Thursday, 31 July 2014
Last updated 5 hours ago
Sep 4 2007 | 11:30am ET
Denver-based Geronimo Financial Asset Management board of trustees last month voted to close the firm’s trio of hedge funds.
The Geronimo Multi-Strategy, Sector Opportunity and the Option & Income funds are “no longer pursuing their respective investment objectives,” according to the firm’s Web site. “All holdings in the Funds’ portfolio are being liquidated, and the proceeds will be invested in money market instruments or held in cash. Any capital gains will be distributed as soon as practicable to shareholders…”
A call to founder David Prokupek was not returned before press time.
The funds launched in January 2006 and employ equity long/short, option writing and market neutral strategies to beat its benchmark, the Merrill Lynch 90-Day T-Bill Index. Although the firm didn’t give any reasons for shuttering its hedge funds, a quick review of their year-to-date performances may explain their demise. Through August, the Geronimo Multi-Strategy Fund (Class I) is down 9.55%, the Geronimo Sector Opportunity Fund (Class I) (GPSIX) is down 5.28% and the Geronimo Option & Income Fund (Class I) (GPOIX) is down 2.44%.
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…