Winners rationale

Global investors entered 2018 with high hopes that the strong market performance of 2017 would persist, only to be disappointed early on. The ensuing dent to investor risk appetite resulted in Asia’s private banks allocating more to cash and alternatives, with liquid alternatives having proved particularly popular as a viable option for hedge fund exposure.Leveraging its global expertise in the liquid alternatives segment in 2018, H2O Asset Management emerged as a favourite among Asia’s private banks, which have encouraged more exposure to the asset class despite nascent and tentative demand due to significant divergence in returns.

H2O Asset Management is one of more than 20 specialised investment managers by Natixis Investment Managers. Employing 64 investment professionals, H2O Asset Management exhibits the flexibility of a boutique investment manager where decisions can be made swiftly and executed efficiently.

Providing not only risk-adjusted performance at a portfolio level but also transparency and liquidity, H2O Asset Management believes that making information about its research, methodology, investment philosophy, and risk allocation available throughout the investment process is crucial and, as such, the majority of its funds offer daily liquidity.

The asset manager uses a top-down approach to strike a balance between enhancing returns and mitigating risk through ‘statistical and objective’ diversification. Further, before committing to investments, its investment team examines the relative value of different sectors, segments, and countries.

Owing to its wide range of liquid alternative strategies combined with a strong long-term track record, H2O Asset Management was named Asian Private Banker’s 2019 Best Fund Provider – Liquid Alternative.