Old Mutual Asset Managers (UK) has launched its first hedge fund, which will be run by David Ross, head of structured equities.

The Old Mutual Global Equity Market Neutral fund, which opens to investors in November, is the first in a range from the UK investment operation of the South African financial services group. It will use an active quantitative strategy investing in the developed global equity markets of the US, UK, Europe and Japan. It aims to deliver returns of around 6% above dollar cash with low volatility.