Gartmore has added to its absolute return range with the launch of the Gartmore UK Absolute Return Fund.

Gartmore has added to its absolute return range with the launch of the Gartmore UK Absolute Return Fund.

The initial offer period commenced on Tuesday 14 April.

By capitalising on the Ucits III parameters, the fund will seek to deliver a positive absolute return over the long-term, regardless of market conditions, by taking long and short positions in UK equities.

Ben Wallace will run the fund using a similar strategy to the AlphaGen Octanis Fund, which he has managed since its inception in March 2005.

Richard Pursglove, head of UK retail, says: The current economic climate has reminded investors that diversification is crucial. This fund could form part of any investor's portfolio because of its low correlation to equity markets, whilst seeking positive returns over the long term.' 

Wallace adds: 'We're seeing a great deal of volatility and we expect this to provide us with attractive entry points to build longer term strategic positions and good tactical opportunities.

'It's important to have an adaptable strategy, particularly in these markets. On the long side, I'm looking at large companies that have the robust business models and necessary capital to see them through the recession. At the same time, I will be looking to take short positions where we see strong scope for earnings disappointment as economic conditions weaken.'

This latest absolute return offering follows the launch of the Gartmore MultiManager Absolute Return and Gartmore European Absolute Return funds.