London-based
Matrix Money Management is to launch two funds of hedge funds which will be open to investment at the beginning of March.

The two funds, both of which carry a 10 per cent performance fee, will be managed by Matrix’s fund of hedge funds team, headed by Stuart Ratcliff.

The Matrix Strategic Opportunities fund will target a 15 to 20 per cent return through the credit markets, focusing primarily on distressed debt, high-yield bonds, corporate loans and the restructuring process in bankruptcies.

The Matrix New Horizon fund will be a diversified multi-strategy fund of funds looking to exploit dislocations within the macro, credit and market neutral environment.

Bridget Guerin, director of Matrix Alternative Investment Strategies fund, said: “As we enter 2009, with prospects for continued equity volatility and low yields on sovereign debt, alternative managers are looking to exploit the current extreme market dislocations via macro and credit opportunities.

“These opportunities are made more attractive since competition for trading has been dramatically reduced, following the reduction in the investment banking industry and the closure of many hedge funds, whilst leverage is no longer available nor necessary to generate returns.”

The Matrix Group, which employs a staff of around 160, offers financial services focusing on fund management, investment banking, commercial property and principal finance, and as at 30 September 2008 had £2.2 billion ($3.5 billion) in assets under management.