|Headquarters||London, United Kingdom|
|Paul Marshall and Ian Wace|
Marshall Wace manages a number of fundamental short equity funds. The investment process for each uses fundamental analysis that seeks to identify companies which are substantially mispriced on an absolute or relative basis. Managers have the ability to shift from value to growth, from small to medium to large capitalization stocks, and switch from a net long position to a net short position. Managers can also use futures and options to hedge.
In addition to its fundamental long/short equity strategies, Marshall Wace runs a proprietary alpha capture system called TOPS (Trade Optimised Portfolio System), which polls the investment ideas of equity sell-side practitioners (generalists, sector specialists, strategists, and economists) around the world and uses algorithms to analyse and optimise this information into liquid equity portfolios.
Most of Marshall Wace's investors are major institutions. However, a number of its funds are UCITS-compliant vehicles. In addition to the funds Marshall Wace runs itself, a significant proportion of the money it manages for clients resides in separately managed accounts.
Marshall Wace was a founder member of the Hedge Fund Standards Board (HFSB) and is a member of the Alternative Investment Management Association (AIMA).
In August 2014, Marshall Wace made €27 million from going short on the collapse of the Portuguese bank Banco Espirito Santo.
Before starting the fund, Paul Marshall was Head of European Equities at Mercury Asset Management, and Ian Wace was Head of Equities Trading at Deutsche Bank. Marshall is one of the biggest backers of the Liberal Democrats party in the City of London and chairs the CentreForum think tank.
Wace is chairman of the charity Absolute Return for Kids and Marshall is also a supporter. Absolute Return for Kids supports deprived children in Britain, South Africa, and Eastern Europe. Every year the Ark dinner brings A-list celebrity and hedge fund money together. It raised £11m in 2007. David Cook, current Chief Digital Officer at Time Out was formerly Chief Information Officer at Marshall Wace.