The Raven Rock Income Fund, advised by the managers of Raven Rock
Capital LLC, targets investors seeking to complement or diversify a
core fixed income portfolio.
TORONTO, Sept. 8, 2011 /CNW/ - Arrow Capital Management Inc. today
announced the launch of the Raven Rock Income Fund.
The Fund will invest primarily in U.S. convertible and high yield fixed
income securities. The Fund's investment objective is to generate
strong risk-adjusted absolute returns with low volatility. The fund
aims to perform through the market cycle. Fund returns will come from
both income and capital appreciation.
Arrow Capital completed its due diligence process on this manager and
allocated to this fund through their Arrow Diversified Fund and Arrow
Enhanced Income Fund in early 2010. The Fund is advised by an
investment team led by Nate Brown, Guy Caplan and Bobby Richardson of
Raven Rock Capital LLC, and is now available for purchase on a
standalone basis by accredited investors.
The fund manager combines fundamental credit research with active
security selection to source attractive opportunities within the
corporate credit markets. The investment team targets positions with
the potential to profit from special events. The portfolio is
dynamically allocated to two strategies: Long/Short Directional Credit
and Relative Value Credit. The Directional Credit component employs
fundamental research to analyze credit quality, and then optimal
security within the capital structure is selected to maximize
risk-adjusted returns. The Relative Value component profits from
inefficiencies in the pricing of two similar securities, which includes
strategies such as convertible arbitrage, capital structure arbitrage,
and industry pairs trades.
The Raven Rock Income Fund offers a seasoned investment team with over
60 years of combined experience managing institutional assets investing
in fixed income securities. The team's has a successful 12 year history
of working together through multiple market cycles. The investment
strategy's dynamic allocation process does not tie the portfolio to any
single asset class, giving the managers flexibility to pursue the best
opportunities in the marketplace.
The Fund will pay a tax-efficient monthly distribution to unitholders of
$0.055 per unit, which is the equivalent to a little over a 6% current
About Capital Management Inc.
Arrow Capital Management is an employee-owned company, founded in 1999
by James McGovern. Arrow's expertise in active portfolio management and
manager selection is evident in its strong, diverse platform, which
provides our clients with access to a global selection of outstanding
alternative investment funds. One of the most experienced alternative
investment fund companies in Canada and with an extensive network of
global resources, Arrow has successfully navigated its clients through
all types of market conditions. Arrow Capital Management is a founding
member of AIMA Canada (Alternative Investment Management Association)
and is a substantial co-investor in its own funds. Arrow Capital
Management is based in Toronto, Canada, with sales offices in
Vancouver, Calgary, and a joint venture relationship in London, UK with
Generation Asset Management (UK) Limited. Arrow Capital Management
currently oversees more than CDN$1.2 billion on behalf of high
net-worth and institutional investors globally.
About Raven Rock Capital LLC.
Raven Rock Capital LLC is based in Chapel Hill, North Carolina. The
three managing partners have worked together since 1999 and have a
successful 12 year institutional track record, having previously
managed over $3.5 billion at a convertible arbitrage hedge fund.
Nate Brown, Head Trader and Portfolio Manager, was the Head Trader and
Senior Portfolio Manager for the Argent Funds Group where he was
responsible for portfolio strategy, trading ideas and trade execution
for all of the Argent portfolios. As a Managing Director, he was
responsible for managing the operations, accounting, and information
technology departments of the firm.
Guy Caplan, Chief Risk Officer and Portfolio Manager, was the Portfolio
Manager for the Argentum Multi-Strategy and Argent Funds Group's Low
Leverage products. As a Managing Director, he was responsible for the
marketing function and business development. Guy is originally from
Vancouver and spent much of his professional career working in the
Canadian financial industry.
Bobby Richardson, Head of Research, was the Director of Research and
Portfolio Manager of the Classic products for the Argent Funds Group.
He was responsible for fundamental credit and equity analysis for the
funds. As a Managing Director, he was responsible for managing the
operations, accounting, and information technology departments of the
SOURCE Arrow Capital Management Inc.
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