KKR To Launch Two Mutual Funds

Jul 20 2012 | 2:15am ET

Private equity giant Kohlberg Kravis Roberts is going retail, in the form of a pair of mutual funds.

New York-based KKR said it would launch a pair of distressed funds targeted at individual investors. One will be a closed-end vehicle investing in both stocks and bonds, while the other will give retail investors a taste of one of KKR's specialties: high-yield debt.

The former, the KKR Alternative Corporate Opportunities Fund aims to profit from the European debt crisis and other distressed situations. The latter, the KKR Alternative High Yield Fund, will put at least 80% of its money in high-yield debt, primarily in the U.S., KKR said in regulatory filings.

KKR did not say what the funds' minimum investment requirements would be, nor the management fees it plans to charge. But it did say that it expected to make quarterly distributions and would have quarterly repurchase offers for the closed-end Alternative Corporate fund. Neither will be listed on an exchange.

In offering its first mutual funds, KKR follows in the footsteps of competitor the Blackstone Group, which offers two publicly-listed closed-end mutual funds. Apollo Global Management also has a listed closed-end fund.


In Depth

Israeli Hedge Fund Harnesses Big Data

Jul 28 2014 | 8:10am ET

Apica Green is a multi-million dollar Israeli hedge fund that is based in Tel Aviv...

Lifestyle

David Yarrow On Growing His Hedge Fund And Shooting The Animals And People Of Africa - As A Photographer

Jul 23 2014 | 6:44am ET

While he’s always been a photographer, recent expeditions to Iceland, Ethiopia...

Guest Contributor

The Truth About Track Record Portability

Jul 24 2014 | 5:55am ET

The number of private funds converting to mutual funds has increased significantly...

 

Sponsored Content

    Northern Trust Helps Hedge Funds Navigate Derivatives Regulations

    Jul 8 2014 | 10:48am ET

    The surge in derivatives regulation is among the most complex challenges facing the financial services industry today. Northern Trust’s Joshua Satten recently spoke with FINalternatives to share insights into the challenges presented by new regulation and explore how the industry is responding. Read more…

Publisher's Note