Royal & SunAlliance International and Thames River Capital have joined forces again for the introduction of the Mainstay $ fund.
Mainstay $ is a multi-manager offshore fund of hedge funds and is aimed at sophisticated customers who are familiar with hedge funds and who have not been put off by recent market volatility.
The fund will invest in between 15 and 20 hedge funds that follow eight different investment philosophies. These are convertible arbitrage, equity market neutral, merger arbitrage, event driven, equity trading short term, equity hedge defensive, distressed and derivative arbitrage.
The day-to-day administration of the fund will done by Royal & SunAlliance Investments, while the investment decisions will be made by Justin Newdigate at Thames River Capital. Newdigate has also managed the Thames River Capital sentinel and warrior since their introduction in 1998.
The mainstay $ fund is similar to NIB Internationals optimum return fund, which invests in up to 20 hedge funds. The NIB International product is more restrictive however, as it invests in funds in just four investment strategies, covering funds that go long, short, market neutral and merger arbitrage.
According to Standard & Poors the Thames River Capital sentinel fund is ranked 37 out of 51 funds and the Thames River Capital warrior fund is ranked 33 out of 51 funds, based on £1,000 invested on a bid-to-bid basis with gross income reinvested over three years to October 29, 2001.