Novare Investments has received the award for best Fund of Hedge Funds in the Multi-Strategy category at the annual HedgeNews Africa Awards. The Novare Mayibentsha Market Neutral Qualified Fund of Hedge Fund (FOHF) returned 8.3% for 2018 (CPI was 4.5% over the same period).
The fund’s outperformance was largely due to its ability to protect against the adverse market conditions experienced last year. The allocation to fixed income and market-neutral strategies was a key component in protecting against downside events and keeping volatility low. Manager selection also contributed positively to the strong performance.
The Novare Mayibentsha Market Neutral FOHF has a moderate risk/return profile. The fund follows a multi-manager and multi-strategy investment approach. Qualitative and quantitative measures are considered in constructing the portfolio to target the fund’s investment objective.
“We are very proud to have won this award”, says Neil Verster, portfolio manager at Novare Investments.
“We follow a specialist approach to investment management with an innovative research framework. Our approach and philosophy combine to provide clients with superior products that are based on risk cognisant investment performance” commented Kagiso Mathole, portfolio manager at Novare Investments.
The HedgeNews Africa Awards are in their 10th year and are based on risk-adjusted returns for the year, using an established methodology that comprises net returns as well as Sharpe ratio as a measure of volatility. The award in each category ultimately goes to the fund with the highest return over 12 months, provided its Sharpe ratio is within 25% of the top Sharpe amongst the nominees.