Pharus Management to launch Luxembourg subsidiary to manage UCITS compliant SICAVs
Swiss firm Pharus Management has launched Pharus Management Luxembourg SA, a Luxembourg based company designed to work on new provisions introduced by the European passport regulation.
The aim of the new company is to manage UCITS compliant SICAVs, specialised investment funds and alternative funds as provided for by the Alternative Investment Fund Managers Directive.
Under the EU directive, in order to use the European passport, those funds will have to implement complex control mechanisms, or to outsource them to a management company.
Pharus Management Luxembourg will act as manager, sponsor, risk manager and distributor, as well as be in charge of risk control.
The new company will target existing SICAVs, as well as alternative funds with at least€100m assets under management.
Pharus Management Luxembourg will also incorporate Pharus SICAV, which manages 18 funds with hedge, long/short equity and market neutral strategies. It has about €210m under management.
“Looking ahead, asset managers will be increasingly forced to hire an independent management company, as the complexity of investment portfolios and management strategiees has increased. This would also reduce conflicts of interest,”said Davide Pasquali, deputy chairman at Pharus Management SA.