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October update
Watch the BTIM investment team present their views on current market conditions and the outlook for investors.
Global alternative investments: Grosvenor
Grosvenor Capital Management, LP ("Grosvenor") is one of the largest funds-of-hedge funds managers in the world. Through Grosvenor, BT Investment Management provides investors with exposure to a range of alternative investment strategies via a diverse range of international hedge funds. Many of these funds are not generally available to Australian investors.
Grosvenor believes that an investment approach that uses absolute return strategies, superior managers and thoughtful and disciplined portfolio construction can generate attractive returns with low levels of volatility and a low correlation to traditional equity and fixed income markets. As a result it can be a valuable addition to an investor’s overall portfolio.
Grosvenor consistently implements its core philosophy by adhering to the following principles:
Absolute return strategies
Grosvenor generally focuses on using hedged investment approaches that seek positive returns regardless of the direction of traditional equity and fixed income markets.
Superior investment managers
Grosvenor invests with investment managers that it regards as among the most talented available within each strategy.
Systematic diversification
Grosvenor seeks to combine strategies that have demonstrated a relatively low degree of correlation to each other into a broadly-diversified portfolio with the aim of reducing volatility and mitigating strategy and market risks. It selects multiple investment managers within each strategy in order to provide style diversity and reduce manager risk.
Grosvenor’s investment approach is driven by a comprehensive and disciplined investment process comprising:
- Thorough manager and strategy due diligence
- Strategic portfolio construction
- Continuous manager and portfolio monitoring
Grosvenor is responsible for the overall investment process and comprehensive portfolio reporting to BTIM.
BTIM investors can gain exposure to Grosvenor’s global hedge fund strategies through a selection of BTIM’s diversified funds and via specialist alternative investment funds. Investors who are ‘U.S. Persons’, within the meaning of Regulation S under the U.S. Securities Act of 1933, are not eligible to invest in Grosvenor related products offered by BTIM.
See below for Grosvenor managed BTIM funds:
© BT Investment Management 2008