Gartmore has today announced the launch of its Japan Absolute Return Fund.
Investing primarily in Japanese equities or equity-related derivative contracts, Gartmore's Japan Absolute Return Fund will, regardless of market conditions, aim to achieve a positive absolute return over the long-term.
The launch follows Gartmore's unsuccessful attempts to merge the fund with its already existing, Japan Opportunities Fund, after current investors vetoed the move.
Commenting, Sheridan Admans, investment adviser at The Share Centre, explained why the fund could prove an attractive investment to investors wanting exposure to Japan.
"The fund's portfolio is a combination of longer-term strategic and more opportunistic tactical positions. The strategic portion of the portfolio is based mainly on ideas from the Gartmore research team and focuses on long-term earning expectations, where the manager's view is different from the market.
"In comparison, the tactical part of the fund is focused on looking for specific events, pricing anomalies or market inefficiencies to drive the share price in the very short term. It is expected the portfolio will be evenly split between the two types of position.
"This type of alternative strategy is not a new direction for Gartmore, which has been managing these types of portfolios for more than ten years as hedge funds, and is now in the fortunate position to bring them to the retail market," he said.
© Fair Investment Company Ltd