Former Gartmore star Rambourg to launch fund duo

Former Gartmore star manager Guillaume Rambourg is to launch two European long-short funds for his new venture Verrazzano Capital Partners, and has received backing from former co-manager Roger Guy.

The Verrazzano European Opportunities and Verrazzano European Focus funds will be managed by Rambourg (pictured) and are set to launch at the start of March.

The long-short hedge funds will be Dublin-based QIFs (qualified investment schemes). Rambourg said the Verrazzano European Opportunities fund will invest in 40-80 stocks targeting a 10% plus return, with 7-8% volatility.

Meanwhile the Focus Fund will target a 15% plus return, with a 10-12% volatility through a more concentrated strategy which will target 20-30 stocks and have the ability to run higher leverage on the gross exposure to the markets and more directionality on the net exposure.

Commenting on his plans for the funds and his new venture, Rambourg told Citywire: 'We are seeking to raise $500 million over the first couple of months and we will soft close at $1.5 billion altogether.'

He also confirmed that Verrazzano has received the backing of his former co-manager Guy.

'Roger Guy has retired from fund management, but he’s a big supporter of Verrazzano,' said Rambourg. 'He knows more than half the team, is a reference for prospective investors, will invest in both funds, and will also be a 5% shareholder.'

He expects a share class set up for friends and family to reach circa $100 million.

Rambourg made headlines in 2010 after a suspension from Gartmore following an investigation into alleged trading irregularities, causing Gartmore's share price to plummet and ultimately resulting in the departure of his co-manager Roger Guy, substantial outflows and a raft of other high profile fund managers. The fallout resulted in the sale of the fund manager to Henderson Global Investors earlier this year.

Rambourg was later cleared of any wrongdoing by the FSA, leaving him free to set up his new venture.

His new Paris-based business Verrazzano is regulated by the French regulator, the Autorité des marchés financiers. Gartmore's former star manager has brought on board Lyxor Asset Management founder Murielle Maman, UBS hedge fund senior investment officer Tim Williams and former Gartmore senior analyst Tomas Pinto.

The trio will work alongside Karim Moussalem, Goldman Sachs' head of Delta One trading.

Over the 12 months to January 2010, just before Rambourg was suspended at Gartmore, the Ucits Gartmore European Absolute Return fund which he managed alongside Guy had posted a 10.35% return.