HSBC to launch GEM absolute return fund

HSBC Global Asset Management will launch an absolute return global emerging markets fund later this month.

The Luxembourg-domiciled HSBC GIF GEM Equity Alpha fund will offer daily liquidity and target annual returns of 10-15% based on approximately 10% volatility, with limited market correlation. It will be jointly managed by Omar Negyal and Nick Timberlake, who will monitor a universe of about 700 stocks selected from across MSCI Emerging Market nations and MSCI Frontier markets. Together they will run approximately 35 long and 35 short stock positions, aiming to generate alpha on both sides of the portfolio. "The HSBC GIF GEM Equity Alpha Fund is a high-conviction long/short portfolio," ...