BlackRock is set to close its multi-strategy absolute return fund at the end of the month after failing to accrue sufficient assets since launch, Citywire Selector understands.
The BSF Multi-Strategy Absolute Return fund, which was launched as a Luxembourg-domiciled approach in June 2014, will be formally closed on February 28.
This fund was conceived as a ‘go anywhere’ approach, able to invest across equities, bonds, derivatives and other funds, while aiming to remain highly diversified.
However, according to fund data, the strategy only had €47 million in assets under management as at the end of January 2017 and the company has therefore decided to close the fund.
A spokesperson for BlackRock confirmed the closure to Citywire Selector but offered no further explanation for the rationale behind the closure.
Sami Mesrour had overseen the fund since May 2016 when he succeeded Kevin Chuah. Chuah had left the firm to pursue his education as part of a PhD programme. It is understood Mesrour, who is based in San Francisco, remains with the firm.
On a 12 month, total return basis, the BSF Multi-Strategy Absolute Return fund lost 2.8% in euro terms. This compares to a 1.2% return by the average manager in the Alt Ucits – Multi-Strategy sector over the same timeframe.