Investec Asset Management is launching a new contrarian fund which will be available for international investors and mirror the existing UK-domiciled Investec Global Situations Fund managed by Alastair Mundy.

The Luxembourg-domiciled GSF Global Contrarian Fund will be co-managed by Mark Wynne-Jones and Mundy. The strategy focuses on making investments going against the herd instinct that drives market movements; it uses a strict analytical process to try and identify underperforming shares where there is a favourable risk/reward ratio and avoids long-term macro trends.

Since its launch in 2007, the Investec Global Special Situations Fund has delivered annualised returns of 6 per cent, versus an IMA sector average return of 0.6 per cent.

“Our contrarian investment process is all about ‘doing something different’. We go against the herd to make long-term investments in cheap, out-of-favour companies with appropriate balance sheets. By adhering to these principles and our processes, we look to generate outperformance, maintain low rates of portfolio turnover, with relatively lower volatility and correlation,” said Wynne-Jones.