Friday, 29 April 2016
Last updated 2 hours ago
Jan 10 2011 | 4:39am ET
The breakup of Goldman Sachs’ proprietary trading operations is proving a boon to the hedge fund industry.
With two groups of Goldman Sachs Principal Strategies alumni having recently launched hedge fund and another fundraising, a fourth new hedge fund is rising from the prop. desk’s ashes. Ariel Roskis and Daniele Benatoff have secured $300 million in seed funding for their new fund from Brummer & Partners, set to debut in the second quarter.
The new London-based European event-driven operation remains without a name, according to the Financial Times. In its registration papers with the U.K. Financial Services Authority, it is referred to as IEL.
In addition to providing the seed investment, Brummer will have an equity stake in the new firm. Roskis, formerly a portfolio manager at GSPS, will be chief investment officer, and Benatoff head of research. The firm is currently seeking a CEO and chief operating officer.
Former U.S. GSPS COO Eric Mandelblatt in November launched his Soroban Capital Partners with at least $500 million. Ex-GSPS head Pierre-Henri Flamand launched Edoma Capital with nearly $1.3 billion in initial assets and commitments in the same month. Meanwhile, the prop. desk’s top man in Asia, Morgan Sze, is in the process of fundraising for his Azentus Capital, for which he is seeking as much as $1.5 billion.
In addition, GSPS’s U.S. proprietary team, led by Robert Howard, will join Kohlberg Kravis Roberts this year.