HF news 062013


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HF news 062013

  1. 1. See GRAPEVINE on Back Page Clinton Deploys Activist Team for SPAC Plays Clinton Group is expanding its role as a sponsor of special purpose acquisition companies. Investors in a $75 million blank-check company that Clinton formed last year were sitting on a 40%-plus gain as of June 21, following a merger last month with tableware maker EveryWare Global. The New York hedge fund operator, led by George Hall, now envisions launching a series of SPACs at a rate of one every 12-18 months, starting with a follow-up offering in the second half of this year to raise another $75 million or more. TheinitiativeisanoutgrowthofClinton’sactivisthedgefundbusiness.Inaddition to analyzing target companies for blank-check takeovers, the firm has relationships with the top underwriters of SPAC flotations, Deutsche Bank and Citigroup, as well as yearsofexperiencedealingwithequityanalystsandinvestors.Clinton’sSPACbusiness is run by Tom Baldwin, who previously played a key role in the leveraged buyout and See CLINTON on Page 6 CQS Alums Prep Credit-Derivatives Vehicle Two former CQS credit-product traders are starting their own fund-management operation. Working through their newly formed Trignom Capital in London, Surojit Roy Choudhury and Yunkang Liu are in the late stages of lining up initial backing from two asset-management shops. They’re also working to supplement that capital with contributions from additional investors, with the goal of launching a debut vehicle by the end of the third quarter with $150 million. Trignom’s marketing efforts started in the past two months, encompassing large institutional investors, family offices and wealthy individuals in Europe and Asia. Choudhury, Liu and marketing chief Virender Khanna already have visited a num- ber of potential backers in the U.K and Germany — as well as Switzerland, where they’re working with an outside marketing specialist. The planned fund would trade liquid credit derivatives in the U.S. and Europe, See CQS on Page 6 Long-Only Offering Takes Shape at Mark Mark Asset Management is marketing a long-only fund. The New York firm plans to launch its Mark Equity Opportunities Fund in Sep- tember with $25 million to $30 million from founder Morris Mark. It would start accepting outside capital about a month later. Morris Mark, whose firm runs $400 million of investor capital, would manage the vehicle alongside portfolio manager Andrew Silverberg. He’s planning to assem- ble a portfolio of about 50 stocks, with the top-20 names accounting for some 75% of the holdings. Mark is best known for his growth-oriented approach to stock picking. He eschews the value-focused disciplines of most long/short equity specialists to seek out long-biased investments in companies whose annual earnings are growing by at least 20% thanks to strong management and favorable business See MARK on Page 5 2 Pieces In Place for Healthcare Offering 3 Insider to Lead NY Common Book 3 Abydos Stung by Commodity Rout 3 Tech Firm Offers Cyber Protection 4 Eze Castle Eyes Next Step in Storage 4 Capula Installs New Chief Executive 5 Illumination Expands Its Repertoire 5 Macro Trader Set for Launch 5 BlackGold Enlists Marketing Help 4 INFLOWS/OUTFLOWS BY STRATEGY Fortress Investment has hired a trader away from Bank of America. While the exact role Craig Reynolds will play at Fortress is unclear, it appears he will be working on global-macro investments after he arrives in the next few months. Reynolds had joined BofA’s Merrill Lynch unit in 2011 as head of a group that trades interest-rate derivatives in North America. Before that, he worked at Gold- man Sachs and Soros Fund Management. Whitebox Advisors has hired a senior researcher to cover credit products. Amit Patel joined the Minneapolis firm last month from Avenue Capital, the hedge fund shop led by the brother-and-sister team of Sonia Gardner and Marc Lasry. Whitebox, the multi-strategy shop run by Andrew Redleaf, was overseeing $5.5 billion of regulatory assets as of yearend 2012. Former Morgan Stanley unit PDT Partners has a new head of investor relations. Lenny THE GRAPEVINE JUNE 26, 2013
