The Tokyo-headquartered financial services group has expanded its alternative investment UCITS range.

Japan's Nomura has launched a long-only, risk controlled European equity fund.  

The Nomura Quantam SolCap Europe Fund will be available to institutional investors in Austria, Belgium, France, Germany, Ireland, Italy, Spain and the UK.

It will provide clients with long-only exposure to the DJ EuroStoxx 50 Total Return index with reduced tail risk. As part of the Nomura Alternative Investment Management UCITS range, the fund aims to capture upside while reducing equity drawdowns. It will facilitate a potential reduction of the equity capital charge at a maximum of 15 per cent under standard formula.

“This new fund was established to provide risk controlled access to European equities with a formal bank guarantee for our institutional clients,” said the chief executive of Nomura Alternative Investment Management, Jean-Philippe Royer.

“It is a direct response to investors’ broad-based interest in equities upside potential but with a downside risk mitigation mechanism.” 

Nomura Alternative Investment Management is advised by the quantitative asset management firm Quantam, which has over 11 years of experience in systematic asset management and hedging overlay strategies.