Crédit Agricole Asset Management has launched three absolute return funds in the wake of calls from investment consultants to their clients to reduce the assets they allocate to benchmarked funds.

The three new funds will be domiciled in Luxembourg and based on the euro-denominated CA-AM Arbitrage VaR2 fund. The CA-AM Invest VaR2 will be available in both sterling and US dollars and is designed to outperform three-month Libor by 1% a year through relative value management of global bonds and currencies.