Arrow Hedge Partners Inc. is launch two new funds: Arrow Roundtable Fund and JC Clark Opportunities Fund.

Arrow Hedge says the funds provide qualified investors with an opportunity to participate in the extraordinary gains potential that exists in the Canadian small and mid-cap markets through long/short products managed by top-quality managers.

“The opportunity for extraordinary gains in the Canadian market arises from several factors, including the relatively light analytical coverage of small and mid-cap stocks relative to larger-cap stocks,” says Mark Purdy, chief investment officer of Arrow Hedge in Toronto.

:This provides managers like JC Clark and Roundtable an opportunity to leverage their deep Canadian information networks to exploit arbitrage opportunities in ways that long-only managers — even in the small and mid-cap space — simply can’t.”

Both managers have long track records managing Canadian stocks, deep industry networks and approach their mandates with bottom-up security selection.

JC Clark’s concentrated fund has a contrarian bent. Its utilization of a disciplined short sell regime enables a variable-bias long/short complexion, resulting in extremely low correlations to broader markets, making them an excellent diversification tool.

Roundtable’s approach, which includes a long bias and limited use of leverage, is deployed against a concentrated core of stocks while allowing more frequent, catalyst-driven trading against key emerging themes with the remainder, enhancing long term performance.

Roundtable Capital Partners Inc. is an investment management firm based in Toronto, Canada. The firm’s portfolios typically invest in publicly traded companies with a focus on Canadian equities. Roundtable is a Limited Market Dealer and currently manages over $92 million.

JC Clark is a Toronto based 14-person hedge fund management firm. JC Clark manages approximately $300 million, predominantly invested in Canadian long/short equity strategies.