Arrow Hedge Closes its Epic Capital Fund

Date: Wednesday, August 6, 2003

The Arrow Epic Capital Fund will close to new investment, according to Jim McGovern, managing director and chief executive of Arrow Hedge Partners Inc. A long/short Canadian equity fund advised by Epic Capital Management Inc., Toronto, the fund will now only be available through Arrow Hedge’s funds of funds. The firm’s hedge's fund of funds products are: the Arrow Multi-Strategy Fund; the Arrow RSP Multi-Strategy Fund; the Arrow Multi-Strategy Notes, Series 1 and 2; the Arrow Global Long/Short Fund; and the Arrow Global RSP Long/Short Fund. "The Arrow Epic Capital Fund continues to be one of the best-performing long/short equity funds in Canada. The exceptional performance of the fund and the support of investment advisers has led to a substantial increase in assets for the fund," Mark Purdy, managing director at Arrow Hedge Partners, said in statement. The strategy has capacity for C$100 million (US$72 million), but officials at Arrow Hedge had set aside a preset amount of capacity. The assets were getting close to that capacity limit and officials decided to leave room for the existing funds of funds, Mr. Purdy said. The investment objective of the fund is to maximize returns through the purchase and short sale of primarily Canadian listed or over-the-counter quoted securities. Arrow Hedge currently manages over C$150 million (US$109 million) on behalf of Canadian investors, in several funds of funds and single-strategy funds managed in partnership with emerging Canadian hedge fund managers.