Wednesday, 23 July 2014
Last updated 35 min ago
Oct 25 2010 | 2:08am ET
The industry's biggest hedge fund seeders have more than $1 billion available to deploy—and plan to quadruple that amount over the next 12 months, according to a new report.
Seven seeding firms are sitting on $1.04 billion, according to HFMWeek research, led by the Blackstone Group, whose Strategic Alliance unit raised $500 million for its second fund earlier this year but hasn't invested a dime. What's more, those seven say they hope to raise another $3 billion for seeding over the next year.
In addition to Blackstone, Larch Lane has $105 million left to seed new talent, FRM Capital Advisors has $150 million, IMQubator has €100 million, SkyBridge Capital Management has $50 million, Sweden's SEB has $50 million and Erste Bank has $45 million.
Those same firms have big fundraising plans to go with their seeding plans. Blackstone and Larch Lane each hope to raise an additional $600 million, while SkyBridge, fresh from its acquisition of three Citigroup hedge fund businesses, hopes to raise $500 million for its next seeding fund.
FCA—"very much in the capital-raising mode," chief operating officer Patric de Gentile-Williams tells HFM—hopes to net a further $160 million. IMQubator is mulling the biggest fundraise of them all, possibly seeking an additional €750 million.
Nor are those firms alone. The Carlyle Group, CYAN Management, Reservoir Capital, Revere Capital and Stride Capital are all also rumored to be considering a fundraising push for seed vehicles.
Jul 8 2014 | 10:48am ET
The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…