  2. 2. Pieces In Place for Healthcare Offering Former Weintraub Capital executive John Rende has assem- bled the workforce for a hedge fund he plans to launch on Oct. 1, while zeroing in on a specific size and structure for the vehicle. The employee additions give Rende’s San Francisco-based Copernicus Capital a professional staff of three, with Dean Dil- lard joining the healthcare-stock shop as a senior analyst and Elisabeth MacNight signing on as chief operating officer and chief financial officer. Dillard arrives Aug. 1. He previously worked at Invesco as a co-portfolio manager on a $1.3 billion mutual fund called Invesco Global Healthcare Fund. He had been there since 2000, and before that worked at SouthTrust Asset Management. MacNight started June 1. She previously was director of business development and client-transition services at fund administrator Conifer Securities. Copernicus doesn’t plan to hire additional personnel until after the launch of its fund, dubbed Borghese Partners. While the early word was that Rende hoped to collect an initial $50 million to $100 million, the top end of that range has since narrowed to $70 million. That amount would include a founders’ share class with fees equal to 1% of assets and 15% of profits — a sweetener that would remain available until Copernicus raises $50 million or until March 31, 2014, whichever comes first. Subsequent backers would pay a 1.5% management fee and a 20% performance charge. Both classes would lock up investor capital for one year, with subse- quent redemptions allowed quar- terly with notice of 45 days. Rende started planning Copernicus after Weintraub founder Jerry Weintraub said late last year that he would unwind his $1 billion firm and convert it into a family office. Rende had joined Weintraub in 1996, man- aging the shop’s healthcare-stock portfolio. He had only one down year at the firm, while producing an average annual return of 9.4% before fees — beating both a 3.5% gain for the S&P 500 index and a 3.9% rise in the S&P 500 Health Care Index. Copernicus will follow a simi- lar strategy, building a portfolio of about 10-20 long positions, 10-20 short bets and up to 10 options involving U.S. companies. The result would be an average net exposure of about 25%, with the flexibility to move from 40% short to 40% long. Rende plans to hold most of his positions for up to 24 months. About 60% of his portfolio would be reserved for investments in life-science stocks, with 30% going to the healthcare-service and facilities sector and the rest spread among related fields.  June 26, 2013 2Hedge Fund ALERT NEWRULES SAME LEADER CDS HAS CHANGED. WHAT’S NEW ARE THE RULES. WHAT’S THE SAME IS OUR UNRIVALED CREDIT TRADING NETWORK, TRUSTED MARKET NEUTRAL POSITION AND CUTTING-EDGE TECHNOLOGY. TRADE CDS NOW ON MARKETAxESS: • First platform to offer CDS indices, CDS single-names and CDS index options • Competitive pricing aggregated from leading global CDS dealers • Connectivity to the clearing house of your choice • Request-for-quote, click-to-trade and central limit order book functionality • Best-in-class CDS trading technology MarketAxess intends to register as a Swap Execution Facility (SEF) under Dodd-Frank and is registered as a Multilateral Trading Facility (MTF) in Europe. TRADE ON TM GET THE CDS TOOLBOx www.cdstoolbox.com ©2013 MarketAxess Holdings Inc. (the “Company”). Confidential and proprietary information of the Company. None of the information contained herein may be excerpted, copied, disseminated or otherwise disclosed to any other person without the Company’s express written consent. MarketAxess Corporation, member FINRA and SIPC. MarketAxess Europe Ltd. is regulated by the Financial Conduct Authority.
