TORONTO (HedgeWorld.com)--Arrow Hedge Partners Inc. announced its second series of guaranteed principal notes linked to the performance of its multi-strategy hedge fund.
The first series of notes was launched last May to Canadian retail investors . Arrow Multi-Strategy Notes Series 2 will have the same low investment minimum of $5,000 and will be issued by BNP Paribas (Canada) and guaranteed by BNP Paribas SA. The offering is also eligible to be used in retirement plans in Canada.
"Investors will have the assurance of guaranteed principal repayment, the benefit of consistent return potential through a fully diversified fund of hedge funds and comprehensive risk management from an industry leader," Jim McGovern, managing director and chief executive of Arrow Hedge Partners, said in a statement.
The notes performance is linked to the Arrow Multi-Strategy Hedge Fund, which has a return objective of 7% to 9% after fees. The fund expects to allocate to 20 hedge fund managers across nine different investment strategies that include: long/short equity, equity market neutral, high-yield hedge, risk arbitrage, convertible arbitrage, fixed-income arbitrage, distressed securities, managed futures and global macro.
Arrow Hedge currently manages more than C$150 million (US$109 million) for Canadian retail and institutional investors. Last month, the firm announced the imminent closure of The Arrow Epic Capital Fund. A long/short Canadian equity fund advised by Epic Capital Management Inc., Toronto, is now only be available through Arrow Hedge's funds of funds Previous HedgeWorld Story.