdings on the fund company’s homepage. The managers will invest in the fund, and are only remunerated if it shows a positive return.
Lundmark & Co Fondförvaltning AB is an active manager founded in 2006. Currently it offers two funds – Aktiv Europa and Aktiv Världen – with about SEK800m (€91m) under maangement. The funds are offered to both retail and smaller institutional investors, and are available through the Swedish PPM platform for retirement savings.