Monday, 8 February 2016
Last updated 28 min ago
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.