CC Asia Advantage Fund rides high despite month's big sell-off


May's big sell-off did not adversely affect the CC Asia Advantage Fund; on the contrary, the blow-out in spreads, particularly in Australia, enabled the Asia including Japan event-driven fund to invest in merger arbitrage positions that were previously over-priced, and the fund gained 0.41% in the month as a result.

Overall exposure was not managed very aggressively, with the gross position kept at the 80% to 90%. Relative value - one of the fund's three books along with merger arbitrage and special situations - presented plenty of opportunities in May, predominantly on the short side, says Coupland Cardiff's