MAN Group has won a mandate to run €1.2bn (£1bn) for German pension fund BVK, as the world’s biggest listed hedge fund firm tries to woo clients after bleeding assets during the crisis.
The mandate, first mentioned in Man’s January trading statement without identifying the client, will see Germany’s largest public pension fund, Bayerische Versorgungskammer invest this year in so-called managed accounts – portfolios where the investor still controls the assets.
Man will provide services such as operational due diligence and risk management, although BVK will choose which hedge funds it invests in.
Man, which last year bought smaller rival GLG to bulk up assets and reduce dependence on computer-driven funds, has been struggling to keep pace with the $1.9 trillion hedge fund industry’s revival since the credit crisis.
In January, the firm revealed it had seen $1bn of net client outflows in its third-quarter, mainly due to one redemption of more than $1bn from an investor switching out of European equities.
Shares in the alternative fund manager edged up 0.7 per cent to close at 282.45p yesterday.
City A.M. Reporter