Double self liquidating fund
Ren Asset Management is to close two of the frontier market-focused funds overseen by Sven Richter, Citywire Global has learned.The move has seen the independent asset manager liquidate the Renaissance Frontier Markets fund on March 9 and propose the closure of the Pan-African fund on March 30.Shareholders were informed of plans to close the Renaissance Frontier Markets fund on March 6 when the board said it had been informed of forthcoming, large-scale redemptions from the fund.
This compares to a fall of 20.3% by its Citywire benchmark, the SGI Pan Africa NR USD, over the same 28 month period.
Meanwhile, in the period since its launch in June 2012, the Renaissance Frontier Markets fund returned 23.4% in US dollar terms.
This is while the MSCI Frontier Markets TR USD, rose 48% over the same period.
‘One of the reasons we are shutting the Pan-African fund is because it was established as a Luxembourg-domiciled fund.
Historically we had started all our funds in Luxembourg but, and this coincides with the purchase of strategies from Griffin in 2012, we are moving across the put them all on one platform in Ireland.’ Richter, who is head of frontier markets at the firm, will continue to run the Renaissance Sub-Saharan Markets fund, which has $56 million in assets.
The fund had previously been soft-closed, having breached 0 million in assets, but large-scale redemptions occured over 2014.The Renaissance Pan-African fund has lost 17.1% in US dollar terms in the period since launch to the end of February 2015.Meanwhile, Ren Asset said the Luxembourg-domiciled Pan-African fund, which was launched in October 2012, had fallen below the level of assets deemed necessary to make it a viable investment vehicle.According to the fund’s factsheet for the end of February 2015, it had .1 million in assets under management.The highest volume of assets under management since its launch was achieved in September 2013 when it had .9 million in assets, according to Lipper data.Speaking to , Sven Richter explained that the Frontier Markets fund was being closed to allow it be restructured, which would change its domiciliation and remove the requirement for daily liquidity.