Sitting On $1 Billion, Seeders Seek $3 Billion More

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.


In Depth

Fundraising for Mid-Sized PE Funds: Should You Use a Registered B/D?

Dec 6 2016 | 7:18pm ET

When does a fund sponsor need to use a registered broker/dealer when raising capital...

Lifestyle

Trump Attends 'Villains and Heroes' Costume Party Dressed As...Himself

Dec 5 2016 | 11:16pm ET

U.S. President-elect Donald Trump attended a "Villains and Heroes" costume party...

Guest Contributor

A Hard Look At Your ‘Soft’ Hedge Fund Marketing Information

Dec 8 2016 | 9:03pm ET

Conventional wisdom holds that due diligence examines quantitative as well as qualitative...

 

From the current issue of

Since the inception of Modern Trader, a core editorial theme has centered on the wisdom and power of crowds. Editorial emphasis has focused on companies and projects engaged in the collection and analysis of information. 

AVAILABLE NOW at BARNES & NOBLE

NEWSTAND LOCATOR