HFR Asset Management says its hedge fund assets under management have surpassed $2 billion.
HFR says its funds growth in the past year was due to strong global demand for transparent hedge fund products linked to HFR fund of funds or hedge fund indices. Demand was particularly strong, it says, for structured products, including principal protected notes, options, warrants or total return swaps.
Contributing to HFR’s increase in assets under management in 2003 was the March 2003 launch of HFRX, a family of investable hedge fund indices that have been adopted by some of the world’s leading investment banks and asset managers for both institutional and retail investment products. HFRX consists of eight primary hedge fund strategy indices and an asset-weighted Global Index each providing a statistically pure proxy for the universe of hedge funds.
“HFR has gained widespread recognition for our daily risk management, independent pricing and oversight that is unparalleled in the hedge fund universe and has attracted global demand from some of the world’s most highly-regarded institutions, structured product providers and wealth management firms,” says Wilson “Bill” Santos, Chief Marketing Officer of HFR.
“Because HFR has wide appeal across a broad spectrum of markets we are attracting investors in Asia, Europe and the United States including major banks and brokers who have decided that HFR is the platform of choice for structured hedge fund products.”
The firm claims that the popularity of its hedge fund products reflects strong investor response to daily transparency and independent pricing, comprehensive manager screening and due diligence, sophisticated daily risk management, diversification across styles and managers, and monthly liquidity and timely tax reporting.
“Our continuing growth during the past year is an endorsement from our investors of our proven investment philosophy, vigilant oversight and unparalleled execution,” says HFR’s founder and Chief Executive Joseph Nicholas. “HFR offers a more transparent means to invest in hedge funds than ever before, with the precision to deliver industry performance with a high degree of control. After over ten years of growth, HFR is one of the world’s leading providers of transparent hedge fund products and now ranks in the top 5% of fund-of-fund managers in terms of assets under management.”
Chicago-based HFR was founded in 1993. The firm offers a range of hedge fund investment products: HFRX investable indices, fund of funds, single-manager funds and customized multi-manager funds – in addition to the licensing rights for the HFRX investable indices.