The JP Morgan Funds – Multi-Manager Alternatives Fund will be managed by Paul Zummo, chief investment officer at J.P. Morgan Alternative Asset Management, along with co-managers Randy Wachtel and Christopher Marshall, who bring a combined 35 years of experience and specialist expertise from across the hedge fund space.
The fund is part of JP Morgan AM’s SICAV range, and will offer daily liquidity, transparency and competitive fees.
The fund’s managers will dynamically allocate to underlying hedge fund sub strategies, based on their relative attractiveness. They will use a bottom-up fund manager selection process and initially include 8 to 12 underlying managers.
“Traditional investments are increasingly challenged by continued low interest rates and higher volatility. In search of diversification, many investors are looking for less correlated sources of return,” said Massimo Greco, Head of European Funds, JP Morgan Asset Management.
“Alternative investments such as hedge funds can help guard against equity market volatility and rising interest rates, but many investors haven’t been inclined to this asset class, whether due to transparency, liquidity, access or costs.
“This fund provides the benefits of diversified exposure to hedge fund managers at lower costs, with no performance fees and with a daily liquidity profile,” Greco said.
Karim Leguel, EMEA head of JP Morgan Alternative Asset Management Hedge Fund Solutions, said: “This portfolio can provide access to multiple sub strategies using liquid instruments in order to provide a core alternative solution. The investment process grounded in specialised research expertise and robust risk management generates a well-diversified alternatives portfolio.”
“Traditional investments are increasingly challenged by continued low interest rates and higher volatility."