Investment by AllBlue into BESF

RNS Number : 4115J

BlueCrest AllBlue Fund Ltd

11 June 2014

 



FOR IMMEDIATE RELEASE

11 June 2014

BLUECREST ALLBLUE FUND LIMITED (THE "COMPANY")

Investment by AllBlue into BlueCrest Equity Strategies Fund 

For several years AllBlue has allocated to six underlying funds, all managed by BlueCrest.  These comprise four discretionary funds and two systematic funds.

The discretionary funds are BlueCrest Capital International, BlueCrest Emerging Markets, BlueCrest Mercantile and BlueCrest Multi Strategy Credit.

The systematic funds are the BlueTrend programme and BlueMatrix.

Historically, AllBlue has had allocations to other funds.  Allocations by AllBlue are only ever made to funds based on merit and based on the aggregated characteristics of the combined funds.  This has enabled AllBlue (AllBlue Limited, Class A GBP) to produce an enviable track record of an average annualised return of 8.9% since inception (1 March 2006), as well as never losing money over any 12 month rolling period.

With effect from 1 June 2014 a further fund is being introduced into AllBlue.  This is the BlueCrest Equity Strategies Fund ("BESF").

BESF is a discretionary, equity long/short fund and was launched in July 2013, since when it is has generated strong returns, despite occasionally difficult equity market conditions.  It operates a multi-manager, multi-strategy approach, covering global equity markets, and is led by Christian Dalban and Jonathan Larkin. Christian and Jonathan, based in BlueCrest's London and New York offices respectively, both have extensive experience gained at J.P. Morgan, Millennium and Nomura.  Since joining BlueCrest they have built a broad, strong team of specialists, typically having an industry or geographical focus, who collectively produce a diversified portfolio for the fund.

The largest element of the strategy is long/short equity trading, primarily from a fundamental perspective, with this being complemented by event driven and equity derivative strategies.

BESF runs a gross exposure that is typically around 500% of net asset value, with the flexibility to vary this level according to opportunity set, and net exposure is typically within +/-20%. The target volatility of the fund is 4-7% with target returns of 10-15% per annum over the long term. The fund implements the same risk framework used by BlueCrest's other discretionary funds, including the two stage stop loss process (in this case the applicable levels are 4.5% and 4.5%). In addition, further portfolio and risk constraints are applied at both the individual portfolio manager and aggregate fund level.

The initial allocation to BESF will be around 5% of AllBlue with the potential to build the allocation over time.

BESF is very different to BlueMatrix, the systematic equity market neutral fund already included in AllBlue, and demonstrates very different return characteristics.  The addition of BESF is highly complementary to the existing 6 funds and BlueCrest believes that it should be return enhancing without notably changing the risk profile of the portfolio or raising correlation to equity markets.

Disclaimer:

This document is directed only at: (i) persons having professional experience in matters relating to investments who fall within the definition of "investment professionals" in Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005; or (ii) high net worth bodies corporate, unincorporated associations and partnerships and trustees of high value trusts as described in Article 49(2) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 and persons who receive this document who do not fall within (i) or (ii) above should not rely on or act upon this document.

This document is issued by BlueCrest AllBlue Fund Limited (the "Company") to and for the information of its existing shareholders and does not in any jurisdiction constitute investment advice or an invitation to invest in the shares or any other securities of the Company or any other entity (body corporate or otherwise).

The Company has used reasonable care to ensure that the information included in this document is accurate at the date of its issue, but does not undertake to update or revise the information, including any information relating to AllBlue Limited and its underlying funds (the "Funds") provided by BlueCrest Capital Management (UK) LLP or any member of the BlueCrest group of companies (as applicable) ("BlueCrest"), or guarantee the accuracy of such information. To the extent permitted by law neither the Company, the Funds, BlueCrest nor their directors or officers shall be liable for any loss or damage that anyone may suffer in reliance on such information.

The information in this document may be changed by the Company at any time. Past performance cannot be relied on as a guide to future performance. The Company's investment strategy is speculative and entails substantial risks. The value of an investment may go down as well as up and some or all of the total amount invested may be lost. This document may not, in whole or in part, directly or indirectly, be taken, transmitted or distributed into the United States of America, its territories or possessions or made available to any national, resident or citizen of the United States of America or any other jurisdiction where applicable laws prohibit its release, distribution or publication. Any failure to comply with these restrictions may be a violation of the law in relevant jurisdictions.

JTC Fund Managers (Guernsey) Limited

Secretary

Tel: Guernsey 01481 702400

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