SEB opens fund to UCITS format

2014-10-10

Northern European banking group SEB has made its Dynamic Manager Alpha fund accessible to retail investors via its new UCITS format.

The fund was launched in 2005 as a managed account and has a 7 year track record, returning consistent positive growth every year since inception. The fund was launched in Luxembourg Part II format in 2008 and received a gold rating from S&P in 2011, with current AUM of $170 million.

“As retail investors become more sophisticated and independent in making their investment decisions, they continue to ask for access to institutional products which offer high-quality, security and returns,” said Kerstin Cooley, Senior Product Manager, Hedge Funds at SEB. “They are now an increasingly important segment in our overall investor base, and over the last years have shown growing interest in our investment strategies. The UCITS format of DM Alpha is therefore the logical next step in its evolution. It enables retail investors to invest in a proven product which has consistently generated above average returns, and we anticipate that the industry will further extend the availability of sophisticated investment vehicles to a broader audience.”


DM Alpha has generated a return of 24.46% since inception in 2005, offering investors exposure to a diversified portfolio by extracting the "alpha" from mutual fund returns through disciplined market risk hedging. The funds are selected by a structured qualitative and quantitative process to deliver a high risk-adjusted return, while the hedging strategy aims to ensure market neutrality. The strategy offers daily liquidity and is available in fund format through swap and certificate. 

The new UCITS format is currently available to retail investors in Luxembourg and Sweden and will be passported to investors in further jurisdictions over the coming weeks.