Phoenix Investment Partners, Ltd., the investment management subsidiary of The Phoenix Companies, Inc., has announced an agreement in principle to form a strategic alliance with LJH Global Investments, LLC, a hedge fund advisory firm.
The Phoenix-LJH relationship initially will focus on creating a registered fund of hedge funds product. This is a relatively new development in the marketplace and is geared toward providing individual investors with access to a portfolio of hedge funds requiring smaller investment minimums than other types of hedge funds. LJH will develop and manage the fund, and Phoenix will spearhead sales and marketing to high-net-worth individuals through its investment and annuity distribution systems.
This is the second strategic partnership Phoenix Investment Partners has struck with a fund of hedge funds manager. In June
2001, Phoenix teamed with Arden Asset Management, a New York manager with more than $2 billion in assets, to develop and distribute a fund of hedge funds for institutional investors that Arden manages and Phoenix distributes.
Michael E. Haylon, chief investment officer of Phoenix Investment Partners and head of its alternative financial products division, said, “Phoenix’s objective is to offer a continuum of wealth management products that meet the needs of institutional and high-net-worth investors. We’ve chosen to partner with leading hedge fund of fund managers like LJH and Arden, and believe we now have the hedge fund landscape covered with two of the best.”
“LJH is a leader in creating fund of hedge funds products for individual investors, and we are enthusiastic about this new relationship,” said Donnell A. Segalas, executive vice president of Phoenix’s alternative financial products division. “We believe that, when properly utilized, hedge funds can reduce risk and enhance returns in a diversified portfolio. The fund of hedge funds product is an ideal approach for individuals seeking exposure to this type of investment,” Segalas said.
“The new alliance with Phoenix combines LJH’s expertise in creating fund of hedge funds solutions with Phoenix’s leadership in the high-net-worth marketplace, and provides a winning combination for investors,” said LJH Global Investments President James R. Hedges, IV.