  3. 3. Insider to Lead NY Common Book New York Common Fund has appointed an insider to oversee its main hedge fund portfolio. Anastasia Titarchuk was promoted to director of the $160.4 billion pension system’s “absolute return strategies” book this week, filling a post that had remained vacant since Peter Carey left the organization in 2010. New York Common’s absolute return strategies basket weighs in at $5.2 billion and has room to grow, given that the retirement plan’s 4% allocation for such products leaves it with more than $1 billion that could be put to work. The portfolio consists mostly of hedge funds and funds of funds spanning the credit-product, global-macro, managed-futures, distressed- debt and emerging-market sectors. It is kept separate from investments in long/short equity funds, which reside in a broader bucket for stocks. Titarchuk had been working on the absolute-return book as a senior investment officer since joining New York Com- mon in September 2011 — in one of the final appointments made by former chief investment officer Raudline Etienne before her resignation that year. Titarchuk previously led an equity-derivatives sales desk at Bank of America, and before that was at Barclays and J.P. Morgan. Her hiring at New York Common came as part of an effort to replace several personnel who had left the pension’s investment team. Among them was Carey, who had amassed $4 billion of hedge fund investments for the organization before moving on to Anthony Scaramucci’s SkyBridge Capital. It’s unclear why it took so long for New York Common to fill Carey’s post. The lag is particularly puzzling considering signals from Vicki Fuller, who arrived in August as Etienne’s replace- ment, that the absolute-return team needed someone in charge. Fuller said in an internal memorandum on June 25 that Titarchuk would work closely with Aarti Verma, an investment officer who joined New York Common in 2011 with a focus on long/short equity funds. New York Common’s absolute-return portfolio gained 8% for the fiscal year ended March 31. The most recent addition to the basket came as an expansion of an existing position, with the pension tacking $70 million onto an investment in Discov- ery Capital’s macro-focused Discovery Global Opportunities Partners on Feb. 1. New York Common is overseen by the state comptroller, Thomas DiNapoli.  Abydos Stung by Commodity Rout Abydos Capital, a commodity-focused fund shop founded by former BlueGold Capital partner Jean-Louis Le Mee, is retooling its portfolio after a 7.5% drop in its first full year of trading. Le Mee, whose specialty is mining and energy stocks, has struggled amid a broad decline in commodity markets, with metals prices down sharply since the start of the year. Abydos’ hedge fund has lost 5.7% year to date — matching the 5.6% drop in the S&P GSCI total-return index. For the same period, the All Metals component of that index plunged 19.9%. “It’s an interesting time for commodities,” said an investor familiar with Le Mee’s strategy. “The emerging markets-driven supercycle appears to be ending just as rates in the U.S. may be picking up.” London-based Abydos launched in July 2012 with $39 mil- lion, then rose to $60 million before losses began to take a toll. The firm currently manages about $35 million. Acrosstheboard,commodity-relatedinvestmentshavebeen hurt by a combination of weakening demand from China and other once-hot emerging markets and increasing energy sup- plies from the U.S. Other commodity fund operators struggling with losses include Toronto-based Sprott Asset Management, whose performance has been dragged down by investments in mining companies. “Miners have gotten clocked,” said a portfolio manager at a managed-futures firm. In response to the rout, Le Mee recently reduced Abydos’ exposure to metals while increasing its investments in oil and timber. “My message now to contrarian, forward-thinking investors is simple: Valuations in the space have hit extreme lows, and a remarkable opportunity has emerged in some com- modities (oil, uranium, timber),” Le Mee said. Le Mee opened shop in April 2012, around the time Blue- Gold co-founders Pierre Andurand and Dennis Crema notified investors they were unwinding what had once been a $2 bil- lion-plus firm following sharp losses the year before. Le Mee was a founding partner at BlueGold with responsibility for investments in commodity stocks. Andurand re-emerged earlier this year with the launch of a new fund shop called Andurand Capital.  