BGI UK small-cap hedge fund

[email protected] Global Investors (BGI), a $1,100bn UK-based fund manager, has launched a UK Smaller Companies Equity Market Neutral fund to try and return double-digit growth and is researching a pan-European version for next year. The $90m Smaller Companies Equity Market Neutral fund has taken enough money to close on the same day as its launch and aims to generate returns, after fees, of 12% to 15% above a cash benchmark. Since 1995 to 2003, smaller companies' alpha has been 22.65% compared to cash return of 5.8% per year, ie an alpha of 16.85. The market neutral strategy means t...