The fund will be launched on Deutsche Bank’s Ucits platform in December and will mirror the long-biased equity long/short strategy Cooperman uses to run his $1bn Omega Overseas Partners hedge fund.
This invests mainly in US mid and large-cap companies and posted a loss of 7.58% in September, compounding a loss of 12.36% year-to-date at the end of that month, according to HSBC Private Bank data. Hedge funds in general saw a decline in September, however, with the Hennessee Hedge Fund Index declining 3.7% in the month, with hedge funds suffering their worst quarter since the Q4 2008.
In the first month of Q4 Omega Overseas Partner Fund has bounced back somewhat, up circa 10.9% in October.
Cooperman was involved in the creation of Goldman Sachs’ asset management arm and worked for the bank for 25 years, finishing up as general partner, chairman and CEO of GSAM.
He founded Omega Advisors in 1991 and remains its chairman and CEO.
Tarun Nagpal, Deutsche Bank’s head of fund derivatives, said: "Partnering with hedge fund veteran Leon Cooperman represents another key milestone for Deutsche Bank and is testament to our investors that dbalternatives will strive to provide access to the world’s leading hedge fund managers in Ucits.
"We are confident that Leon’s expertise will make the planned fund attractive to investors."
Earlier in the month Portfolio Adviser reported ML Capital Asset Management was to launch two new funds on its MontLake Ucits platform.
At the time ML Capital’s CEO Cyril Delamare said Ucits provided an ideal framework for making hedge funds more accessible to retail investors. This is something both Deutsche Bank and ML Capital, at opposite ends of the scale spectrum, plan to do more of.
Deutsche Bank’s alternatives arm, dbalternatives, has over $12bn in assets across managed accounts, Ucits and ETF products and provides access to what it terms "some of the world’s premier hedge funds".
Deutsche Bank declined to reveal the minimum investment limit for DB Platinum Omega, but confirmed that the fund is aimed at retail and institutional investors.
