Friday, 25 July 2014
Last updated 7 min ago
Oct 23 2012 | 1:37pm ET
Former Credit Suisse trader Charlie Chan is finding life as a hedge fund manager to be, well, splendid.
His eponymous firm's aptly-named Splendid Asia Macro Fund has continued its exceptional run during its first full year and is now up 60% on the year, Reuters reports. The US$80 million fund—half of the capital is Chan's—has profited on real-estate investment fund, bond and currency investments, using two-times leverage.
"We took risk when nobody else wanted to," Chan told Reuters. "REIT was a big major long, and then regional equities. We have not sold anything at a loss."
Splendid Asia was up 20% through May, meaning two-thirds of the returns have come in the last four-and-a-half months. The fund debuted last summer.
Chan said he expects things to quiet somewhat over the next few months, and that he's cut back on his bets accordingly. His top pick at the moment are government bonds, especially those issued by his native Singapore.
Chan also said that he expects to add about US$20 million in new assets by the end of the year, and that Splendid Asia could manage up to US$500 million, but that he's not actively managing the fund.
"Do I really want to have that higher profile?" he asked. "If people want to come in and invest, that's fine."
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…