Tech Firm Offers Cyber Protection A cyber-security specialist will soon begin marketing tech- nology specifically designed to protect hedge fund computer systems from hackers. TopPatch, a New York firm, plans to roll out its Hedge Fund Security Monitoring Service in mid-July with a price tag of $995 per month. The software will monitor a fund operator’s computer networks and alert management in the event of a security breach. Hedge funds increasingly are the targets of computer hack- ers looking for proprietary information about the funds’ trad- ing strategies, often with an eye toward front-running their positions. Hackers also may try to extract the names of wealthy investors, along with their bank-account numbers. “Hedge funds have specific requirements,” said TopPatch chief executive Chiranjeev Bordoloi, who founded the firm in April 2012. In addition to developing software, TopPatch advises asset managers, prime brokers and hedge fund law firms on a range of cyber-security issues. Bordoloi previously worked at IBM, where his clients included Fortune 500 companies, federal agencies and non- profit organizations.  June 26, 2013 3Hedge Fund ALERT
  4. 4. Eze Castle Eyes Next Step in Storage A prominent supplier of computer technology to hedge fund operations believes the prices of solid-state drives have fallen to the point where they have become an appealing option for small and mid-size managers. Eze Castle Integration has yet to start recommending cus- tomers switch to solid-state storage from traditional hard-disk drives, but it’s thinking about doing so by yearend. The New York firm would install the new components both on its own servers and in customers’ in-house computers. Compared to standard hard drives, which rely on spinning disks, solid-state products are smaller, exponentially faster, more energy efficient and have no moving parts. Although the technology already has caught on in other industries and with some larger alternative-investment shops, it has gone largely unused by smaller fund managers. Eze Castle sees that as a potential opportunity, given that most of the hedge funds on its client list run $100 million to $750 million. The firm, which offers cloud-based storage and local installations of computer hardware to more than 650 investment managers, particularly is keeping an eye on high- frequency and algorithmic traders. “It’s going to be a very cost- effective, high-performance way in which storage will interact with the servers,” managing director Bob Guilbert said. “The price is dropping and as the price drops, people will use it.” The price of commercial solid-state storage has fallen steeply in recent years to as low as $3 per gigabyte, compared to about $0.50 for traditional hard drives. Arialytics, which helps hedge funds design and implement quantitative trading programs, uses solid state drives in some applications. Founder David Marra said it’s difficult to justify the cost for all of his clients’ storage needs, but sees big advantages for high-frequency traders that need to access small amounts of information almost instantly.  Capula Installs New Chief Executive Debt-fund operator Capula Investment has promoted Steve Gregornik to chief executive, freeing up co-chief investment officer David Gu to focus on asset management. Co-chief investment officer Yan Huo advised investors of the move in a letter last week. Gregornik was elevated from his previous role as chief operating officer, allowing Gu to relin- quish the chief executive title. The moves cap a 2-year-old reor- ganization designed to solidify the London firm’s operational infrastructure so Gu and Huo can spend more time on the investment side of the business. Separately, Capula last month launched a much-anticipated European special-situations fund with senior portfolio manager Steve Zander at the helm. The fund invests in senior secured loans to mid-size European companies, typically buying the obligations from banks. The offering is a hybrid between a hedge fund and a private equity vehicle, with a three-year investment period followed by a term of up to four years to exit the positions. Gregornik joined Capula last year from Bank of America, where he served in the capital-markets group of the bank’s Mer- rill Lynch unit. He is credited with improving Capula’s technol- ogy and compliance operations, as well as human resources. Capula, founded in 2005, manages about $10 billion. Mea- sured by gross assets, it ranks 36th among SEC-registered fund operators with $23 billion, according to Hedge Fund Alert’s Manager Database.  