Wednesday, 3 September 2014
Last updated 15 hours ago
Jul 10 2012 | 11:56am ET
Citigroup hopes to raise as much as $75 million for a new collateralized loan obligation hedge fund—without contributing a dime itself.
Citi's hedge fund unit, Citi Capital Advisors, plans to launch a fund that will invest in the riskier portions of CLOs. The fund will be managed by former Lehman Brothers CLO trader Serhan Secmen.
But while more than a quarter of CCA funds' assets belong to Citi, the bank won't be an investor in Secmen's fund. The bank is trying to replace some of the $5 billion it has in CCA funds with outside capital to come into compliance with the new Volcker rule, which strictly limits the amount that banks can invest in hedge funds.
Citi plans to allow CCA employees to acquire pieces of the business. But Secmen's fund will give Citi a good idea of whether investors are willing to put their money up without the bank doing so.
CCA hopes to raise between $50 million and $75 million for the fund.
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…
The twin debacles of MF Global and PFG have damaged the reputation of the futures industry demanding an examination of customer protection rules. New rules are being implemented, which will add cost a...