London-headquartered RWC Partners has merged the RWC Europe Alpha fund into the RWC Pensato Europa Absolute Return fund on 19 June 2018, InvestmentEurope can reveal.
Both European equity long/short strategies were managed by Graham Clapp who joined the firm with his team in October 2017 following the acquisition of Pensato Capital by RWC Partners.
Commenting the fund merger, Dan Mannix, chief executive officer of RWC Partners, says to InvestmentEurope : “The merger between the the RWC Europe Alpha fund with the RWC Pensato Europa Absolute Return fund comes at an exciting time. Graham Clapp joined us with his investment team at the end of last year. They were running a mixture of long/short and long only funds. Following the team joining, RWC had two European fundamental equity long/short strategies and over the last few months we have gone through a process of aligning strategies and fund structures. That has enabled us to merge the two European equity long/short strategies together because there was no point for Graham and his team to run two identical strategies.“
“Graham’s absolute return fund is outperforming the market by around 9% year-to-date. He achieved that with only a 10 to 15% net exposure. Over the last six months, we have seen a resurgence of demand for long/short equity funds. I believe investors have become very nervous about market valuations and they are seeking less correlated strategies. Graham is one of the long-standing long/short equity managers in Europe and they have had a great run since joining RWC Partners.”
AUM in the RWC Pensato Europa Absolute Return fund amount to around €120m.