Omni Partners LLP (“Omni”), the alternatives specialist set up by trading veteran Steve Clark in 2004, is preparing to launch its fourth product, Omni European ELS, to external investors. Omni European ELS follows a low net European equity long/short strategy by pursuing opportunities in liquid large-cap equities in developed Europe identified via a dynamic valuation and factor process.
Omni European ELS is managed by Howard Spooner and Hugh Selby-Smith. Howard serves as Chief Investment Officer and has more than 30 years of successful trading experience. He was most recently Head of European Equity Trading at Barclays and previously spent time at UBS, Deutsche Bank and Goldman Sachs (as MD and Head of Block Trading). Hugh is the Portfolio Manager of Omni European ELS and has spent nearly 15 years working in research roles across a variety of sectors on both the sell and buy side, at Dresdner Kleinwort, Goldman Sachs and most recently TT International.
Omni European ELS consists of three discrete portfolios: Base, Trading and Opportunistic. The base portfolio is constructed to be market and sector neutral. Stock selection for the base portfolio is initially driven by a fundamental factor screen and then narrowed via a discretionary portfolio construction process. This results in a limited number of positions (40-50 stocks) across a limited number of sectors (9-11). Positions within the base portfolio can be sized up or down in the trading book, which is where any desired market or sector exposure is expressed. The trading book is actively traded in an attempt to enhance returns, take market delta and manage overall risk. The opportunistic portfolio may include no more than three single-stock, sector-specific or thematic views at any given time.
Omni European ELS has been running as an internal managed account since January and has delivered an equivalent net return of +6% year to date. Net exposure for the strategy is generally within +/-25% of NAV.
Source : omnipartners.co.uk