Arrow rebrands hedge funds

Date: Thursday, November 4, 2010
Author: IE Staff

Changes intended to distinguish between funds of funds and single-manager funds

Arrow Hedge Partners Inc. has introduced a new marketing strategy for its funds that showcases the range and specific makeup of its investment solutions, the company said Monday.

The changes include new fund names designed to highlight the portfolio management firm running the funds, and an overall re-categorization of the funds to better identify their primary focus.

The Arrow Hedge offering consists of four principal funds that use a fund of hedge funds approach to investing and 14 single-manager hedge funds that invest following specialized investment mandates.

“The new categories and names better reflect Arrow’s business activity,” says James McGovern, managing director and CEO of Toronto-based Arrow Hedge Partners Inc.

Arrow’s funds will now be classified under four categories. Funds of hedge funds will be included in the “Portfolio Series,” while single-manager hedge funds will be grouped under the “Global Series,” “North American Series” and “Income Series.”

The Portfolio Series includes four multi-manager funds. Each one is constructed and managed to provide stable long-term results and to preserve capital in down markets. Arrow’s flagship fund, Arrow Multi-Strategy Fund, launched January 1, 2002, has been renamed Arrow Diversified Fund. The fund is a globally diversified portfolio that comprises 25 to 30 hedge funds across four broad strategies; offers full position-level transparency; and is fully hedged back to Canadian dollars to mitigate currency risk.

Most of the single-manager fund names have been simplified by removing the Arrow designation. “We wanted to showcase these managers' independence and distinct investment styles,” says Mark Purdy, managing director and Chief Investment Officer of Arrow Hedge Partners Inc. “All our single managers are held to Arrow's conservative risk exposure limits: low leverage, high liquidity and 100% position-level transparency. All have been carefully selected based on their credentials, track record and area of expertise. Accredited investors can access these specific strategies directly to fit their own risk tolerance.”