June 26, 2013 4Hedge Fund ALERT Inflows/Outflows by Strategy Last 12 Months Hedge funds ($Mil.) Asia/Pacific long/short equity $2.1 Bear market equity -3.4 China long/short equity -20.1 Convertible arbitrage 246.8 Currency -572.2 Debt arbitrage 1,397.6 Distressed securities -341.5 Diversified arbitrage 606.1 Emerging markets long-only equity 311.1 Emerging markets long/short equity -620.4 Equity market neutral -630.2 Europe long/short equity -1,201.5 Event driven -956.1 Global long/short equity -2,148.0 Global macro 3,066.0 Long-only debt -33.3 Long-only equity -1,092.2 Long-only other -646.8 Long/short debt 1,187.9 Merger arbitrage 1,311.8 Multistrategy -910.8 Systematic futures -4,976.3 U.S. long/short equity 379.3 U.S. small cap long/short equity -552.1 Volatility 176.1 TOTAL -6,020.3 -5 -4 -3 -2 -1 0 1 2 3 4 Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr Net Flows for Industry ($Bil.) Source: Morningstar Direct Fund Flows 2012 2013
  5. 5. Illumination Expands Its Repertoire Mortgage-backed securities specialist Illumination Asset Management is crafting a fund that would invest mainly in mortgage-servicing rights. The Los Angeles firm, led by former Countrywide executive Todd Sherer, is among a growing number of mortgage-focused fund operators eyeing the servicing business amid rising inter- est rates. That’s because higher rates would slow the pace of mortgage refinancings and thus boost the revenue potential of rights to service existing mortgages. Illumination, which currently manages about $200 million mostly in a portfolio of non-agency mortgage bonds, would use its new vehicle to buy mortgage-servicing rights from banks and other holders. The firm’s initial marketing efforts have led to a sizable commitment from an unidentified institutional investor. The fund also would invest in derivatives and other mort- gage-related products. A launch is planned for the third quarter. The initiative first was reported by sister publication Asset-Backed Alert. Cerberus Capital and Seer Capital are among the other hedge fund firms pursuing investments in mortgage-servicing rights. Illumination’s fund-raising prospects have been helped by the performance of its IAM Credit Opportunities Master Fund, which gained 10.7% in the first five months of the year. The fund, which launched last September, was up 16% at yearend. Sherer founded Illumination last year with Christopher Gaughan, a former Bear Stearns executive. Sherer previously spent four years as a portfolio manager at mortgage-bond fund operator Dalton Investments, and before that clocked six years at Countrywide.  Macro Trader Set for Launch A portfolio manager who left Nomura last year is ready to launch his own hedge fund. Working through his London-based MacroHedge, Jawad Koradia plans to start trading the vehicle next month with $30 million from a single backer. MacroHedge will employ a global-macro strategy. Koradia started the firm last August, a month after leaving his job as a portfolio manager focused on macro investments at Nomura. He had been at the Japanese bank since 2009, and before that worked for a year at Tudor Investment. Koradia also has worked as a proprietary trader at Citigroup and spent time as an equity-research salesman and derivatives- trading analyst at Goldman Sachs.  BlackGold Enlists Marketing Help Placement agent Eaton Partners has landed a contract from BlackGold Capital. The assignment focuses on raising additional capital for the Houston firm’s main hedge fund, an event-driven vehicle called BlackGold Opportunity Fund that has produced an average annual return of 31.9% since its launch in 2009. That entity was running $140.2 million of equity and leverage at the start of this year. BlackGold, which invests throughout the capital structure mainly in U.S. energy companies, runs some $700 million overall. The operation is led by founders Erik Dybesland and Adam Flikerski. Eaton is overseen by founder Charles Eaton. The Rowayton, Conn., firm raises money for a range of alternative-investment firms.  