Odey Asset Management has introduced the Odey Latham global fund, an
offshore Oeic that uses hedging techniques.
The fund aims to provide high returns with low volatility whatever the
conditions of the stockmarket by applying long and short hedging techniques
to stock selection. Fund manager Mark Latham goes short by selling stocks
he thinks are overvalued and long by buying stocks when their price has
Latham joined Odey in February 2001. He previously managed the digital age
hedge fund at Digital Capital. Between 1987 and 2000, he managed global
equity, resource and US funds for Barings, including the global resource
and world opportunity funds.
At Odey, Latham will have a universe of 17,000 stocks to choose from,
covering different countries and sectors. He will take a top-down approach
to narrow the stocks down to a small number of his best ideas. The stocks
are analysed on turnover, management and ownership.
The fund could suit high-net-worth investors who can take an adventurous
path if they are not satisfied with more conventional funds.
But this fund is riskier than a fund of hedge funds that uses different
management styles as it is restricted to one strategy and one manager.