TT International Launches EM Macro Strategy

Investment manager TT International has launched a new fund, the TT EM Macro Strategy, investing in interest rates, foreign exchange and credit markets within emerging markets.

The firm says the strategy will capitalise on top-down factors and catalysts impacting EM, targeting alpha generation on both the long and short sides. Led by TT’s head of emerging markets debt, Jean-Charles Sambor, it adds the team has a strong track-record of alpha generation across EM fixed income asset classes through hedge funds, long-only and long-biased strategies.

Observing that the structural shift towards a multi-polar world with increased geopolitical uncertainty and heightened volatility requires a re-think on the overall framework for EM macro investing, the firm says the environment creates new opportunities, both long and short. The strategy aims to capture specific EM macro alpha streams, which are often overlooked by traditional macro managers, it adds.

“Having launched our first EM strategy back in 2011, the unveiling of our new macro strategy completes our EM product suite, positioning us as a leading EM cross-asset house,” says Eric Mackay, managing director, TT International. “Our strengths in both EM equities and now EM fixed income reinforce our top-down macro expertise and comprehensive research capabilities across the entire capital structure of EM companies. Very few asset managers have this holistic research capacity.”

Sambor adds, “We expect top-down macro factors to increasingly dominate EM investing amid heightened geopolitical risk and a multi-polarisation of the global economy. Elevated volatility combined with changes in risk perception and market structure should create fertile ground for long-term alpha generation in EM macro investing. Against this backdrop, it seems an opportune moment to launch this strategy, capitalising on TT’s strong DNA of EM and macro investing across asset classes.”