UK- GAM, a business unit of UBS Warburg Global Asset Management, is to launch a multi-arbitrage fund later this month. The multi-manager fund of funds will invest across multiple arbitrage strategies aiming to achieve long-term capital appreciation with low volatility and low or no correlation to equity or bond markets.
Dorothy DeWitt, who joined GAM earlier this year, and David Smith, chief investment director of the multi-manager team, will be managing the fund. Both are based in London.
Says Smith: “We see some extraordinary opportunities to invest in talented managers in arbitrage strategies. “
The fund, which is aimed at both institutional and private client investors, will launch on 23 September and will be registered in the British Virgin Islands.
The fund will be subject to a series of fees: a 5% purchase fee, a 1.76% annual management fee and additional underlying fund fees. The US dollar denomiinated fund has a minimum investment of $15,000.
GAM manages approximately $17.3bn of clients’ assets – of which around $4.5bn is managed in discretionary portfolios on behalf of its private clients.