Mariner Buyers Plan To Double Assets At Hedge Fund

Oct 22 2010 | 1:22pm ET

Orix Corp. has big plans for the New York hedge fund it is buying, Mariner Investment Group.

The Japanese firm aims to boost assets at Mariner to US$20 billion within five years. Orix USA, the Orix subsidiary that agreed to by Mariner's parent company earlier this week for a reported US$185 million, said it would rely in part of growing demand from pension funds.

"Given the level of interest rates in the U.S. and elsewhere, the low rate of returns is pushing pension investors among others to invest more in the hedge fund space," Orix USA President James Thompson told Bloomberg News.

Mariner currently manages US$11.7 billion. Thompson said Orix US would co-invest with Mariner as well as help it set up new funds, but did not offer any details.

"Mariner’s management team believes they should expand a range of fixed-income opportunities and they should also offer certain types of equity products,” Thompson said. “Hedge fund business is very much customer-driven so you have to find products or designs of product that the customer wants."

In Depth

Related-Company Fees: Normal Industry Practice or Conflicted Compensation?

Nov 11 2015 | 4:23pm ET

Regulatory agencies as well as investors are increasingly exploring whether certain...


Ferrari Roars in Wall Street Debut

Oct 21 2015 | 4:28pm ET

Shares of supercar maker Ferrari jumped as much as 15 percent to a high of nearly...

Guest Contributor

Private Debt - What is the Opportunity?

Nov 11 2015 | 3:28pm ET

In this contributed article, Rob Allard, founding partner of Firebreak Capital...


Editor's Note

    Oct 21 2015 | 10:41am ET

    One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…