Polar Profit Soars As Firm Seeks To Boost Hedge Funds

Jun 15 2011 | 2:31am ET

A rebounding Polar Capital—which saw its annual profit almost triple—is pledging to rebuild its hard-hit hedge fund business.

The London-based firm's hedge funds remain a sore spot, continuing to lose assets even as Polar saw an 11% jump in total firm assets over the past two months to US$4.3 billion. What's more, while its long-only funds—which now account for more than 85% of the firm's assets—are raking in performance fees, its flagship U.K. hedge fund is down 7.38%.

But Polar isn't abandoning hedge funds. CEO Tim Woolley said that the firm would boost its hedge fund range.

"We would like to add something on the hedge fund side over the next 12 months," he said. "We are not focused on a particular sector yet; we are more focused on finding differentiated talent."

Woolley spoke after Polar announced that its pre-tax profit for the year ended March 31 jumped from £3.1 million to £9.2 million. The firm was buoyed by a doubling of performance fee income to £5.7 million.

Polar added that it had earned another £1.5 million in fee income between the end of March and the end of May.


In Depth

Exotic Assets: Investing In Rare Violins

Jan 17 2017 | 4:43pm ET

By definition, alternative investments include exotic assets far beyond your typical...

Lifestyle

'Tis the Season: Wall Street Holiday Parties Back In Fashion

Dec 22 2016 | 9:23pm ET

Spending on Wall Street holiday parties has largely returned to pre-2008 levels...

Guest Contributor

The Trump Administration: What It Could Mean for Carried Interest

Jan 19 2017 | 5:25pm ET

The arrival of the Trump administration brings the potential for a repeal of the...

 

From the current issue of

As initial anxiety over Donald Trump’s victory gave way to market euphoria in the days following the election, there was a casualty. Gold prices.