Mark... From Page 1 environments. The planned fund would apply a long-only spin to that phi- losophy, borrowing a strategy that Mark Asset Management already has been following through various separate accounts since 1997. Those investments so far have produced an average annual return of 15.1%, beating the 9.1% gain posted by the S&P 500 index during the same span. While the commingled offering would trade like a mutual fund — with no shorting, hedging or leverage — its liquidity terms and fees would resemble those of a hedge fund. Instead of the daily withdrawals allowed by most mutual funds, for example, Mark Asset Management will only permit investors to redeem monthly. When it comes to fees, investors would be able to choose between one share class that takes 1% of assets and 20% of profits, and another with a 2% management charge but no performance levy. There’s also a so-called founders share class, with lower fees, available to clients who contribute the first $100 million to the fund.Butformostinvestors,thevehicleessentiallywouldactlike an expensive and illiquid mutual fund. Similar long-only hedge funds have been attracting limited partners, reflecting a willingness among backers to pay a bit extra out of confidence in their managers’ alpha. Take Viking Global, which stopped accepting new investors for its then- $4.6 billion Viking Long Fund in April. Around the same time, Impala Asset Management began marketing a vehicle called Impala Waterbuck. Mark Asset Management’s long-only offering follows a shift in the firm’s marketing approach. The outfit started in 1986 with $25 million from an undisclosed family, and even- tually grew to $2 billion based largely on investment gains by its flagship Mark Partners Fund. But it was left with a far- smaller pool of capital when the family and some other back- ers pulled their support in 2002. It was only with the arrival of former Morgan Stanley marketing specialist Matt Robinson earlier this year that the shop started seeking outside contri- butions for Mark Partners, a highly long-biased vehicle that nonetheless takes some short positions and employs leverage. Silverberg started in 2012. Before founding Mark Asset Management, Morris Mark worked at Goldman Sachs under Leon Cooperman — who would go on to run stock-fund opera- tor Omega Advisors.  June 26, 2013 5Hedge Fund ALERT
  6. 6. Clinton ... From Page 1 subsequent initial public offering of Morton’s Restaurant Group. Working with him are two other executives closely involved in the firm’s activist-investment operations: president Greg Taxin and portfolio manager Joseph De Perio. Clinton manages about $100 million via activist vehicles, including Clinton Relational Opportunity Partnership. While those vehicles target underperforming companies with turn- around potential, the firm’s SPAC efforts are focused on offering private companies an alternative to conducting an IPO or put- ting the business up for sale. Although EveryWare is controlled by private equity sponsor Monomoy Capital, the primary targets for blank-check deals are family-run businesses that otherwise might find it too costly to tap the public market. Clinton’s foray into SPACs began early last year, when it raised $75 million for a blank-check company called ROI Acquisition. Amongtheinvestorsareanumberofprominenthedgefundman- agers, including AQR Capital, Basso Capital, Fir Tree Partners and Highbridge Capital. Clinton’s activist team scrutinized dozens of private companies before signing an agreement with New York- based Monomoy in January. The transaction closed on May 21, at which point ROI was renamed EveryWare Global and the stock began trading under the ticker symbol EVRY. The deal gave Clinton a 17% stake in EveryWare, while the hedge funds and other public-market investors collectively own 16%. Monomoy retains a 68% stake, which it owns via its Mono- moy Capital Partners and Monomoy Capital Partners 2 vehicles. The firm also received $90 million of cash. The stock, which closed at $10.02 on May 21, has risen 23% to close at $12.31 on June 24. Including warrants, initial buyers of the SPACshareshadseentheirinvestmentsincrease41%asofJune21. Clinton, which was founded in 1991, currently runs about $2 billion — most of it via collateralized debt obligations. Its hedge fund business encompasses multi-strategy and statisti- cal-arbitrage vehicles, as well as the activist strategy and a fund that invests in community-bank stocks.  