Man Investments has opened a trend-following managed futures and CTA programme -- Man AHL Trend -- to Singapore’s retail investors.
A Man spokesperson told AsianInvestor yesterday that it had spotted a latent demand in the city-state for this type of asset class, and it opens a new channel of distribution for them.
Man AHL Trend is a Ucits III compliant fund already launched in Europe; it is available in Germany, Italy and Spain. This new share class is applicable to Singapore residents, where the minimum subscription will be S$20,000 ($15,500). It will be made available through Singaporean banks and financial advisers.
This product is not the same as the guaranteed, closed-end version of their managed futures fund. However, it is part of the Man AHL Diversified Futures Ltd programme originated in the UK by Man AHL chief executive Tim Wong and an 80-strong team of boffins at the Man Research Laboratory, based in Oxford and London in the UK.
To avoid anti-solicitation rules, Man Investments won’t reveal target returns or fee information, but it is known that managed futures and CTA funds which invest in a myriad asset classes and markets appear to work best when following a sustained market trend, at which point they follow momentum. However, at the point when the trends end and change direction, the funds give up performance as they reposition.
Man confirms that it is going to continue working with regulators in the region to find new jurisdictions to launch this type of managed futures fund.