Firetrail Absolute Return Limited
Pinnacle Investment Management boutique, Firetrail Investments, has lodged a prospectus for a listed version of its Absolute Return Fund launched in March this year.
The offer for the listed investment company (LIC) opened on 24 September 2018 and the company met its minimum target of $73.5 million in early October. Firetrail is looking to raise $378 million from the offer, which will close on 19 October 2018.
Existing investors in the Firetrail Absolute Return Fund and the Firetrail High Conviction Fund will be able to access a priority allocation, as will registered shareholders of the Pinnacle Investment Management Group.
The LIC will be managed with the same strategy as the existing absolute return fund - a process using fundamental, bottom-up research to identify mispriced securities. It will invest in, on average, between 30 to 40 long positions and 20 to 30 short positions.
"The composition of the Company’s portfolio and the weighting of individual positions are expected to closely replicate, but will not be identical, to those of the Firetrail Absolute Return Fund, " Firetrail says in the LIC's prospectus.