Liberty Ermitage opens global FOHF

Liberty Ermitage launched a global fund of hedge funds at the start of January called the Global Strategies Fund, with proprietary seed capital and commitments to 31 January of about $50m.

While part of the initial capital has come from Liberty Ermitage itself, the fund has also taken in money from some of the firm's existing clients looking to reallocate their investments.

Liberty Ermitage expects to grow the fund of funds portfolio to $100m in the coming months and invest the money in a mixture of arbitrage, macro, CTA and volatility-based strategies. Where the fund invests in long/short strategies it is expected to seek out funds that have the ability to make money on their short portfolio rather than only using shorting as a protective measure.

The multi-fund product aims to achieve returns of 8% to 12% through investments in between 15 and 25 underlying managers.

The fund is registered in Luxembourg and is awaiting approval to list there, as well. Its institutional share class will charge 1.5% annual management fee and carry an incentive fee of 10%. The minimum subscription in the portfolio is $100,000 and it is available in dollar, sterling, euro, Norwegian kroner and Swedish kronor.