ABN offers Multi-Strategy hedge fund to Singaporean retail investors

ABN Amro Asset Management has started offering Singaporean retail investors access to its ABN Amro Multi-Strategy Fund.

The fund of hedge fund was initially domiciled in Ireland in April 2000 last year, offering investment access to 25 to 30 selected hedge funds with different strategies. These strategies include: convertible bond arbitrage, equity market-neutral, global macro, emerging markets, merger arbitrage, distressed securities and long-short equities.

ABN Amro was keen to make alternative investment products available to retail investors in Singapore, said Bo Kratz, chief executive of ABN Amro Asset Management. "This does away with the perception that hedge funds are purely for institutional investors, and gives us an opportunity to educate the general public in this asset class," he added.

The Singapore access period is set for August 6 to September 17 for investors with a minimum of S$100,000 to place in the fund. Distribution will take place through ABN Amro Bank, Standard Chartered Bank, plus a number of private banks, securities firms and online distributors, said Herman Barten, Singapore-based head of business development at ABN Amro Alternative Investment Group. ABN Amro expects gradual growth.

Barten added that the demand for hedge funds is rising sharply on a worldwide basis. “The Multi-Strategy Fund targets absolute returns while maintaining low volatility and low correlation with equity and bond markets,” added Barten.

The Multi-Strategy Fund is managed by ABN Amro Asset Management's Alternative Investment Group in London.