Argo unveils emerging markets hedge fund

Argo Group has launched an emerging markets hedge fund investing in bonds and currencies from a universe of over 40 emerging market countries.

The Argo Local Markets fund aims to hold between 20 and 30 positions and has been launched with an initial $7m of seed capital. It will offer investors weekly liquidity and has a mandate to take on moderate leverage. Argo chief executive Kyriakos Rialas said: "The case for investing in emerging markets is compelling. "Bond yields in these countries are significantly higher than those in the developed world while their debt burdens are lower and growth prospects better. "ALMF aims to generate attractive risk-adjusted returns for its investors from these conditions."