Thursday, 27 August 2015
Last updated 6 min ago
May 1 2012 | 3:08am ET
Stark Investments is well on its way to reaching its fundraising goals for its new mortgage hedge fund.
The St. Francis, Wisc.-based firm expected to raise $100 million for its Mortgage Opportunities Fund last month, and indeed it has, 4-traders.com reports. The biggest chunk of the money came from the Arizona Public Safety Personnel Retirement System, which committed up to $40 million.
Early last month, Stark disclosed that it had raised $39.5 million for the new fund, its first launch of the year. The firm hopes to raise between $200 million and $300 million total.
"There has definitely been a pick-up in investor interest in the asset class and the amount of interest has caused managers to want to come to market with a product because they know there is an appetite for it," Stark co-founder and Mortgage Opportunities portfolio manager Michael Roth told 4-traders.com.
"Where does the yield-hungry investor go to whet their appetite?" he asked. "Investors were waiting to see if they could get yield in other places and found it was not happening."
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…