Fullerton Fund Management, formerly an in-house division of Temasek, will tie up with Middle-Eastern company EFG-Hermes Asset Management to market these funds.

The fund will be managed by EFG-Hermes, which manages more than US$7 billion (S$9.7 billion) of assets, and has offices in Egypt, Qatar, Saudi Arabia and the United Arab Emirates.

Fullerton, which sells hedge funds and other investments, hopes to raise US$100 million from Asian investors over 12 months, said Reuters, citing Fullerton chief executive Gerard Lee.

Mr Lee added that the fund manager is in talks to offer funds to Middle-Eastern investors through EFG- Hermes.

Fullerton had previously said it aims to increase its third-party funds - assets that it manages on behalf of other companies - to US$3 billion by the middle of this year, from US$2 billion last May. As of last May, the bulk of these funds were from Japan, South Korea and Taiwan, with some from Europe and Singapore.

Apart from third-party funds, Fullerton also manages part of Temasek's more than US$100 billion in assets, according to Reuters.

FIONA CHAN