Alternative Investment Awards 2017

www.wealthandfinance-intl.com 5 Best Performing Macro Strategy Fund (1 year) Adar Capital Partners Ltd. (ACP), draws on a collective experience of over 25 years in the investment industry to deliver superior support and advice to its clients, as well as providing an investment product, The Adar Macro Fund. We profile the firm and its core fund to find out more about the secrets behind its success. ACP provides investment advice to institutional investors, family offices and private investment funds. The Adar Macro Fund, ACP’s primary fund manages assets in excess of $1.5 Billion USD. Led by the fund’s founder and CIO, Zev Marynberg, Adar has developed a very successful investment strategy and historical track record with a main focus on Latin American and European financial markets. With over 25 years of global investing experience, Mr. Marynberg identi- fies unique investment opportunities through macro research utilizing a fundamental analysis of investments in emerging markets coupled with extensive local market knowledge of the countries in which Adar makes investments. The management team of ACP has more than 25 years of experience in investment banking, risk management and compliance. ACP has developed strong relationships with investment banks and institutions throughout the regions where the fund invests. ACP manages its invest- ment risk with a balanced asset allocation methodology and maintaining low leverage ratios. Risk management is a core component in all of our investment decision processes. The company has offices in Geneva, Madrid, Jerusalem and an affiliate in New York, offering a true global reach. The firm’s flagship investment product, the Adar Macro Fund, seeks to achieve high-interest income and capital appreciation through invest- ment in a combination of different fixed-income and equity securities, with particular attention to European and South American markets. In managing the Fund’s portfolio, the Investment Manager takes into account such factors as the credit quality of issuers; changes in and levels of interest rates; projected economic growth rates; volatility; capital flows; debt levels; liquidity; trends in inflation; and anticipated movements in foreign currency and governmental initiatives. The Fund’s portfolio typically contains fixed-income and equity secu- rities, notes, corporate bonds, commercial paper, euro-time deposits, euro-depository receipts representing certificates of deposit, bank loans and other non-securitized extensions of credit made to sovereign and corporate issuers. Some derivatives are used when the fund manager feels it’s justified. Unlike most of the competitors the Fund has no target to diversify per se. The fund looks for investment opportunities, assets undervalued by fundamental analysis, and countries where macro conditions are on the way to improve substantially. Those good opportunities cannot be 50, and also not 20. The Fund concentrates in 5 to 10 investments where high current yield and/or outstanding expectations for capital apprecia- tion are visible. Risk can be limited when cheap, liquid assets, mostly sovereign backed, with limited leverage, and denominated in hard currencies are purchased, and ACP do not invest more than 25% of its assets in one country in order to spread the risk and reduce the chance of exposing their investors to unnecessary issues. Overall the Fund, and ACP’s extensive investment research, is focused in 5 to 10 opportunities, where there is a kind of “capital protection” if the firm buy very cheap, and there is a tremendous upside if a funda- mental change of the macro policies of a country are close to happen. Flexibility is a key factor when managing a portfolio. If ACP made a mistake thinking what would not happen, then it acts with celerity and on a rational way, which enables it to be able to change its holdings and re focus. Buying cheap good economic fundamentals, collecting high coupons, and letting time do its work, is our philosophy since we started manag- ing hedge funds in 1998. Since the inception of The Fund, and since our beginning as portfolio managers 25 years ago, we repeat to our investors and ourselves, that we do not care about so much volatility, we care about investment value. Looking ahead, Volatility is a significant issue when you invest with a short term horizon, or when you have an amount of leverage that will impede you to keep your investments when markets go the opposite way. Short term investment is not the focus of the Adar Macro Fund. Leverage yes. Leverage allows the acceleration of the investment process. In addition, Value investment and a medium low level of leverage are the combination ACP favour, and moving forward the firm will contin- ue to focus on this strategy. Those precepts are behind its portfolio strategy. When markets appraise a development as too good, at the end is not so good. The opposite, bad news are in general not so bad news. Markets tend to exaggerate both positive and negative news. Investment opportunities arise as a consequence of those exaggerations, and ACP will continue to take advantage of these as it looks towards a bright and prosperous future. AI170001