Sunday, 26 October 2014
Last updated 1 day ago
Sep 23 2010 | 11:18am ET
The month of the comeback continues: Hedge fund Basswood Partners is emerging from its four-year slumber, hiring a marketer to begin raising money once again.
The New York-based firm returned the bulk of its client assets in June 2006 following a disagreement with clients about the fund’s performance expectations, Bloomberg News reports. It also stopped accepting new money at the time.
But the firm, which is headed by twin brothers Bennett and Matthew Lindenbaum, still manages some $400 million, has reopened to investors. And after considering hiring a third-party marketer to find new clients, Basswood instead hired Ivy Investment Management and Brencourt Advisors veteran Jim Sheehan to do its fundraising.
In addition to taking part in September’s “comeback” theme, Basswood is also joining the hordes of hedge funds cutting fees. The firm will charge 1.5% for management and offer clients who agree to lockup their capital lower performance fees. Those who agree to part with their money for three years will pay only 10% and a two-year lockup earns a client a 15% fee, while those who want quarterly liquidity will pay the full 20%. Basswood has a $2 million minimum investment requirement.
The firm is up about 1% this year after returning 12.5% last year.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
David and James Hamman launched their fundamental Livestock and Grains Program in March of 2010 but it really was decades in the making.