Treasury Group, the Australian boutique funds manager, has acquired a 20 per cent interest in Singapore equities firm Octis Asset Management as part of a drive to increase its presence in Asia.

The initial acquisition price for the stake is around $224,000, the company said in a statement. It will be funded from working capital and carries the option to increase by another 10 per cent. Octis presently has $50 million in funds under management.

"We have been interested in diversifying into alternatives and have been actively searching for opportunities. We are very pleased about partnering with a quality business that offers access to Asia with low volatility," said Andrew McGill, group chief executive for Treasury Group.

Octis Asset Management was founded in 2007 as a multi-strategy equity manager. It is run by six investment professionals led by Jerome Ferracci, a former CEO of HSBC Financial Products.