Antarctica Asset Management believes that most investment portfolios should include hedge funds as they provide exposure to specific streams of returns that cannot be captured through traditional asset classes. They also reduce the overall impact of traditional risk factors on portfolio performance. This increases the probability of delivering less market dependent and more consistent portfolio returns. Hedge funds offer superior risk adjusted returns and dampen volatility of an overall portfolio over an investment cycle via the creation of alpha and low beta to markets.
However, matching the market opportunity set with the hedge fund manager's ability to deliver returns whilst identifying the risk factors that a manager seeks to capture on a continuous basis is difficult and complex. In addition an investment in a private investment vehicle managed with a high degree of flexibility exposes investors to a myriad of additional risks that need to be understood and mitigated. The Antarctica Asset Management team has the substantial experience, resources and focus required, to assist clients in investing in hedge funds to achieve their investment objectives.