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Man Group raises USD625 million in latest product launch

Man Group plc, the global provider of alternative investment products and futures broker, announced that its most recent launch Man Multi-Strategy Series 6 Ltd ('Series 6') has raised the equivalent of USD625 million of client money.

  • United Arab Emirates: Monday, January 19 - 2004 at 11:32
  • PRESS RELEASE


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Series 6 was a global offering in two currency classes, Euros and US dollars. The product's portfolio will comprise allocations to a diverse range of quantitative and qualitative investment strategies that may be classified into five style categories: arbitrage, equity hedge, fund of hedge funds, long/short equities and managed futures. Series 6 carries the benefit of an enhanced principal protection arrangement that ensures investors the return of at least 120% of their initial investment at maturity, provided by ABN AMRO Bank N.V.

Antoine Massad, Head of Middle East and Asia, Man Investments said:

'The Man Multi-Strategy product family has enjoyed considerable success and has become one of the most sought after product structures offered by Man. By incorporating 120% capital guarantees into an already attractive investment opportunity, Man has once again demonstrated its ability and commitment to providing investors with innovative alternative investment products.'

The responsibility for the construction and management of Series 6 lies with Man Global Strategies, a division of Man Investments. Man Global Strategies selects managers offering a sustainable competitive advantage and the potential to add value to its style portfolios. It strives to establish close associations with the managers by forming joint ventures and affiliations. The performance potential of Series 6 is highlighted by the first product in the Man Multi-Strategy family, Man Multi-Strategy Guaranteed Limited. As at 30 November 2003, it had generated annualised returns of 12.3% whilst restricting the annualised volatility to 11.6% since its inception on 15 July 2000. This is particularly impressive compared to the annualised performance of world stocks -7.9% and world bonds 9.7% over the same period.

The next global launch will be Man RMF Multi-Style Ltd, which will be open for investment on 9 February 2004. This product will target medium-term annualised growth of around 13-15% for an annualised volatility of around 7-9% for both USD and EUR class bonds while the CHF class bonds will target annualised growth of around 12-14% for annualised volatility of around 6-8%.

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About the Product
Man Multi-Strategy Series 6 Ltd closed on 15 December 2003 and is expected to start
making initial investments from the middle of January. Series 6 provides investors with another opportunity to access Man's successful multi-strategy/multi-adviser investment approach.

Series 6 provides investors access to the Man Multi-Strategy portfolio and was offered in both EUR and USD classes. It will target similar risk-adjusted returns to previous products in the Man multi-strategy family (annualised return potential of around 15-17% for an annualised volatility of around 10-12%). Series 6 will also enjoy the benefit of capital guarantees provided by ABN AMRO Bank N.V., which ensure investors the return of at least 120% of their initial investment at maturity on 31 August 2016 as well as a profit lock-in feature. Series 6 provides investors with access to a diversified portfolio of investment strategies implemented by a number of carefully selected advisers. The ability of the Man Multi-Strategy portfolio to generate returns and protect investors' capital during difficult market conditions for traditional assets has been highlighted by the performance of Man Multi-Strategy Guaranteed Limited, the first product in the family.

The ABN AMRO group is a global banking group offering a wide range of commercial and investment banking products and services on a worldwide basis through its network of approximately 3,000 branches in more than 60 countries. The ABN AMRO group ranks 11th in Europe and 23rd in the world based on tier 1 capital and had total assets of EUR 601 billion at 30 September 2003.

About Man RMF Multi-Style Ltd
Man RMF Multi-Style is an innovative structured product developed by Man Investments which provides access to RMF's superior investment selection expertise and excellent asset allocation and risk management skills. The product carries the added benefits of Man Investments' strong structuring capabilities - it offers increased investment exposure, principal protection and a profit lock-in feature. The investment objective of Man RMF Multi-Style is to deliver an attractive level of absolute returns with controlled risk. The USD-Class Bonds and EUR-Class Bonds will both target annualised growth of around 13-15% for annualised volatility of 7-9%, while the CHF-Class Bonds will target annualised growth of around 12-14% for annualised volatility of around 6-8% over the medium-term.

The Man RMF Multi-Style portfolio will initially comprise allocations to five complementary hedge fund styles - equity hedged, event driven, global macro, managed futures and relative value. Across these five styles, allocations will be made to a diversified range of quantitative and qualitative hedge fund strategies implemented by leading managers chosen by RMF, one of Man Investments' core managers. RMF will focus on identifying successful hedge fund managers; understanding the return drivers of different styles and strategies; dynamically managing portfolio allocations based on in-depth analysis of the market environment and managing risk. RMF will combine its expertise in these areas and make style and strategy allocation shifts within a disciplined framework in order to take advantage of periods when performance prospects are favourable for particular styles and strategies.

About Man Investments
Man Investments, the Asset Management division of Man Group plc, is a global leader in the fast growing alternative investments industry. It provides innovative products and tailor-made solutions to private and institutional investors. Through its core investment managers - AHL, RMF, Glenwood and Man Global Strategies - Man has succeeded in developing leadership in hedge funds and has interests in other asset classes. In its core hedge fund asset class, Man offers funds of hedge funds, structured, style and single manager products. Its track record stretches back two decades and defines the standard for excellence in an industry whose central goal is to provide diversification away from traditional equity and bond investments. Man has a powerful global presence and an extensive network of distribution partners.

About Man Group plc
Man Group plc is a leading global provider of alternative investment products and solutions as well as one of the world's largest futures brokers. The Group employs over 2,500 people in 15 countries, with key centres in London, Pfaffikon (Switzerland), Chicago, New York, Paris, Singapore and Sydney. Man Group plc is listed on the London Stock Exchange (EMG.L) and is a constituent of the FTSE 100 index. Further information on the Man Group can be found at
www.mangroupplc.com

Source: Man Database and Standard & Poor's Micropal
Past and projected performance is not necessarily a guide to future results.
World Stocks: MSCI World Stock Index (Total return)
World Bonds: Citigroup World Government Bond Index (Total Return)
Anne-Birte Stensgaard Posted by Anne-Birte Stensgaard, Senior News Editor
Monday, January 19 - 2004 at 11:32 UAE local time (GMT+4)

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