Following the CSSF approval at the end of November, iM Global Partner has announced it has now launched the iMGP DBi Managed Futures fund with its Partner, Dynamic Beta investments, with EUR60 million in seed money from European investors.
Jamie Hammond, iM Global Partner, Deputy CEO, Head of International Distribution, says: “Managed Futures were one of the best performing asset classes of 2022, and our US domiciled Managed Futures ETF strategy (DBMF) saw tremendous support from investors seeking diversification away from equity markets. For example, managed futures (as represented by the SG CTA Index) had negative correlation of -0.02 with global stocks (MSCI World Index) over the last five years. Due to this, we had many enquiries from European based investors about making this strategy available in a UCITS format, which we have now done.”
Dynamic Beta investments (DBi) is the sub-Manager of the iMGP DBi Managed Futures fund, a new sub-fund of the Luxembourg domiciled UCITS SICAV, iMGP.
Andrew Beer, co-founder of Dynamic Beta investments, says: “Managed futures arguably offer greater diversification benefits to stocks and bonds than private equity, private credit, real estate, commodities and many other common diversifiers – yet few wealth managers and institutional investors in Europe have meaningful allocations. With this fund, we aim to change that.”
iM Global Partner launched this strategy three years ago for the US market and the fund has become the largest Managed Futures ETF in the industry in terms of assets under management (source: etfdb.com as at 30 January 2023).
The US-based DBMF had extraordinary growth in 2022, increasing its assets under management from USD60 million in 2021 to around USD1 billion at the end of 2022 and posting a return of 23.1 per cent in 2022 versus the MSCI World which fell 18.1 per cent (source Morningstar, as at 31 December).