TORONTO–Feb. 15, 2005–BluMont Capital Inc. (TSX VENTURE:BCC) has announced that its wholly-owned subsidiary, BluMont Capital Corporation (“BluMont”) has launched an offshore version of its BluMont Hirsch Long/Short Fund (the “Fund”), which employs a Canadian long/short equity hedge strategy that was established in January 2001 and has generated an annualized net return of 17.8% and a total net return of 95.2% as of January 31, 2005.
The Fund is advised by BluMont’s Chief Investment Officer, Veronika Hirsch, who is widely regarded as one of Canada’s leading hedge fund managers. Domiciled in the Cayman Islands, the Fund is available in both Canadian and U.S. dollar denominations to investors not resident in Canada and the U.S.
The Fund’s objective is to strive to deliver consistently positive returns each year independent of the S&P/TSX Total Return Index by investing primarily in securities issued by Canadian corporations and mitigating the overall risk of the portfolio through various hedging strategies. Ms. Hirsch’s style uses a qualitative, research-intensive, bottom-up approach to long/short portfolio construction combined with event-driven trading.
The Fund marks BluMont’s inroad into the offshore market and is a response to the growing demand by international investors (including fund-of-hedge funds, family offices, pension funds and endowments) for proven and experienced Canadian managers. Canada’s attractiveness to international investors has been buoyed by recent trends in world commodity prices, the rising value of the Canadian dollar and booming trade opportunities with Asia. The fact that the Canadian economy is more closely linked to commodity prices than the U.S. economy has made Canadian hedge funds highly attractive vehicles for investors seeking to diversify their North American exposure.
“We anticipate strong interest in this Fund as the underlying long/short strategy boasts a very successful track record with over C$80 million in assets under management” said Toreigh N. Stuart, President and Chief Investment Officer of BluMont Capital. “The success of this Fund will allow BluMont to take other Canadian funds offshore.”
About BluMont Capital
BluMont Capital is a leading provider of alternative investment products to Canadian investors. Specializing in hedge funds, the firm offers investors innovative investment solutions that provide enhanced diversification and robust return potential. Established in 2000, BluMont employs almost 50 people nationwide and has approximately C$635 million in assets under management as of January 31, 2005. BluMont is 46.1% owned by Toronto-based Integrated Asset Management Corp. (TSXV:IAM), a leading alternative asset manager with over C$2.6 billion in assets under management and commitments. Further information on BluMont Capital can be found at www.blumontcapital.com.
BluMont Capital Inc. (TSX VENTURE:BCC – News)
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Contact:
BluMont Capital
Toreigh N. Stuart
President and Chief Executive Officer
(416) 216-3566
OR
BluMont Capital
Thomas G.C. Gerginis
Managing Director
(416) 202-6673
www.blumontcapital.com
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