24 February 2022
Trium Capital, the multi-PM alternatives asset manager based in London and Dublin, has launched the Trium Alternative Growth Fund as investor demand for uncorrelated returns strategies continues to grow in the face of higher market volatility and rising inflation.
The UCITS fund is managed by Toby Hayes CFA, who joined Trium in 2021, and has pioneered the use of risk premia indices to deliver uncorrelated returns in UCITS portfolios over his 20+ year financial services career. The Fund has launched with an initial £15m in assets. George-James Hickey has joined Trium Ireland as a Director of Sales and Investor Relations to work closely with Toby Hayes to promote the strategy among DFMs and institutional investors. Hickey, worked with Hayes in a previous role at Fortem Capital.
Targeting annual returns of 5-7% over the medium to long term, the Trium Alternative Growth Fund invests in a core portfolio of alternative premia strategies across the asset class spectrum. These strategies seek to provide capital growth independent of equity market cycles and macroeconomics. Toby Hayes identifies and selects distinct types of structural distortion opportunities across equity, fixed income and commodities markets, combining these independent return drivers into a well-diversified multi-asset portfolio.
The Fund will also make a smaller allocation to opportunistic investments that meet strict capital preservation and investment return criteria, providing additional diversification and enabling the Fund to more effectively take advantage of market mispricings.
The specific structural distortion opportunities that are included in the Fund depend on market conditions, as some perform best in higher volatility or inflationary environments, while others are better suited to calmer environments. Examples include trades based on the fixed income yield curve shape, index rebalances, congestion risk in crowded trades and commodity markets futures curves based on seasonal harvest and production cycles.
Toby Hayes, portfolio manager of the Trium Alternative Growth fund, says: “The launch of this fund comes at a time when investors are increasingly keen to integrate strategies that can deliver truly uncorrelated returns. Implementing the process I have refined over two decades, I select from a range of strategies deriving returns from structural distortions, building a diversified portfolio I believe can provide reliable returns across a wide range of market conditions, while maintaining near zero correlation to equity and bond markets.”
Donald Pepper, co-CEO of Trium Capital, says:“We seek to back strategies which we believe will provide investors with steady returns even as inflation proves not to be transitory and interest rates and volatility increases. The launch of the Trium Alternative Growth Fund provides investors with access to Toby’s pioneering uncorrelated strategy which harnesses Toby’s longstanding and deep technical expertise in the structural return space.”