A Danish institutional investor is preparing to allocate €10-15 million to a multi-strategy fund of hedge funds. The mandate will be awarded to a single manager and is designed to provide diversified exposure across at least five different strategies. The investment aims for an absolute return of risk-free plus 2-4 percent net of fees, with a target volatility of 4-7 percent and minimal correlation to equities and fixed income.

Mandate details

• Absolute return target: Risk Free + 2-4%, Net
• Style: Multi-Strategy solution with a balanced risk profile
  • Minimum 5 different strategies
  • Target volatility of 4-7%
  • Correlation to equities and fixed income close to zero
  • 12-month rolling drawdowns should be less than -20% (Soft)
• Investment Space: Liquid assets. No private investments in the strategy

Minimum requirements

• Track Record: Minimum 5 years within the proposed strategy (hard restriction).
• Minimum strategy/composite AuM: $750m (Soft)

Other criteria

• Liquidity: Preferably monthly, quarterly accepted.
• Leverage constraints: Preferably unlevered share class (Soft)
• Reporting: Monthly/quarterly review of performance and attribution across strategy buckets (for multi-strategy).
• Competitive fee level and TER are important 

ESG

• ESG: Signatory to UN GC. Ambitious ESG integration is viewed positively in the selection process. 
• UN PRI Signatory: Please disclose signatory status
• SFDR classification: Please disclose which article the fund is. Article 8 preferred.
• Exclusion Policy for the strategy – please attach your exclusion policy if you have it.

Investment vehicle

• Fund/Pooled vehicle, e.g. UCITS, AIF, etc.
• No European Union tax haven blacklisted countries where the vehicles are incorporated.
• “Traded via Nordic banks” + question

Process outline

• Shortlisting/Implementation during 2025 (Indicative)

Performance data

• Preference for EUR hedged (Gross of fees)
• USD (unhedged) is also accepted. 

Deadline
October 14, 2025 (Cut-off: Midnight CET, Expiry date inclusive)

Questions?

To review the search and apply, asset managers need to register here on globalfundsearch.com and locate the respective RFPs.