Omega Advisors is the latest major hedge fund offering its services to Canadian retail investors via a closed-end fund.
The New York-based US$4.9 billion firm and Artemis Investment Management are collaborating on the new fund, which unlike Omega's main hedge funds will be available to Canadian investors with a minimum investment of just C$5,000. Artemis, which manages about C$200 million, is already selling shares of the Omega Advisors U.S. Capital Appreciation Fund, according to its prospectus.
The new fund will employ "substantially the same" strategy as Omega's flagship Omega Capital Partners fund, which has enjoyed annualized returns of almost 13% since its launch almost 19 years ago. Omega Capital is a long/short equity vehicle.
It is unclear how much Artemis hopes to raise for the new Omega fund. Shares are being offered for C$10 apiece.
Omega's entry into the Canadian retail market follows those of fellow hedge fund BP Capital and Paulson & Co. The Paulson fund, which was delayed earlier this year after U.S. regulators sued Goldman Sachs over a collateralized debt obligation linked to the firm, is set to close its offer period at the end of the month; it has raised about C$50 million.