It is said to be one of the toughest hedge fund strategies to replicate in Ucits III format. So in our first Newcits Masterclass, Jean-Francois Comte of Lutetia Capital explains how his event driven strategy actually works.
Comte runs the Lutetia Patrimoine fund along with his colleague Fabrice Seiman. This is a market neutral, event driven portfolio which focuses on M&A situations. Launched at the end of 2009, it has achieved a positive return in eight of nine months' existence and delivered an overall total of 5.31% since inception, according to the company's figures. Its maximum drawdown has been -0.92%.
The fund's managers are both former M&A investment bankers and aim to apply this experience to identify M&A situations which offer good investment opportunities.