Cayman-based Thomas Funds and Aramid Asset Management have teamed up to launch the All Asset Capital Preservation fund.

The fund is a master-feeder structure, with a Jersey-based feeder fund open to retail investors and a Cayman-based feeder fund aimed at institutional investors.

Thomas Funds is the investment manager for the fund and Aramid is the lead sponsor.

The fund is managed by Glen Cremmer and Mannit Rye. Mr Cremmer founded Thomas Funds in 2007, prior to which he was a portfolio manager at Zen Asset Management. Mr Rye joined Thomas Funds in 2008. Before that he was a board member and managing director of Merrill Lynch Alternative Investments.

The fund has an emerging market emphasis and a focus on capital preservation. At the fund's launch Mr Cremmer said a key lesson from the financial crisis was that diversification was not enough.

“We assume during times of risk aversion that all risky assets fall together and so we hedge each asset class. We also hedge at all times,” he said.

The minimum subscription for the Cayman fund is $100,000, with a 2 per cent management fee and a 20 per cent performance fee. For the Jersey fund the minimum subscription is £10,000 ($16,500), with a 2.5 per cent management fee and 25 per cent performance fee.