New York-headquartered hedge fund Optima Fund Management has made available its Optima Star Long Strategy in Europe.
The strategy, launched in Q2 2016, relies on the screening of the hedge funds universe to identify what it considers as the 10 best-in-class, based on qualitative and quantitative measures.
Thereafter the top five positions by market value from each of the identified managers are selected, using public quarterly reports while risk guidelines are applied to manage liquidity and sector concentrations. Some 50 high-conviction positions are held in the portfolio .
“The goal is to identify managers who first have demonstrated a real edge in managing money, and second, have generated superior performance. But investors have chafed increasingly at the high fees, lack of liquidity, limited transparency, prohibitively high minimum investments, and downright user unfriendliness of hedge funds,” said Dixon Boardman, founder and managing partner of Optima.
“Star Long Strategy’s portfolio consists of what Optima views as the five highest conviction holdings of ten hand-picked top-performing hedge fund managers. But – and this is a big but – Star Long Strategy does so while offering daily liquidity and sensible flat management fees,” he added.
Optima Fund Management was founded in 1988 by Dixon Boardman and manages $2.2bn (€1.84bn) in assets.