Blue Sky Funds Management (Blue Sky) has been recognised as a Queensland business leader after being named as one of six finalists in the Panasonic Medium Business Award category of the 2011 Telstra Queensland Business Awards.

It is unusual for a funds manager to be included in this prestigious category with other finalists including businesses in the fields of vegetation management, mechanical services, software and corporate consultancy.

Blue Sky, which has offices in Brisbane and Adelaide, was included in this highly competitive category due to its reputation as one of Australia's leading alternative asset fund managers.

The business currently has $200million in funds under management across all four major alternative asset classes - private equity, private real estate, hedge funds and infrastructure (water).

Blue Sky managing director Mark Sowerby said establishing a business without the usual investment banking pedigree was an enormous challenge but has provided significant ongoing opportunities for the business.

"Blue Sky managed to weather the storm of the global financial crisis well, growing all four divisions of the business to reach major milestones," he said.

"Key milestones for the business during this time included securing its first private equity investment in a Mexican restaurant chain at Bondi Beach, pioneering the launch of Australia's first Water Fund offering direct access to water entitlements and the acquisition of a stake in award-winning hedge fund Apeiron Global Macro Fund."

Today's nmination marks the second inclusion in the Telstra Queensland Business Awards for Blue Sky, previously earning a finalist ranking in the 2010 AMP Innovation category.

The Telstra Business Awards focus on celebrating and acknowledging the aspirations and successes of Australia's myriad of small-to-medium businesses and is Australia's pre-eminent business awards program, comprising a series of State and Territory finals and culminating in a national final.

Winners of the Telstra Queensland Business Awards will be announced at the Sofitel Brisbane on July 12. They will receive a share of the $500,000 in cash and prizes and proceed to the national Awards in Melbourne on August 26.