Wednesday, 20 August 2014
Last updated 7 hours ago
May 5 2010 | 10:13am ET
With side-pockets getting some unwanted regulatory attention, one hedge fund says it has struck upon a better way of dealing with illiquid investments.
Gemini Strategies in 2008 split its flagship fund into a continuing fund and a redeeming fund, firm chief Steven Winters tells PIPEwire. Winters said that the “simple and fair” solution has allowed him to return some 80% of the assets in the winding-down fund to redeeming investors—earning them an 18% return in the process—while managing the continuing fund to a 26% return last year.
“We made no new investments for the redeeming investors and have been pushing cash to them as quickly as possible,” he said. “This segregation allowed us to meet the competing interests of both types of investors: redeeming and non-redeeming.”
Winters said he expects to get redeeming investors the rest of their money back by the end of the year.
Aug 4 2014 | 7:42am ET
By now, U.S. and international subscribers have received their home or office delivery of the special 500th issue of Futures magazine. You can too!—a very special offer follows. The issue is the largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders. Read more…
The July/August 2014 issue is our largest in years—filled with the best trading strategies and stories from 43 years of being the primary publication for commodity, stock, options and forex traders.
The Alpha Pages Editor's Note