Monday, 1 September 2014
Last updated 3 days ago
Jun 12 2012 | 12:21pm ET
A hedge fund launched specifically to bet on Spain’s troubled banks has failed (so far) to profit from the crisis.
London-based Capula Investment launched the Capula Special Opportunities fund with $500 million but it hasn’t lived up to its hype, returning 1.9% in May and losing 3.8% year to date.
The fund bets on the price of credit default swaps. Spanish bank CDS prices have jumped in recent months, but the fund has yet to capitalize.
Capula pitched the situation as a “one-time opportunity” to a select group of institutional investors including the $50.8 billion Pennsylvania Public School Employees’ Retirement System, says Reuters citing a September board resolution recommending 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.
Aug 25 2014 | 11:21am ET
As many of you know, FINalternatives was recently acquired by the owners of Futures magazine, a firm called The Alpha Pages LLC. Today marks the soft-launch of a new sister site for both publications. As its name suggests, The Alpha Pages will cover all types of alternative investments, going far beyond the more well-known ones such as hedge funds and private equity. Read more…
Commodities/Futures magazine launched at the precipice of a revolution in the futures industry—really a revolution in the idea of risk management—that would move it from a small niche industry to ...