Dubai-based Magellan Capital has launched the Magellan Absolute Return SPC, debuting with about AED 3.58 billion in public markets assets. The launch marks the first time the firm has opened its flagship hedge fund to third-party capital, a significant step in its evolution from a founder-backed platform to an externally accessible investment vehicle.
The move expands on Magellan’s soft launch in August 2024, when it outlined plans for an AED 2.57 billion multi-strategy hedge fund. The latest announcement shows the company is entering institutional markets while its actual growth exceeds previous projections.
The fund is currently anchored entirely by in-house capital from the firm’s ultimate beneficial owner. The structure establishes direct alignment between management and incoming investors, which has become essential for institutional allocators and family offices who want to see their investment managers participate in funding.
Magellan expands its funding capabilities through external capital access while maintaining a balance-sheet-backed funding method, which reduces its need for external funding during the initial development stage.
The Magellan Absolute Return Fund combines multiple public-market strategies that include Global Macro, together with Emerging Market Credit and Long-Only Equity, and Long-Short Equity. The strategy mix method identifies uncorrelated risk-adjusted returns by searching for pricing inefficiencies that result from structural, behavioral, and liquidity elements that exist in global financial markets.
The portfolio operates through a multi-asset framework, which allows it to modify its market exposure while maintaining its core liquidity and risk management functions during various market situations.
The fund is led by Ahmed Omar, Chief Executive and Chief Investment Officer of Magellan Capital. He oversees the firm’s investment strategy, capital allocation, and institutional growth.
Magellan’s investment team includes senior professionals with more than 100 years of combined experience across buy-side and sell-side roles at global financial institutions.
The fund provides institutional investors, family offices, and high-net-worth individuals with a diversified investment solution that operates through a managed multi-strategy system dedicated to preserving capital while delivering steady returns.