Quant to raise $50-$100 million fresh funds

By Jennifer Tan and Saeed Azhar

SINGAPORE (Reuters) - Quant Asset Management, a hedge fund manager that uses computer models to invest, said on Wednesday it could raise up to $100 million for its Asian fund and was talking to more investors for fresh money.

Quant, founded in Singapore in 2003, selects 120 out of 6,000 stocks for its global portfolio and 60 out of 2,000 stocks for its Asian fund.

The investment process is based on computerized programs which track stock valuations, earnings growth and changes in analyst ratings.

Quant Asset Management director and co-founder Frank Holle said the firm was also looking to increase the overall size of assets under management.

"We are $200 million now, we could double this year to $400 million," he said at the Reuters Hedge Funds and Private Equity Summit in Singapore.

"But it's also hard to say because we are talking to one counterparty who could double our assets next month, you never know."

Quant plans to grow its QAM Global Equities Fund to $1 billion over the medium term, added Holle, who founded Capital Fund Management in 2001.

Several computer-driven hedge funds have imploded in the United States over the past few months amid unprecedented market turbulence, with two Bear Stearns BSC.N hedge funds among the key casualties.  Continued...