This fall Jupiter launched Jupiter Global Levered Absolute Return, part of the Sicav Jupiter Global Fund. Using financial leverage, this fund aims to double the size of the UK-based portfolio managed by James Clunie.
This fund will use the titles of the pre-existing Unit Trust as a base to determine which holdings will be included in the new portfolio; however, it will not be the exact replica of the UK fund. The Global Levered Absolute Return fund will only be available for institutional and professional investors as this product relies on sophisticated investment strategies that widely use derivative finance tools.
The investment style of the new fund will reflect that of the Absolute Return fund, also managed by James Clunie and based in the UK. The team will adopt a bottom-up approach without restrictions in order to build a global equity portfolio.
Being primarily a bottom-up investor, Clunie combines quantitative and fundamental analysis to build his portfolios. For instance, he uses quantitative screenings to identify potential investment opportunities both in the long and short-term. Even though he monitors the macroeconomic context and utilises a top-down approach to mitigate risk, he doesn’t rely heavily on macro factors.
A career in absolute return
In his 27 years career in asset management, James Clunie has made a name for himself thanks to his expertise in the management of absolute return strategies. Among his notable achievement, he has been running Jupiter’s Absolute Return fund since September 2013 as well as managing the strategy for Jupiter Global Absolute Return, which was launched in June 2016 and is now worth about £135m.
Magnus Spence, head of alternatives at Jupiter, said of him: “As interest in James’s investment style has grown, we have been approached by prospective clients including pension funds, family offices and endowments, who would like access to this strategy but have a tolerance for higher volatility. This product has been developed to address this demand. Jupiter’s client base is growing and diversifying, and we are pleased to evolve our product offering in line with this. James is an exceptionally talented manager, and we believe this is an exciting opportunity for professional investors to gain access to his successful absolute return strategy.”