AQR Wholesale DELTA Fund - Class 1F

About this Fund

Fund Detail

FUND MANAGER AQR Capital Management, LLC
ASX Code
INVESTMENT STYLE The Fund provides a diversified portfolio of alternative trading strategies, using a bottom-up, dynamic investment process.
INVESTMENT PROFILE The Fund aims to produce high risk-adjusted returns in excess of the Benchmark while targeting a low correlation to traditional markets over the medium to long term (i.e., 5-7 years).
BENCHMARK Bloomberg AusBond Bank Bill Index
FUND SIZE Bloomberg AusBond Bank Bill Index
FEES 1.41% per annum of the NAV



Benefits of investing in the AQR Wholesale DELTA Fund - Class 1F


  • More than a decade trading a wide range of global securities
  • Propietary electronic trading algorithms that help minimise market impact


  • Extensive experience using leverage as a portfolio tool
  • Strong counterparty relationships facilitate attractive and stable financing


  • Long track record managing short exposures in the context of multi-strategy hedge funds
  • Strong prime broker relationships and ability to monitor and minimise borrowing costs


  • Longstanding use of derivatives to hedge, manage and generate alpha across all of our funds
  • Extensive documentation and operational capability for managing swap, options and futures exposures

Risk management

  • Independent staff and committees in place to constantly monitor the portfolio
  • Systematic investment processes that embed risk management principles directly into portfolio construction




Key Features

About the Fund

The investment objective for the Fund is to seek to efficiently capture a diversified set of classic hedge fund strategies and deliver them to investors in a transparent and liquid vehicle with low correlation to traditional asset classes over a long time horizon. Using a bottom-up, clearly defined investment process, the Fund seeks to provide exposure to numerous "hedge fund risk premiums across three broad strategy groups with a dynamic and disciplined investment process that aims to provide risk-balanced exposure to the underlying strategies.

Investment Approach

Using a bottom-up, clearly defined investment process, the Fund seeks to provide exposure to more than sixty "hedge fund risk premiums across nine broad strategy groups with a dynamic and disciplined investment process that aims to provide risk-balanced exposure to the underlying strategies.  The Fund currently has exposure to the following groups of strategies: Long/Short Equity, Equity Market Neutral, Global Macro, Emerging Markets, Convertible and Volatility Arbitrage, Managed Futures, Dedicated Short Bias, Event Driven and Fixed Income Relative Value.  The Fund may also hold cash or cash equivalents (including, but not limited to, cash trusts).  


How we invest your money

The Fund currently has exposure (through its investment in the Master Fund) to Arbitrage, Stock Selection and Macro investment strategies. These strategies are explained below under the sub-heading Implementation'. The Fund may also hold cash or cash equivalents from time to time (including, but not limited to, cash trusts).

AQR makes no guarantee that the strategy it employs on behalf of the Fund will remain as above or below, that any component of such strategy will not be discontinued or that the strategy's goals will not change over time. However, should a material change to the investment strategy be contemplated by AQR you will be provided advance notice of such change.


AQR implements the Fund's and Master Fund's portfolio using whatever financial instruments are deemed appropriate by AQR. These include, but are not limited to, the instruments noted under each strategy described below. There are no material diversification requirements, allocation ranges, limitations or restrictions on the particular categories or the magnitude of the Fund's investments, or on the investment strategies and techniques to be utilised by AQR. AQR may, at any time, discontinue using any of the below financial instruments or may add additional financial instruments.

The following provides a general description of the investment strategies currently implemented by the Master Fund:

  • Arbitrage: These strategies aim to capture relative mispricing between related securities. These strategies include but are not limited to merger arbitrage, convertible arbitrage, volatility arbitrage as well as other event-driven trades such as split-offs, spin-offs, and other capital structure transactions. These strategies will be implemented with a variety of underlying security types including: individual equities, total returns swaps, equity index and fixed income futures, currency forwards, convertible securities, credit default swaps, and options.
  • Stock Selection: These strategies aim to take advantage of a range of relative value and timing opportunities in global equity markets. These strategies tend to go long securities that are cheap, showing signs of improvement, profitable and where company management is behaving in the best interest of the shareholder and short stocks with the opposite characteristics. These strategies invest across both developed and emerging markets and utilizes individual equities, total return swaps and equity index futures.
  • Macro: These strategies aim to profit from price differentials in a range of global equity, fixed income, currency and commodity markets. These macro strategies include both directional strategies, those that are based on market timing, as well as relative value strategies, which are designed to be implemented in a market neutral manner. These strategies will generally be long markets that are performing well, trading at reasonable valuations, that have a positive yield and whose central banks are behaving in a manner that is supportive to prices, while considering other aspects such as seasonality in markets and international trade. Macro strategies are primarily implemented using forwards and futures across these various asset classes but will also trade swaps in more select instances.

In order to gain exposure to any of the above investment strategies, the Investment Manager may invest substantially all or a portion of the assets of the Master Fund in a portfolio of hedge funds sponsored by AQR or one of its affiliates. Neither AQR nor any affiliated investment manager will earn any fee in respect of a placement of the Fund's assets (through its indirect investment in the Master Fund) with such fund sponsored by AQR or one of its affiliates.