SHANGHAI--The investment arm of alternative asset-management group Gottex Fund Management Holdings Ltd. (GFMN.EB) is investing in Hong-Kong based institutional investor Headland Strategic Ltd., a move to take advantage of the region's emerging hedge-fund industry.
Gottex Fund Management Sarl will take a minority equity stake in Headland Strategic Ltd. in order to help the institutional investor invest in and advise hedge funds throughout Asia, according to a press release Tuesday.
The founding partners of Headland will own the majority of Headland.
"History shows that emerging hedge funds typically outperform their larger peers. There is a large pool of talented hedge-fund managers in Asia where we see a notable supply and demand imbalance," said Michael Garrow, co-founder of Headland, in the announcement.
Max Gottchalk, CEO of Gottex Asia, said that allocations to hedge funds in Asia "remain underweight."
Gottex, which has $5.94 billion in assets, is based in the tax haven of Guernsey in the Channel Islands, south of England.
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(END) Dow Jones Newswires
October 08, 2013 00:55 ET (04:55 GMT)Copyright (c) 2013 Dow Jones & Company, Inc.