GAM has announced a strategic alliance with Galena Asset Management—a specialist in commodity financing and a fully-owned regulated investment subsidiary of Trafigura Group, which specializes in commodity trading and logistics. This agreement will provide GAM’s clients with access to global commodity markets, benefiting from Galena’s expertise in metals, mining, energy, and renewables.
Commodities are a vital asset class for today’s investors, offering resilience, diversification, inflation protection, and attractive returns in a changing world, according to the company’s statement. GAM has a long history in alternative investment and innovation, and this strategic alliance with Galena will further enhance its ability to offer superior solutions to clients.
The new GAM and Galena partnership will continue to strengthen GAM’s alternative product offering and has two main aspects: a global distribution agreement for Galena Funds and future product innovation.
With this distribution agreement, GAM will be the exclusive global distributor of Galena’s existing commodity investment strategies, which include (subject to local availability):
1. Trade Finance: A strategy providing short-term financing to commodity producers and traders, generating fee and interest income while mitigating risks through collateral, insurance, and diversification.
2. Multi-Strategy: A strategy that invests in macro and commodity themes across the full spectrum of asset classes. It employs a combination of directional, relative value, and arbitrage strategies based on rigorous fundamental and technical analysis.
3. Private Equity: Invests in private companies in the commodity sector, focusing on metal and mineral mining, processing, and related infrastructure and services.
Regarding product innovation, by working closely with Galena, GAM will be at the forefront of the rapidly evolving commodities investment landscape, with access to cutting-edge research, development, and technology. According to the firm’s statement, by leveraging extensive networks, projects, and research, GAM and Galena will collaborate to develop and launch new, innovative commodity-focused investment products for clients, addressing the challenges and opportunities of the energy transition, circular economy, and digital transformation.
Maximilian Tomei, CEO of Galena, stated: “We are thrilled to have formed an alliance with GAM, a firm that shares our entrepreneurial and innovative spirit and our passion for delivering the best alternative returns to our investors. As commodities gain greater importance and dynamism globally, we see enormous potential to create value for our clients by giving them access to our unique expertise and insights. We look forward to working with GAM to offer exciting and exclusive commodity investments to a broader international audience.”
On the other hand, Elmar Zumbuehl, CEO of GAM Group, noted that this strategic alliance with Galena “is a significant step forward for our firm and our clients, as it will enable us to access exclusive and attractive commodity investment opportunities by leveraging Galena’s capabilities and resources. We believe commodities are a key asset class for the future, offering appealing return potential and diversification benefits. We are excited to work with Galena to provide our clients with innovative and differentiated solutions that meet their needs and expectations.”
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