Lombard Odier’s asset management division has expanded its alternative investment offerings with the launch of a new event-driven convexity strategy within its 1798 hedge fund platform.
The new fund, which debuts with more than $100 million in committed capital, is named the 1798 Event Convexity Strategy, according to a statement. It will be managed by former Birch Grove Capital partner Christophe Thomas, and focus on building asymmetric risk profiles around events using intra-capital structure dislocations.
This approach enhances traditional fundamental event driven analysis with the convexity available from the combination of equities, credit and related financial derivatives, the statement said.
“We’ve sought to offer differentiated strategies which embed convexity at the position level, where the emphasis is on structuring trades, rather than finding attractive valuations,” said Jean-Pascal Porcherot, head of Lombard Odier IM’s 1798 hedge fund platform, in the statement. “Our new strategy leverages the team’s expertise in trading and analysing multiple asset classes to identify the frequent mispricing of events across the capital structure.”