Fulcrum Alternative Managers Fund (FAM)
Innovative exposure to skill-based investment strategies run by managers with aligned incentives that seek to diversify core portfolio holdings.
investment objectives
investing
Introduction
Fulcrum Alternative Managers (FAM) is our longest-running multi-manager solution, with a continuous track record of more than a decade. Offered via a weekly dealing UCITS structure, its objective is to generate a return of Cash + 3-5% over rolling 5-year periods with a volatility of 3-5% and an equity beta below 0.2. We allocate exclusively to liquid UCITS hedge funds and negotiate aligned outcome-based fee structures with established teams seeking to launch new funds.
This results in a targeted portfolio of 15-20 fund holdings across Equity Long/Short, Relative Value, Event Driven, Systematic and Discretionary Macro strategies. We believe clients should not pay more than 30% of gross alpha in fees and focus our extensive qualitative and quantitative research process on achieving this goal while meeting our risk and return targets.
Investment Universe
Global ucits fund managers
- Equity Long/Short
- Relative Value
- Discretionary and Systematic Macro
- Event Driven
investing
Key Differentiators
- Provides innovative exposure to diversifying skill-based strategies
- We pursue “first mover advantage” by seeding new UCITS funds from established teams
- Competitive outcome-based fee structures
- UCITS governance: liquidity, risk management and transparency
Investment Philosophy
Human ingenuity is a powerful force shaping investment outcomes for clients. Fulcrum Alternative Managers is dedicated to vetting and underwriting demonstrated investment skill, which is by definition rare. We act on our clients’ behalf, scouring the investment universe for promising skill sets, build portfolios to meet client needs and monitor investments with a focus on providing strong capital discipline. We position ourselves in the investment value chain to be aligned with clients’ financial goals, and we are nimble because the task demands it.
Investment Process
Structured decision-making process via Investment Committee
Establish Five Key Ingredients for Competitive Advantage:
2) Experienced Risk Takers
3) Targeted Inefficiencies
4) Effective Controls and
5) Sustainability Policy & Approach
Explicit underwriting/scoring for each investment based on Four Key Factors:
2) Diversification
3) ESG
4) Terms & Conditions
Extensive Operational Due Diligence with veto power
Continuous daily monitoring vs. our expected path of returns
Collaborating
Leveraging Fulcrum's Capabilites
The team draws on the investment capabilities of Fulcrum Asset Management’s deep resource of investment professionals, as well as external manager inputs. Of particular importance is:
Discretionary
Strategies
Alternative
Solutions
Quantitative
Strategies
The Team
David Merton is the lead portfolio manager for the Fulcrum Alternative Mangers Fund, which is overseen by the Fulcrum Alternative Solutions Investment Committee.
Contact Us
If you have any questions, do contact us and we would be happy to have a chat.
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