H2O AM to reopen frozen funds on mid-October

Royaume-Uni
On the 09/23/20 at 7:43AM

by

Adrien Paredes-Vanheule

The Natixis affiliate announced a simultaneous reopening of its frozen funds on 13 October.

London-based asset manager H2O AM, whose funds are frozen since 28 August due to illiquidity issues, is planning to authorise investors subscriptions and redemptions in its funds again as from Tuesday 13 October after 12:30pm CET. The seven funds concerned are H2O Adagio FCP, H2O Moderato FCP, H2O MultiBonds FCP, H2O Allegro FCP, H2O Vivace FCP, H2O MultiStrategies FCP and H2O MultiEquities FCP. 

The Natixis Investment Managers affiliate said in a statement that the side-pocketing of private instruments present in the funds, has begun this week and that it should be completed on Thursday 8 October. It had stated in August that the operations would only take four weeks before the reopening of the funds.

“The reason behind this later-than-anticipated reopening relates to the significant legal and operational work that is being achieved in order to split the current funds, create seven new funds and almost 100 new share-classes, and register them in different international jurisdictions.

“Also, as it was not possible for complexity reasons to complete the side-pocketing of the seven funds on the same day, we had the choice between segregating and reopening them sequentially, or waiting for the last fund to be split in order to resume the daily subscriptions in & redemptions out of our seven Global Macro funds,” the company argued.

It added that it favoured a simultaneous reopening of the funds at the end of the side-pocketing process in order to preserve investors' equal treatment. H2O AM will communicate on H2O Fidelio and H2O Deep Value funds in the coming weeks.