Quality Capital Management (QCM) is pushing into the retail market with the launch of a Ucits III version of its managed futures hedge fund.
QCM is adding a retail share class to its Luxembourg-domiciled DB Platinum IV QCM GDP Index fund. It aims to reflect the returns of QCM’s flagship Global Diversified Programme by buying a total return swap based on it from Deutsche Bank.
QCM says it could make the fund more widely available by placing it on other platforms. At present, however, it can be accessed through Deutsche Bank’s DBSelect platform. It has dollar and euro share classes with a sterling share class set to be added in response to demand.
Aref Karim, QCM’s chief executive says: “We are a systematic macro manager running everything in systems-based algorithms. The strategy thrives on volatility and in particular on directional volatility. In 2008 we had trends in commodities as oil went up to about $150 a barrel, then saw sudden reversals through the crisis from July to September which provided opportunities on the short side.
“It is not just a diversified portfolio, it also fulfils a major function in performing in times of systemic crisis when equity beta gets hit.”
The hedge fund trades futures markets linked to equities, fixed income across the yield curve, FX and commodities, both soft and hard. The investment process allows for a combination of long and short-term trades.
Minimum investment in the fund is $100 (£67). It has an annual management charge of 1% and a performance fee of 20%. The fund offers daily liquidity.
