Investcorp, a Bahrain-based asset manager specialising in alternative investments, has set up a vehicle to invest in newly launched hedge funds, less than three weeks after it forged an alliance with a London-based firm.

Investcorp, which last month forged an alliance with the London-based hedge fund and consultancy founded by former Commerzbank director Mehmet Dalman, will aim to return between 12% and 14% on investments from the new fund.