Monday, 24 October 2016
Last updated 2 days ago
Dec 6 2012 | 11:33am ET
Deer Park Corp. is readying a new credit hedge fund as it closes its current offering to new investors.
The firm plans to close its STS Partners Fund, which now manages over $600 million. The distressed mortgage and asset-backed fund has garnered more than $250 million in new assets since May, when it established its three year track record—an impressive one, with annualized returns of almost 30%, Hedge Funds Review reports.
With its first fund closed to preserve performance, Deer Park plans to launch another credit fund in the second quarter. The new fund, based on a $150 million separately-managed account the firm already manages, will employ the same strategy as STS Partners, but will focus on securities higher in the capital structure—with consequently lower returns expected.