Saturday, 2 August 2014
Last updated 11 hours ago
Nov 7 2011 | 1:18pm ET
Commodity hedge fund Galena Asset Management hopes to more than double its assets under management over the next two years, increasing the size of its current funds and launching new ones, including its first private equity fund.
The US$1.8 billion asset management arm of Trafigura, which moved the hedge fund to Geneva, Switzerland, earlier this year, aims to manage in excess of US$4 billion two years from now.
"At the moment, liquidity is transferring from banks to others such as commodity traders and hedge funds," Galena CEO Jeremy Weir told the Financial Times. "If the banks are in a distressed situation and need to sell assets, then there will be some opportunities."
To capitalize on those opportunities, Galena plans to open its new macro fund to outside investors in January and to launch a mining-focused private equity fund in the first quarter. Galena plans to seed that fund with US$100 million and to raise an additional US$400 million over the next few months.
Galena has even bigger plans for the macro fund, which debuted last year with seed capital from Trafigura. Weir told the FT that it could raise up to US$1 billion.
Galena also plans to raise US$300 million before the end of the year for its commodity trade finance fund.