JPM launches Japan Market Neutral Fund
J.P. Morgan Asset Management has launched a Japan Market Neutral Fund for Tokyo-based manager Kaori Tsujino.
The Luxembourg-domiciled Ucits III fund aims to achieve an absolute positive return in excess of cash and generate the return purely through bottom-up stock selections based on valuations. It will make long positions from undervalued stocks and short positions from overvalued stocks that the investment team identify.
Net sector and market exposure will be managed close to zero to minimise industry and market risks and the fund is able to increase or decrease gross exposure to each sector.
It is benchmarked to the British Bankers’ Association (BBA) LIBOR JPY Spot Next and denominated in Yen, Sterling, Euro, US Dollar, Swiss Franc and Swedish Krona.
Tsujino has 16 years of experience in Japanese equity investment and also manages a number of portfolios under the Nippon Neutral Strategy as well as a long only strategy. She said the strategy would benefit from J.P. Morgan's strong in-house fundamental research capability.
"We identify opportunities by comparing long term earnings forecasts for Japanese companies against current share prices. My commitment is to maximise and translate the benefit of such opportunities into the absolute positive returns of the Fund," she said.