Two Firms Unveil Portable Alpha Product

December 6, 2006 ( - Wilshire Funds Management and New York-based Fairfield Greenwich Group (FGG) have formed a partnership to offer institutional investors turnkey portable alpha solutions.

FGG, a more than $10 billion global hedge fund and fund of hedge funds management firm, and Wilshire Funds Management,a unit of Wilshire Associates, will create customizable investment strategies for institutional clients that combine alpha and beta in one portable alpha Solution, the two companies said in a news release.

FGG’s role in this relationship will be to provide alpha solutions while Wilshire Funds Management will act as the beta manager, the announcement said.

Portable alpha is the process of gaining synthetic access to an index through the use of futures or swaps while overlaying an equal allocation to an uncorrelated alpha source. Excess returns over the index are produced when the alpha source produces returns in excess of the cost of attaining the beta and any additional fees, the press release said.

More information about Wilshire is  here . More information about FGG is  here .