The first DIFC domiciled hedge fund “The Constans Crescent Investment Fund” has been launched by Argent Financial Group LLP. The Fund offers a new investment vehicle to qualified investors in the region and represents the opening of the regulated hedge fund business in the Dubai International Financial Centre (DIFC).
The Constans Crescent Investment Fund is one of the first hedge funds focused on investment opportunities in the “Crescent Belt” of Islamic countries stretching between Morocco and Pakistan, including the GCC and North Africa. The Fund will primarily invest in the local public equities across these markets. It will be positioned to take advantage of market movements using a fundamentals-driven multi-directional strategy in order to capture returns regardless of market direction. Currently, most regional funds are long only, leaving investors vulnerable to downward market corrections.
“The Constans Crescent Investment Fund is the first fund in the region to employ a multi-directional strategy focused on the region,” says Mr. Howard Leedham MBE, Senior Managing Director of Argent Financial Group International LLP. “Today’s launch is the result of 12 months work done in close consultation with the DIFC”.
“Argent’s global expertise in the alternative investment market is a welcome addition to the DIFC fund community,” says Sandy Shipton, Head of Asset Management at the DIFC. “We look forward to continued innovation from funds at the DIFC, which will provide wholesale investors in the region with greater choice”.
Investment Data Services Group, which provides specialist investment administration, has been appointed to provide third party administration for the Fund.
The IDS Group was founded three years ago in South Africa and currently has over US$2bn under administration. IDS International (Cayman) Limited has recently been launched to service the international market. Application has been made to the Dubai Financial Services Authority to license and register IDS International Limited in the DIFC so that the Company can provide services specific to the Dubai and Middle East markets.
“IDS has been involved in the South African hedge fund industry since its infancy a few years ago,” says Ian Hamilton, CEO of IDS in South Africa and Chairman of IDS International (Cayman) Ltd. “We have provided administration, support structures and ancillary services to the South African hedge fund industry and have become the leading alternative fund administrator in that region.”
“The Dubai market is in a similar situation to the South African market three years ago and it is the IDS Group’s expertise that we shall offer in Dubai to assist in developing the regional markets,” says James Hume, CEO of IDS International (Cayman) Ltd. “Also, South African-based fund managers looking to expand internationally will have access to the best practice, experience and expertise that they have enjoyed in South Africa. Having the Argent Group as our first client is very exciting. We are confident that other international groups will also see the benefits of setting up investment funds in the region.”