CQS ... From Page 1 usingarelative-valueanddirectionalapproach.Thevehiclealso would employ a real-time risk-management system designed by Choudhury and Liu. ChoudhuryjoinedCQSin2006.Heleftthe$12.1billionfirmat yearend2012tostartworkingonTrignom.LiuleftUBS aroundthe same time. He had been an executive director focusing on quanti- tative credit-derivative investments in the bank’s Hong Kong office since2011,followingfiveyearsatCQS.Beforethat,hewas a quan- titative analyst at ABN Amro, UBS and Dresdner Kleinwort. Khanna, formerly a business-structuring consultant, shares the title of partner with Choudhury and Liu. In addition to his marketing duties, he’s leading the business side of Trignom. The firm expects to hire another operations specialist and a researcher in the coming weeks.  June 26, 2013 6Hedge Fund ALERT Financial Research Associates Proudly Presents The Hedge Fund Accounting & Compliance Forum Make Certain That Your Fund’s Infrastructure is Streamlined to Thrive in This New Era of Increased Demands by Attending This Valuable Program! July 25 - 26, 2013 The Princeton Club, New York, NY Ensure Your Fund is Compliant AND Cost-Efficient! Attend day 1, day 2, or get the maximum level of insight and attend both days! * You must attend both days to receive 15 credits of continuing education. CLE credit is pending board approval. • Accounting Update: What’s New with FASB, IFRS and other Authorities? • Successfully Addressing Key Valuation Issues • Form PF Best Practices – Ensuring an Ongoing Cost-Effective • Form PF Process • A Look at Accounting Hazards that Can Get Your Fund in Trouble • Being FATCA Ready - Preparing Your Fund for the Operational Burdens • Hedge Fund Tax Update • Regulatory Update: A Look at What’s New from the SEC • AIFMD – Everything U.S. Hedge Funds Must Know • A Practical Guide to Complying with the Custody Rule • Tales of an SEC Audit – Looking into the SEC • Examination Experience • CFTC and NFA Compliance • Marketing and Advertising Compliance Day 1 – Hedge Fund Accounting – July 25, 2013 Day 2 – Hedge Fund Compliance – July 26, 2013 Mention FMP112 for 10% Registration Discount To Register: Call 800-280-8440 or visit us at www.frallc.com
  7. 7. LATEST LAUNCHES Fund Portfolio managers, Management company Strategy Service providers Launch Equity at Launch (Mil.) Borghese Partners Domicile: U.S. See Page 2 John Rende Copernicus Capital, San Francisco 415-602-4087 Equity: long/short Prime brokers: Goldman Sachs, Bank of America Law firm: Shartsis Friese Auditor: Rothstein Kass Administrator: Stone Coast Fund Services Oct. 1 Mark Equity Opportunities Fund Domicile: U.S. & Cayman Islands See Page 1 Morris Mark and Andrew Silverberg Mark Asset Management, New York 212-372-2506 Equity: long-only Prime broker: Goldman Sachs Law firm: Willkie Farr Auditor: McGladrey Administrator: Morgan Stanley Sept. 1 $25-30 (Unavailable) See Page 5 Jawad Koradia MacroHedge, London Global macro July 1 $30 (Unavailable) See Page 1 Surojit Roy Choudhury and Yunkang Liu Trignom Capital, London 011-44-781-697-3043 Debt: credit derivatives Sept. $150 June 26, 2013 7Hedge Fund ALERT We are pleased to announce Keynote Speakers Jack Lew The 76th United States Secretary of the Treasury Carl Icahn Icahn Enterprises Preet Bharara United States Attorney – Southern District of New York www.deliveringalpha.com July 17, 2013 • The Pierre • New York City Limited Space Available Monaco 2013 Summit At the Grimaldi Forum September 17 - 19 One-on-One prescheduled meetings Free form networking at Summit meals and cocktail events Contact The Events Team at events@alphametrix.com or (312) 201-3650 Registration includes: Online Meeting Scheduler Private Cocktail Receptions Transportation between Venues Complimentary Weekend Activities All Summit Meals Keynote Address Live Musical Performance Spouse Package (Available for Purchase) Marquee Sponsors Marquee Premier Principle LATEST LAUNCHES
  8. 8. TO SUBSCRIBE HEDGE FUND ALERT www.HFAlert.com ... From Page 1 THE GRAPEVINE Telephone: 201-659-1700 Fax: 201-659-4141 E-mail: info@hspnews.com Howard Kapiloff Managing Editor 201-234-3976 hkapiloff@hspnews.com Ralph R. Ortega Senior Writer 201-234-3996 rortega@hspnews.com James Prado Roberts Senior Writer 201-234-3982 james@hspnews.com Andrew Albert Publisher 201-234-3960 andy@hspnews.com Daniel Cowles General Manager 201-234-3963 dcowles@hspnews.com Thomas J. Ferris Editor 201-234-3972 tferris@hspnews.com T.J. Foderaro Deputy Editor 201-234-3979 tjfoderaro@hspnews.com Ben Lebowitz Deputy Editor 201-234-3961 blebowitz@hspnews.com Dan Murphy Deputy Editor 201-234-3975 dmurphy@hspnews.com Michelle Lebowitz Operations Director 201-234-3977 