Blue Sky buys into hedge fund

To focus on distribution to SMSFs

By Vishal Teckchandani
Fri 12 Mar 2010

After snapping up a 50 per cent stake in the hedge fund Apeiron Global Macro, Blue Sky will look to SMSFs and private banks for inflows.

Alternative investments specialist Blue Sky Funds Management has purchased a 50 per cent stake in the Apeiron Global Macro Fund.

The deal will see Blue Sky replace Redwood Capital as the fund's responsible entity and become responsible for its distribution and back office, Blue Sky managing director Mark Sowerby said.

He would not disclose the purchase price of the stake. The fund would be renamed as the Blue Sky Apeiron Global Macro Fund.

Apeiron managing director David Hobart will retain the remaining 50 per cent stake in the fund and continue to be responsible for all its investment decisions, Sowerby said.

"David's job is to keep doing what he's doing, seeking out the best global investment opportunities to generate superior returns - our job is to give him the space, support and resources he needs to succeed," he said.

"We will focus on distributing Apeiron Global Macro to private banks, family offices and self-managed superannuation funds, which already make up a large part of the fund's investor base.

"In due time we will also look at placing Apeiron Global Macro on major platforms so that financial planners and dealer groups can access it."

Sowerby said the Apeiron purchase completes Blue Sky's suite of alternative offerings, which include a private equity fund, real estate fund and infrastructure investment business. Blue Sky manages $130 million.

Apeiron was named best emerging manager in the 2009 Australian Hedge Fund Awards.

The fund's A-Class units returned a total 57.70 per cent in the four years to February 2010.

In 2010, Apeiron's major themes are likely to be sovereign credit risk, growing geopolitical instability and increasing exposure to soft commodities, Hobart said.

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