German AI HF teams with Singapore MFO for volatility-focused launch

Published by HFM


quantumrock, a German volatility-focused quantitative hedge fund, has partnered with a Singapore-based multi-family office to launch a new hedge fund in a bid to expand outside Europe.

In the coming months, the Munich-based asset manager is planning international expansion through other partnerships in varying geographies. quantumrock is currently in talks with multi-family offices and asset managers in Dubai, Monaco and the US.

These new hedge fund products will run quantumrock’s flagship strategy, the Volatility Special Opportunities Program (VSOP), and use the partnered firms’ operational capabilities.

We are well established in the Central European market, and this is the year of expanding internationally. Timothy Lloyd, quantumrock’s Chief Business Development Officer

Its first such international launch will be a Singaporean Variable Capital Company (VCC) vehicle which is expected to launch in Q2 2022. The fund will be seeded, operated and distributed by Singapore-based Golden Hill Asset Management.

According to Phua Bo Wen, co-founder and CEO of Goldenhill Asset Management, the fund will be aiming to raise $30m by the end of the year.

“We are well established in the Central European market, and this is the year of expanding internationally," quantumrock’s chief business development officer Timothy Lloyd told With Intelligence.

“We’d like to partner with local experts, like Golden Hill in Singapore, who enable us to access the market in which they have expertise."

He added: “In return, we can add value with the product to their portfolio."

quantumrock’s VSOP is an equity tail hedge strategy that applies a systematic approach to predicting and capturing volatility spikes induced by downturns in equity markets. The fund returned 23.2% in March 2020 when the coronavirus pandemic first slammed into financial markets.