Stockholm (HedgeNordic) – Alternative asset manager Optimized Portfolio Management (OPM) merged two of its funds of hedge funds at the end of August to improve management efficiency, streamline the fund range and reduce costs. On August 30, OPM Absolute Managers was merged into the younger OPM Multi Hedge, with both vehicles employing a similar approach of investing in foreign and Swedish absolute return funds.
The merger between OPM Absolute Managers and OPM Multi Hedge was completed on August 30 based on their net asset value figures as of August 29. The fixed annual management and performance-based fees charged by both funds were identical, except for their respective B share classes. OPM Multi Hedge’s B share class charges an annual management fee of 1 percent, whereas the same share class of OPM Absolute Managers charged a fee of 1.2 percent. The units held by the former investors of OPM Absolute Managers were exchanged for units in the corresponding share class in OPM Multi Hedge.
Martin Alm (pictured), who had been managing both OPM Absolute Managers and OPM Multi Hedge before the merger, will leave OPM at the end of September. Starting with September 1, Simon Reinius is responsible for the day-to-day management of the surviving fund with assistance from senior analyst Emanuel Furubo. Launched in June of last year, OPM Multi Hedge invests in a portfolio of five to 15 UCITS-compliant hedge funds, which enables the fund to provide daily liquidity. The fund of funds favours investments in macro-oriented, equity market-neutral and managed futures strategies, all of which tend to exhibit low long-term correlations with equity markets.