Just months after closing Camulos Capital, co-founder Richard Brennan is plotting his hedge fund return.
Brennan and three other Camulos veterans have launched Value Recovery Capital out of the very same offices in Stamford, Conn., that once housed Camulos. And once again, the team is in the hunt for distressed assets.
Value Recovery isn't a hedge fund, at least not yet. For the time being, the firm is offering the manage portfolios of distressed bank or hedge fund assets for clients, and recently struck its first deal to manage a $150 million portfolio for an institutional investor, Hedge Fund Alert reports.
But Brennan admits he's itching to get back into managing a hedge fund of his own, and expects that Value Recovery will launch a fund at some unspecified point in the future.
"There are four of us here with very deep relationships, and we're kind of sitting back and saying, 'It's time to be patient,'" he told HFA. "But we'll be back."
Until then, the foursome will continue to seek out distressed portfolios and investors willing to buy them and turn them over to the former Camulos team. Value Recovery then charges either a finder's fee or a performance fee to manager the assets.
Brennan pulled the plug on Camulos in October, completing its wind-down in the first quarter. The once-$2.65 billion hedge fund, spun off from Soros Fund Management in 2005, was battered by the financial crisis in 2008 and never recovered.