The London Stock Exchange has listed the first investment entity on its new Specialist Fund Market.
The Da Vinci CIS Private Sector Growth Fund raised nearly $110 million, which it will invest in non-listed equity and equity-related securities in Russia.
The Specialist Fund Market is designed specifically to offer access to permanent capital for specialist investment vehicles targeting professional, institutional investors.
A spokesperson from the LSE told theTRADEnews.com that the fund was set up due to client demand from hedge funds which were previously floating their funds in Amsterdam.
A recent change in FSA rulings has meant there is now more flexibility for hedge funds and other alternative investment vehicles, which can choose between the Specialist Fund Market and the main market when deciding where to float.
“Integral to London’s attractiveness is the choice of markets that we are able to offer funds, aligned to their profile and structure, the types of investors they wish to target and the risk premium sought by investors,” said Martin Graham, director of equity markets at the LSE, in a statement. “The creation of the Specialist Fund Market adds to that choice, and we expect to see more funds follow Da Vinci’s lead over the coming months by using the Specialist Fund Market to access London’s unique community of expert investors.”