BlackRock launches Asian absolute return fund

BlackRock has launched a Ucits Asian equity long/short fund which is being aimed at European investors looking for less traditional equity investments.

The BSF Asia Pacific Absolute Return fund will invest in 40 to 60 long positions and the same range for short positions. It uses equity swaps, contracts for difference, index futures, exchange-traded funds, and equity options.

Head of Asian equities, Andrew Swan, will co-manage the fund alongside Oisin Crawley, co-head of research for the Asian equities team. A team of 21 based in Hong Kong and Taiwan will support the fund.

BlackRock said the fund will target positive returns in all market conditions, looking for areas of overlooked returns, and short positions will come from internal and external pressures on companies.

Alex Hoctor-Duncan, head of retail for Europe, the Middle East and Africa at BlackRock, said investors were looking beyond traditional equity and fixed income markets for steady sources of positive, absolute returns.

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