mlebowitz@hspnews.com Mary E. Romano Advertising Director 201-234-3968 mromano@hspnews.com Josh Albert Advertising Manager 201-234-3999 josh@hspnews.com Joy Renee Selnick Layout Editor 201-234-3962 jselnick@hspnews.com Barbara Eannace Marketing Director 201-234-3981 barbara@hspnews.com JoAnn Tassie Customer Service 201-659-1700 jtassie@hspnews.com Hedge FundAlert (ISSN:1530-7832),Copyright 2013,is published weekly by Harrison Scott Publications Inc., 5 Marine View Plaza, Suite 400, Hoboken, NJ 07030-5795. It is a viola- tion of federal law to photocopy or distribute any part of this publication (either inside or outside your company) without first obtaining permission from Hedge Fund Alert. We routinely monitor forwarding of the publication by employing email-tracking technology such as ReadNotify.com. Subscription rate: $3,697 per year. Information on advertising and group-license options is available upon request. YES! Sign me up for a one-year subscription to Hedge Fund Alert at a cost of $3,697. I understand I can cancel at any time and receive a full refund for the unused portion of my 46-issue license. DELIVERY (check one): q E-mail. q Mail. PAYMENT (check one): q Check enclosed, payable to Hedge Fund Alert. q Bill me. q American Express. q Mastercard. q Visa. Account #: Exp. date: Name: Company: Address: City/ST/Zip: Phone: E-mail: MAIL TO: Hedge Fund Alert www.HFAlert.com 5 Marine View Plaza #400 FAX: 201-659-4141 Hoboken NJ 07030-5795 CALL: 201-659-1700 Signature: June 26, 2013 8Hedge Fund ALERT Carr joined the New York firm two weeks ago from the capital-introduction area of Barclays, where he covered quantita- tive managers. PDT — which stands for Process Driven Trading — is a quant pioneer that previously ran proprietary capital for Morgan Stanley. Regulatory pressures prompted the bank to spin off the unit last July with chief executive Peter Muller at the helm. It was running $7.6 billion of regulatory assets as of yearend. Credit-product analyst Keshav Lall started in the Chicago headquarters of multi-strategy shop Balyasny Asset Management last week. Lall previ- ously was a senior analyst at Long- wood Credit. Balyasny, led by Dmitry Balyasny, had $3.3 billion under management as of a few months ago. Cadian Capital has picked up three staff- ers in the past month or so. Ross Shubak joined the value-oriented equity shop from Weiss Multi-Strategy Advisers as an analyst covering consumer-company stocks. Also on board will be healthcare- stock specialist Jay Kim, who left his job at Moore Capital in recent weeks. The move will reunite Kim with analyst Susan Lee, another former Moore staffer who started at Cadian about a month ago. Kim and Lee had joined Moore together in 2010 from Citigroup. Semper Capital, which until last month went by the name UCM Partners, has lost its chief compliance officer. Martin- nette Witrick left the New York firm on May 6, destination unknown. Her duties have since been absorbed by general counsel Ria Davis, who now holds dual roles. Semper runs $1.1 billion, including leverage, via a variety of funds and separate accounts with a focus on fixed-income products. KG Funds Management has hired a direc- tor of investor relations. Sarah Colvin joined the New York firm this month, coming from a managing director post at Bristol Investment — an alternatives shop that invests in public and private companies. KG, founded in 2008 by Ike Kier and Ilya Zaides, employs an event- driven strategy focused on equities. The $75 million firm has gained an average of 19.2% per year. Recruiting specialist Craig Tisdale has a new job. Tisdale joined New York executive-search shop Clear Point Group in May as a partner. That’s the same title he held at previous employer iFind Group, which he left early this year. Deutsche Bank has signed a salesman to pitch its research to hedge fund manag- ers. David Gingeleskie, who left his job at quantitative investor Susquehanna International last week, will assume his new post in Deutsche’s New York office soon. His coverage areas include port- folio managers and analysts at equity- fund operators, along with personnel at credit-oriented shops with the capacity to invest in stocks. TeamCo Advisers picked up Britt Ivy as a senior marketing associate last month. Ivy previously worked at Actualize Consulting and R.G. Niederhoffer Capital. San Francisco-based TeamCo runs $1.3 billion on behalf of pension funds, all deployed to hedge funds.