LONDON (HedgeWorld.com)–Global Investment Advisors Ltd. launched a new fund of funds on July 8 that will invest its capital with managers that comprise the market-neutral component of the CSFB/Tremont* Hedge Fund Index.
Underlying strategies tapped by the fund will all fall under the market-neutral umbrella but will include a mix of long/short equity, fixed-income, and arbitrage. Up to 20 funds from the sub-index might be included, with an emphasis on larger names.
Because funds are chosen based on their inclusion in the CSFB/Tremont Hedge Fund Market-neutral sub-index, Global Investment Advisors Ltd. describes the fund as a “passive strategy.”
Using funds from the market-neutral component of the alternative benchmark is also significant because it means that investors will have transparency when it comes to the composition of the multi-manager portfolio. Weightings for individual managers will also be disclosed to investors.
The GAIM Market Neutral fund is available in two share-classes, one U.S. dollar-denominated and the other in euros.