Sloane Robinson, Pharo Management, Kairos Investment Management and Cheyne Capital led the line-up of winners at this year’s 17th annual EuroHedge Awards – which were announced and presented at the European hedge fund industry’s big annual gala dinner last night at London’s Grosvenor House Hotel.
Kairos Pegasus – the flagship hedge fund strategy of the long-established London and Milan-based Kairos group – was an impressive double victor, winning both the European Equity over $500 million award and the overall Fund of the Year award after a stunning performance that saw the fund, a previous New Fund of the Year winner at the EuroHedge Awards three years ago, returning more than 54% in 2017 with a Sharpe ratio of over 10 despite more than tripling its assets under management to almost €2 billion during the year.
Sloane Robinson, one of London’s oldest hedge fund firms dating back to 1993, won no fewer than three of the long/short equity awards this year with three of its funds – SR Global Opportunities (Global Equity under $500 million), SR Global International (Global Equity over $500 million) and SR Global Emerging Market Equity (Emerging Market Equity) – in a year when the firm capitalised in style on the opportunities in international, and especially emerging market, equity markets.
On the back of its stellar return to form, Sloane Robinson was also one of two winners of the Management Firm of the Year award – for only the second time in the history of the EuroHedge Awards – along with Guillaume Fonkenell’s $10 billion Pharo Management group, which also delivered an exceptional year of performance in 2017 across its range of emerging markets-focused macro trading strategies.
All three of Pharo’s main funds – Pharo Gaia, Pharo Macro and Pharo Trading – produced by some distance the highest absolute returns on the year in their respective macro and emerging markets categories, but in all cases were narrowly beaten by other funds with lower returns but higher Sharpe ratios.
Also in close contention for the Management Firm of the Year award again this year was Cheyne Capital – the London-based hedge fund firm founded in 2000 by Jonathan Lourie and Stuart Fiertz that is only one of two groups, along with Mike Platt’s BlueCrest Capital, to have won the firm of the year award on three occasions.
Cheyne – which had completed its hat-trick of management firm awards last year – this year took home two awards for Specialist Credit & Fixed Income (with its flagship Cheyne Total Return Credit strategy, led by John Weiss and David Peacock) and also for Multi Strategy (with its Cheyne Global Equity fund, which is managed by Lourie, and which allocates capital across the various equity strategies managed within the firm).
A number of funds achieved impressive back-to-back victories in their respective categories in 2017 – including Insch Kintore in Managed Futures under $500 million, Selwood Liquid Credit in Credit over $500 million (sharing that award with fellow winner East Lodge Capital Credit Opportunities after a neck-and-neck race that resulted in a dead heat) and Polygon Convertible Opportunity in Convertibles & Volatility (where the Polygon fund now has the remarkable record of winning that award in five out of the last seven years).
GSA Capital, a three-time former winner of the Equity Market Neutral & Quantitative Strategies award with its GSA International strategy, took that award again this year with its GSA QMS fund – while Ross Turner’s Pelham Capital long/short equity firm won the Small Cap Equity award for the second time in three years with Pelham Long/Short Small Cap.
George Michelakis’ Gladstone Lasker was a first-time winner of the European Equity under $500 million award, while Toscafund’s long-running flagship Tosca fund – run by Johnny de la Hey – came through in another high-quality field of global equity managers to win the Specialist Sector Equity award and Polar Capital took the UCITS Equity award with its high-performing UK Absolute Equity Fund.
Richard Deitz’s VR Global, another multiple winner of EuroHedge Awards over the years, was victorious again in the Distressed category this year – while the award for Event Driven was claimed by Copper Street Capital, the recently launched financial sector-focused event-driven manager headed by former Barclays investment bank co-CEO Jerry del Missier.
Other first-time winners at the EuroHedge Awards this year included Serone Key Opportunities in Credit under $500 million, Nykredit MIRA Hedge in Fixed Income, TT International in Macro, Aventicum’s AQS Emerging Markets Corporate Debt Total Return fund in Emerging Markets, GZC Strategic Commodities in Commodity & Currency and Systematica Alternative Markets in Managed Futures over $500 million.
The two Emerging Manager & Smaller Fund awards were won by ex-Sloane Robinson manager Rupert Dyson’s Edale Europe Absolute fund (for equity strategies) and Argo Distressed Credit (for macro, fixed income and relative value strategies) – with the two winning funds notching up spectacular gains of 74% and 65% respectively in 2017.
Man Group’s recently launched Man GLG UK Absolute Value fund took home the New Fund of the Year award for equity strategies, while Caius Capital – a high-quality new entrant in the distressed debt space – won the New Fund of the Year award for macro, fixed income and relative value strategies.
The two Long-Term Performance awards – which judge funds with assets of over $500 million over a five-year period – were won by Zach Mecelis’ Covalis Capital fund in the equity strategies category, and by Alcentra’s Clareant Structured Credit Opportunity Fund II in the macro, fixed income and relative value strategies category.
The EuroHedge Awards for 2017 paid recognition to those funds that had achieved the best risk-adjusted performances last year across a wide range of strategy areas and asset classes. Some 700 people attended the EuroHedge Awards gala dinner, including most of the leading managers, investors and service providers in the European hedge fund industry.
EUROHEDGE AWARDS 2017: WINNERS
EUROPEAN EQUITY – under $500m:
• Gladstone Lasker
EUROPEAN EQUITY – over $500m:
• Kairos Pegasus
GLOBAL EQUITY – under $500m:
• SR Global Opportunities
GLOBAL EQUITY – over $500m:
• SR Global International
SPECIALIST SECTOR EQUITY:
• Pelham Long/Short Small Cap
EMERGING MARKET EQUITY:
• SR Global Emerging Market Equity
• Polar Capital UK Absolute Equity
EQUITY MARKET NEUTRAL & QUANTITATIVE STRATEGIES:
• GSA QMS
CONVERTIBLES & VOLATILITY:
• Polygon Convertible Opportunity
• Copper Street Capital
• VR Global
CREDIT – under $500m:
• Serone Key Opportunities
CREDIT – over $500m:
• East Lodge Capital Credit Opportunities
• Selwood Liquid Credit
• Nykredit MIRA
SPECIALIST CREDIT & FIXED INCOME:
• Cheyne Total Return Credit
COMMODITY & CURRENCY:
• GZC Strategic Commodities
• TT International
• AQS Emerging Markets Corporate Debt
• Cheyne Global Equity
MANAGED FUTURES – under $500m:
• Insch Kintore
MANAGED FUTURES – over $500m:
• Systematica Alternative Markets
EMERGING MANAGER & SMALLER FUND – EQUITY STRATEGIES:
• Edale Europe Absolute
EMERGING MANAGER & SMALLER FUND – MACRO, FIXED INCOME & RELATIVE VALUE:
• Argo Distressed Credit
NEW FUND OF THE YEAR – EQUITY STRATEGIES:
• Man GLG UK Absolute Value
NEW FUND OF THE YEAR – MACRO, FIXED INCOME & RELATIVE VALUE:
• Caius Capital
LONG TERM PERFORMANCE – EQUITY STRATEGIES (5 years):
• Covalis Capital
LONG TERM PERFORMANCE – MACRO, FIXED INCOME & RELATIVE VALUE (5 years):
• Clareant Structured Credit Opportunity Fund II
MANAGEMENT FIRM OF THE YEAR:
• Pharo Management
• Sloane Robinson
FUND OF THE YEAR:
• Kairos Pegasus