Morgan Group , a family office, opened the Morgan Group Fund to...

Morgan Group, a family office, opened the Morgan Group Fund to outside investors on May 1, targeting non-ERISA funds, family offices and high-net-worth investors. The fund invests in long/short, highly liquid, publicly traded U.S. equities and markets. Its "black box" model uses proprietary quantitative algorithms to select baskets of stocks and an offsetting position in the S&P 500, said Les Gray, managing director. Within the fund, investors can invest in the market-neutral strategy which targets an annual return of 20% and a Sharpe Ratio greater than 2.0, or in the absolute return strategy, which uses moderate leverage (up to 180%), a variable market bias (up to 60% long or short), and targets an annual return above 40% with a Sharpe Ratio greater than 3.0.