John Lidington Will Co-Manage Man Numeric’s Liquid Private Equity Strategy

October 15, 2019 | Liquid Alternatives, News

Man Numeric’s strategy emulates a private equity portfolio’s returns but at a lower cost and better liquidity.

Man Numeric have appointed John Lidington as co-portfolio manager of its liquid private equity strategy alongside existing portfolio manager Charles Liu.

Liquid private equity may sound like a contradiction in terms. However, Man Numeric invests in small, listed companies that mimic the profile of a typical private equity portfolio.

Therefore, the strategy seeks to generate returns (and carry risk) similar to that of a buyout fund. However, the investor gains from vastly better liquidity and much lower costs.

Liquid alternatives are increasingly popular

“Market interest in liquid private equity alternatives is growing,” said Shanta Puchtler, CEO of Man Numeric.  “We believe this type of strategy can benefit institutions of all sizes as a cash management tool within their broader private equity allocations.”

John Lidington said it was exciting to observe the strategy since its inception. He looked forward to providing clients with “similar return profiles and risk exposures as traditional buyout funds but without the long lock-up periods.”

Man’s Investment Thesis

Shortly after the launch of the strategy in May 2018, John Lidington and Gregory Bond wrote a blog titled “Private Equity Goes Public.”

They said the three structural limitations of traditional private equity are higher fees, illiquidity, and limited transparency.

However, liquid private equity features can resolve these limitations. These are:

  • Lower management fees and no performance fees
  • No lock-up periods
  • Usually a rules-based investment process and a daily valuation of the portfolio

The strategy should ideally “avoid large-cap stocks and marry 1) top-down industry tilts that match PE’s industry exposures with 2) bottom-up proxies for buyout managers’ methods of identifying potentially undervalued companies and unlocking that value through growing revenues, improving operations, and various other means,” they wrote.

[Related Story: Schroders Launches A Private Equity Fund On Its GAIA II Liquid Alternatives Platform]

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Latest Alternative Investment News
FinTech: India’s PayTM Gets Heat From Proxy Advisory Firm
August 12, 2022     FinTech, News

Proxy advisory firm Institutional Investor Advisory Services India Ltd. (IiAS) has issued a note ahead of PayTM’s (NSE: PAYTM) annual shareholders’ meeting on August 19 calling for the replacement of…
Venture Capital: Lockheed’s Venture Arm To Boost Investment In Space Startups
August 12, 2022     News, Venture Capital

Lockheed Martin (NYSE: LMT) and its venture finance arm Lockheed Martin Ventures plans to boost the latter’s investment outlay from $200 million to $400 million.
Digital Assets: Brazilian Fintech PicPay Launches Crypto Exchange With Paxos

PicPay, the well-known Brazilian payment app, has got its shoe in the crypto door in partnership with Paxos, a leading regulated blockchain infrastructure company. Picpay is opening crypto trading services…
FinTech: Telecom Behemoth BT Adds Barclaycard Payments To Partnership Network For Micro-Businesses
August 12, 2022     FinTech, News

BT (LON: BT.A), the telecom major, announced that Barclaycard Payments had joined its partnership network seeking to help the growth of UK microbusinesses. BT customers with 0-5 employees would get…