Asset Alliance International, the London-based subsidiary of the New York fund of hedge funds firm, is to provide access to its Eastern European fund via structured notes. The move is part of a broader effort to target European investors. The firm is in discussions with two large investment banks that would launch capital-guaranteed notes linked to the fund, said James Parker, managing director, who did not name the banks. "We're a relatively small company; anything we can do to get distribution is fine," he explained.
The Eastern European fund of funds was launched in April, and now holds just over USD20 million. Parker said one of the prospective partner banks is waiting until the fund grows slightly, but added "We're not far off--it should only be a couple of months." The other bank is working on a number of structured products with various firms and as such there is no set timeframe for launching the note.
