Fund of the Month April 2015: Laffitte Risk Arbitrage Ucits

Fund Strategy
The Laffitte Risk Arbitrage Ucits Fund was launched in 2007 and hence was one of the first UCITS compliant merger arbitrage funds. The fund is based on short and medium term strategies with a focus on risk management, volatility and capital preservation. Using moderate leverage, the fund targets a return of Eonia +400-700bps with a volatility below 5% and exhibits decorrelation to the equity and bond markets.
The investment process is based on proprietary tools and databases developed for more than 20 years to analyze, monitor and evaluate merger arbitrage opportunities. These software applications allow the fund managers to adopt reactive trading strategies which translate into additional performance. With strict real-time risk monitoring in place and offering daily liquidity the fund aims at investors looking to diversify their bond holdings.


Fund Chart



Fund Facts
Inception date: Dec. 11th 2007
AuM: EUR 40 million
Sharpe Ratio: 1.02
Volatility: 3.03%
1 month performance: 0.93%
3 month performance: 3.81%
12 month performance: 3.67%
YTD performance: 3.05%
Ann. perf. since inception: +2.75%
(All data as of April 10th 2015; retail share class)


Portfolio Manager
Gabriel Teodorescu (pictured Gabriel Teodorescu and Arnaud Yvinecright) and Arnaud Yvinec, both partners, are the Fund Managers. All of Laffitte Capital Management’s four partners are members of the Investment Committee. The four founders have been early players in the field of regulated alternative investments. They have an extensive shared experience as they exhibited a positive track record for 15 years as proprietary traders, having managed more than €11B including a €1B portfolio dedicated to M&A Arbitrage.


About Laffitte Capital Management
Laffitte Capital MaLAFFITEnagement, founded in 2007, is an Asset Management Company, specialising in regulated and liquid absolute return funds.
The four founders are trading experts and have been working together for 20 years. Laffitte Capital Management’s prime objective is to deliver a stable performance uncorrelated to moves in the stock markets and risk control is of utmost importance for achieving the company’s goal.
Laffitte Capital Management is authorised and regulated by the Autorité des Marchés Financiers since 2007.

For more information click here.