Key Takeaways
- • LGT Capital Partners (LGT CP), a global alternative investment specialist managing over US$75 billion in assets, is launching the LGT Multi-Alternatives Australia Fund, its first fund in the Australian market.
- • The fund combines private market holdings in private equity, real estate, infrastructure and private debt with liquid alternatives including insurance-linked securities (ILS), hedge funds and alternative risk premia.
- • Equity Trustees is serving as responsible entity and distribution partner, positioning the fund for wholesale and institutional investors in Australia and New Zealand.
- • LGT CP's ILS capability is run through its LGT ILS Partners Ltd unit, which offers private ILS and collateralised reinsurance and catastrophe bond strategies.
Summary
LGT Capital Partners (LGT CP), the alternative investment arm of the LGT Group owned by the Princely House of Liechtenstein, will launch a multi-strategy alternative investment fund with an insurance-linked securities (ILS) component in Australia, according to Insurance Business. The vehicle, the LGT Multi-Alternatives Australia Fund, is the firm's first fund in the Australian market. LGT CP manages over US$75 billion of assets.
The fund has core holdings in private markets, including private equity, real estate, infrastructure and private debt. It also allocates to liquid alternatives, including ILS, hedge funds and alternative risk premia. LGT CP's ILS exposure is managed by its dedicated ILS specialist team within LGT ILS Partners Ltd, which offers insurance and reinsurance-linked securities strategies focused on private ILS or collateralised reinsurance and catastrophe bonds.
LGT CP has partnered with Australian firm Equity Trustees as responsible entity for the fund and to assist with distribution, according to Artemis. Equity Trustees said wholesale and institutional investors in Australia and New Zealand are increasingly adding alternatives to their portfolios, making this a favourable time to launch a new alternative strategy. Russell Beasley, executive general manager for corporate trustee services at Equity Trustees, said the firm was "delighted to be supporting a global asset manager of such scale with the launch of their first fund in the Australian market."
Nathan Pensabene, principal and head of LGT CP's Australian subsidiary, said the firm had seen strong interest in its first dedicated fund for Australian and New Zealand investors and was impressed by Equity Trustees' local market knowledge during due diligence and onboarding. LGT CP plans to make the fund available to institutional and wholesale investors in Australia. Pensabene added that the fund will invest alongside LGT's founders, employees and other investors, building on more than 20 years of alternative investment experience.
The fund has core holdings in private markets, including private equity, real estate, infrastructure and private debt. It also allocates to liquid alternatives, including ILS, hedge funds and alternative risk premia. LGT CP's ILS exposure is managed by its dedicated ILS specialist team within LGT ILS Partners Ltd, which offers insurance and reinsurance-linked securities strategies focused on private ILS or collateralised reinsurance and catastrophe bonds.
LGT CP has partnered with Australian firm Equity Trustees as responsible entity for the fund and to assist with distribution, according to Artemis. Equity Trustees said wholesale and institutional investors in Australia and New Zealand are increasingly adding alternatives to their portfolios, making this a favourable time to launch a new alternative strategy. Russell Beasley, executive general manager for corporate trustee services at Equity Trustees, said the firm was "delighted to be supporting a global asset manager of such scale with the launch of their first fund in the Australian market."
Nathan Pensabene, principal and head of LGT CP's Australian subsidiary, said the firm had seen strong interest in its first dedicated fund for Australian and New Zealand investors and was impressed by Equity Trustees' local market knowledge during due diligence and onboarding. LGT CP plans to make the fund available to institutional and wholesale investors in Australia. Pensabene added that the fund will invest alongside LGT's founders, employees and other investors, building on more than 20 years of alternative investment experience.
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