Herschel Asset Management posts impressive returns since Inception

Date: Thursday, April 29, 2010
Author: Hedgeweek

Herschel Asset Management's Absolute Return Fund has returned 17.86 per cent per annum since inception.

The fund is an Australian domiciled, long short hedge fund investing in ASX listed securities and derivatives.

The fund has a track record of over three years and 11 months as at March 2010, during which time it has provided investors with an annualised return of 17.86 per cent net of all fees, at an annualised volatility of 8.81 per cent and with a Sharpe ratio since inception of 1.31.

The fund recorded a positive return of 0.31 per cent in 2008 and a maximum drawdown since inception of -6.02 per cent in 2008/09.

Since inception in May 2006 the fund has provided an asymmetrical risk profile: 70 per cent of all months to date have been positive with an average return in those months of 2.51 per cent, whilst the average return in negative months has been -1.32 per cent.

The fund's best month was 8.72 per cent against the worst month of -3.82 per cent.

Based on these returns and the overall risk profile, Herschel's Absolute Return Fund has been included in Australian Fund Monitors' Model Equity Manager Portfolio.

Selection in the AFM Model Equity Portfolio is based on a quantitative analysis of 81 equity based funds with at least three years' track record measured by 16 equally weighted key indicators covering both performance and risk.

Herschel Asset Management was established in 2000 and has over AUD800m in assets under management.