BBVA and Liberbank expand their hedge fund showcase

The blue bank has launched a private debt fund of funds and the second has launched a global fund with a lot of freedom to invest.

BBVA headquarters in Madrid.

Hedge funds continue to dominate the new managers’ grills. BBVA Asset Management and Liberbank Management They have been the last to launch products of this type.

BBVA AM has launched a private Debt Fund Of Funds, which is added to the five funds in the range of investment solutions in illiquid alternative assets that the manager has launched in recent years. BBVA Private Debt 2021 invests its portfolio in funds that finance private equity funds and small and medium-sized companies for their growth.

The fund has a time horizon of six years from the end of the year in which the marketing period ends, extendable for eight years from the first closing (December 31, 2021). Once the sale has ended, the fund will remain closed until its maturity. The interest distribution will be incremental during the life of the fund. The distribution will be made via automatic reimbursement of shares, explains the manager of the blue bank.

The management team, led by Jose Luis Segimonhas the support of the team of third-party fund selectors specialized in this matter of Quality Funds. All the private market funds that will make up the BBVA Private Debt 2021 portfolio receive a rating on their degree of integration of sustainable criteria based on their own methodology, in line with the BBVA Asset Management Sustainability Plan.

On its side, the manager of Liberbank -already under the umbrella of Unicaja- has launched Liberbank Alpha,with global philosophy. His degree of freedom is such that he can invest between 0% and 100% of his assets, directly in securities or indirectly through other funds, in equities, fixed income and financial instruments whose return is linked to raw materials, risk credit, volatility, variance, financial indices, interest and foreign exchange and inflation.

The door is open to retailers

These types of investment vehicles are gaining more and more followers due to the low interest rate environment. Also, Economy has opened the door this summer for retail investors to enter hedge funds (the Anglo-Saxon term for hedge funds, which are the Spanish version) and venture capital funds since the 10,000 euros and not from 100,000, as it has been so far. In the first case, with two limitations: that there is financial advice involved and that the investment does not exceed 10% of the client’s total assets.