RWC Partners has revealed its plan to launch its existing Asia long/short equity strategy within its Luxembourg Sicav Ucits.
Subject to approval, the existing Global Innovation Absolute Alpha will change its name to RWC Asia Absolute Alpha Fund and the fund will move to closely replicate an existing Asia long/short equity strategy that RWC launched in April 2015.
Garret Mallal manages the Cayman-domiciled RWC Asia Opportunity Fund from RWC’s Singapore office and will manage the new Ucits fund. Mallal joined RWC as a portfolio manager within James Johnstone and John Malloy’s Emerging Market team in mid-2015.
The team is already managing over $1.6bn in long-only and long/short Emerging, Frontier and Asia equity funds. Mallal has 10 years of experience in investment management and research in the Asia Pacific region and was formerly a Managing Director at Everest Capital where he was responsible for an Asia long/short equity strategy.
Since launching at RWC on 30 April 2015 Mallal’s existing RWC Asia Opportunity Fund is up 3.2% which is more than 22% over the MSCI AC Asia Pacific Index (net TR). The strategy is a long/short pan-Asia equity approach that tactically uses currencies to hedge and to enhance investment returns further.
Priya Kodeeswaran, the manager of the RWC Global Innovation Absolute Alpha Fund, has decided to leave RWC.
Dan Mannix, CEO of RWC Partners, comments: “Long/short equity strategies have seen a resurgence of demand over the last two years as investors look to Ucits as the preferred structure for these strategies.
“We have been a beneficiary of this trend with over $2bn of new money being allocated to Ajay Gambhir and Mike Corcell’s funds. Geographically orientated approaches seem to be particularly appealing and the launch of Garret’s fund alongside Ajay’s European fund and Mike’s US fund is a natural step for RWC.
“There remains a lack of high-quality Asia long/short funds and we feel Garret’s portfolio management approach is stand-out, so offering it to investors in a Ucits gives the opportunity for a broader range of investors to access the fund.
“Garret is part of our Global Emerging Market and Frontier Team. Under John and James they have had an extraordinary 12 months having brought over a team of 15 to establish the new team within RWC. Despite one of the most brutal backdrops for Emerging Markets fund managers they have raised over $1.6bn for their new funds.
“The launch also comes on the back of an exciting time for RWC that has seen net flows of over $3.2bn in 2015 and a strong pipeline of interesting projects for 2016.”
'Excellent growth opportunity'