Deutsche Asset & Wealth Management's (DeAWM) Aggregator Solutions fund has recently acquired a USD 85 million portfolio of illiquid hedge funds from a Swiss asset manager. The fund closed in August 2013 with commitments from professional investors of USD 1 billion.
The Aggregator Solutions fund has now either acquired or had bids accepted on positions with a net asset value of more than USD 400 million from professional investors since it launched in October 2012. The fund was set up to invest in illiquid or lower-liquidity hedge funds, particularly in situations where market conditions make it difficult for investors to redeem their holdings.
Magnus Lorrain-Smith, Head of Hedge Fund Secondaries at DeAWM, said: "This acquisition adds a diversified pool of hedge funds to Aggregator Solutions' portfolio. At the same time, it provides locked-up investors with liquidity."
He added: "Many hedge fund investors have been struggling to find liquidity since the financial crisis. With DeAWM's deep knowledge of illiquid hedge fund strategies, we have a strong track record of creating bespoke solutions for professional investors who hold illiquid hedge fund shares and that want to sell. These solutions may help to optimize the seller's balance sheet, while also freeing them from the administrative complexity of dealing in the hedge fund secondary market."
The Aggregator Solutions fund is a leading fund in the illiquid space in terms of ready-to-deploy capital. Lorrain-Smith said: "Contrary to market expectations, the liquidity issues in the hedge fund sector have not been resolved. We continue to be able to source opportunities and provide liquidity for would-be sellers."
For further information on the Hedge Fund Secondaries team please contact the Deutsche Bank Press Office:
Deutsche Bank AG
Press and Media Relations
Phone: +44 207 547 2603
Deutsche Asset & Wealth Management
With €931 billion of assets under management (as at December 31, 2013), Deutsche Asset & Wealth Management is one of the world's leading investment organizations. Deutsche Asset & Wealth Management offers individuals and institutions traditional and alternative investments across all major asset classes. It also provides tailored wealth management solutions and private banking services to high-net-worth individuals and family offices.
1 Deutsche Asset & Wealth Management is the brand name for the Asset Management & Wealth Management-division of Deutsche Bank AG and its subsidiaries. The responsible legal entities offering clients products or services of Deutsche Asset & Wealth Management are listed in the respective contracts, sales materials and other product information documents.
This press release does not constitute an offer or a recommendation to enter into any transaction. Please note that investments are subject to investment risk, including market fluctuations, regulatory change, counterparty risk, possible delays in repayment and loss of income and principal invested. The value of an investment can fall as well as rise and you might not get back the amount originally invested at any point in time. Past performance is not a reliable indicator of future results. Hedge funds, such as Aggregator, are only suitable for professional investors who can evaluate the risks associated with investing in them.
Deutsche Alternative Asset Management (UK) Limited (DeAAM), whose registered address is at One Appold Street, London, EC2A 2UU, is authorised and regulated by the Financial Conduct Authority.
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