The London Borough of Hillingdon pension fund has seen decent returns from its initial foray into hedge funds. In April 2010, the $743 million scheme appointed Fauchier Partners as its FoHF manager and Ruffer as dedicated absolute manager.
The appointments came as part of a portfolio shift to deliver satisfactory returns with lower volatility. The assets came from the removal of a long-only UK equity mandate from Alliance Bernstein.
The Fauchier Partners’ mandate – which is roughly 4.29% of assets, or $40 million – had to the end of March 2011 fulfilled its brief by preserving capital and