Two partners of Indus Capital, Sheldon Kasowitz and Ethan Devine, are responsible for this strategy. All five founders of Indus Capital worked under Stanley Druckenmiller at Soros Fund Management and founded Indus Capital in 2000. As of May 2011, Indus Capital manages approximately $5 billion across all of its strategies that include, without limitation, pure Japan, Asia-ex Japan and pan-Asian small cap funds, and European equity.
Although a sophisticated UCITS III, the UCITS fund would also satisfy the simple UCITS risk ceiling of 200% commitment, or gross exposure. It is typically expected to run at inside half of its sophisticated risk limit: volatility capped at double that of the MSCI Asia Pacific index. The UCITS fund is currently operating at approximately one sixth of its risk budget (value at risk), which corresponds with 30% net long exposure at present. Since Indus Capital is typically a long term buyer of the Asian growth story, the UCITS fund is not expected to be net short – Indus Capital’s usual appetite for equity beta is between 20% and 40% for the UCITS fund.
Bottoms-up, fundamental stock-pickers Indus include Australia and New Zealand in their pan Asian universe, which also encompasses Japan, China, Indonesia, Taiwan, India, and Korea as well as more liquid names in smaller markets like Thailand or the Philippines. Indus Capital does not currently expect to invest in central Asia and frontier markets, although it may do so if it is consistent with any applicable fund’s investment objective.
Key details
Fund name: Indus PacifiChoice Asia Fund
Management company: Indus Capital Advisors
Promoter: FundLogic (Morgan Stanley)
Status: Open
Inception date: 12th January 2011
Strategy
Kind of fund: Hedge Fund
Strategy group: Long/short
Region: Asia All
Asset classes: Equities
Particulars
Currency: USD, EUR, GBP
Share class name: Class I USD
ISIN: IE00B66Z2486
Bloomberg ticker: INPCAIU ID
Domicile: Ireland
Listing: Irish Stock Exchange
Fund structure: Investment Company with Variable Capital
NAV calculation: Weekly
Liquidity: Weekly
Day (if not daily): Wednesday
Notice (banking days): 4
Minimum investment: 1,000,000
Minimum retail: 1,000
Min. investment currency: USD
Income: Accumulative
Fees
Entry fee: 0%
Exit fee: 0%
Management fee: 2%
Performance fee: 20%
High water mark: Yes
Hurdle rate: No
Analysis
YTD: 1.12%
Annualised volatility: 4.22%
Sharpe ratio (2%): - 0.42
Correlation to S&P 500: 78.28%
Correlation to iBoxx: - 12.57%
Service providers
Administrator: Northern Trust International Fund Administration Services
Custodian: Northern Trust Fiduciary Services
Auditor: Ernst & Young
Lawyer: Matheson Ormsby Prentice
