Friday, 26 December 2014
Last updated 2 days ago
Jun 12 2012 | 12:01pm ET
A hedge fund launched specifically to bet on Spain’s troubled banks has failed (so far) to profit from the crisis.
London's Capula Investment raised $500 million for the Capula Opportunities Fund which it said would capitalize on the "one-time" opportunity presented by Spain's struggling banking system, reports Reuters, quoting two sources familiar with the fund.
The fund bets on the price of credit default swaps and Spanish bank CDS prices have jumped in the past few months, but the Capula Special Opportunities fund returned only 1.9% in May and is down 3.8% year to date
Capula pitched the fund to a select group of institutional investors including the $50.8 billion Pennsylvania Public School Employees’ Retirement System. Reuters says a September board resolution recommended the pension invest up to $250 million in the fund which was targeting net returns of 50% to 70% while limiting the downside to just 10% per year.
Capula was founded in 2005 by Yan Huo, a former electrical engineer with a doctorate from Princeton, and ex-UFJ International's Masao Asai. Goldman Sachs' Petershill vehicle bought almost 20% of Capula in 2008.
Dec 1 2014 | 10:21am ET
As 2014 winds down, Northern Trust Hedge Fund Services executives took some time to share their outlook on trends facing the industry in 2015. Read more…
Jeff Sprecher was simply looking for a platform to trade energies when launching ICE 14 years ago but it has grown to reach the pinnacle of both the listed futures and equities world.