After more than four years building a track record, Harbor Drive Asset Management is ready to take on outside investments.
The Stamford, Conn.-based firm has officially launched its eponymous maiden hedge fund, which has been trading since the beginning of 2007. The firm is hoping to boost its $20 million in assets under management to as much as $2 billion, aiming its fundraising efforts at U.S. family officers and small- and mid-sized institutional investors, HFMWeek reports.
Harbor Drive is also in talks with a possible strategic partner.
The event-driven hedge fund was founded by Michael Vaughn, formerly of CRT Capital Group, and Bill Ullman, founder of hedge fund Right Wall Capital. Right Wall and Harbor Drive merged when Ullman joined the firm last year.
So far, the co-portfolio managers have done very well. The fund returned 131% in 2009 and 27% last year, and it is up 5.6% this year.
Harbor Drive charges 2% for management and 20% for performance, with a $1 million minimum investment for individuals and $5 million for institutions. There is no lockup and monthly liquidity with three months' notice. Pershing Prime Services has been tapped as prime broker.