BlueCrest to list UK feeder fund for $13.6bn strategy

BlueCrest Capital is to list a feeder fund for its BlueTrend strategy, a systematic fund that trades across 150 global markets, on the London Stock Exchange this March.

Its initial public offering will provide access to the private $13.6bn BlueTrend strategy via a newly-established Guernsey incorporated closed-ended fund.

The hedge fund is looking to raise over £150m for the feeder fund, according to Reuters.

The managed futures fund invests in equities, fixed income, commodities and currencies across 150 markets and its investment team is headed by Leda Braga, head of systematic trading at BlueCrest.

BlueCrest manages the computer-driven strategy with an informal target annualised return of 15-20% net of fees. It says the strategy has achieved an annualised return of 16.67% since February 2005, with annualised volatility of 14.36%.

"The proposed listing of BlueCrest BlueTrend is an exciting development for the systematic business, and we welcome the opportunity to open the programme to a new investor base," said Braga.

"We continually strive to maintain and improve our models through rigorous research and technological advances, in order to deliver returns for our investors."

BlueCrest closed a UCITS version of the trend-following fund in 2010, citing its inability to adequately replicate the performance of the main offshore strategy.