Tuesday, 21 October 2014
Last updated 1 hour ago
Sep 3 2013 | 12:11pm ET
Citigroup is all-but-out of the alternative investments business following the sale of more than $6 billion in assets, including a $4.3 billion private-equity fund.
Citi sold its Citi Venture Capital International to p.e. shop Rohatyn Group, led by Felix Rohatyn's son, Nick. Terms of the deal were not disclosed, but the combined entity, TRG, will have some $7 billion in assets under management in five funds, and will take on many of CVCI's staff, The Wall Street Journal reports.
Citi last month also sold a $1.9 billion emerging-markets hedge fund to its management, the latest in a string of management buyouts for Citi alternative investments business. In February, Citi spun off most of its hedge fund business as Napier Park Global Capital, and this month spun off the remains, about $1 billion, to EMSO Partners, led by the funds' managers. Citi has also stopped making new deals for a $3.4 billion infrastructure fund, which may also be spun off.
Terms of the newest deals were not disclosed, but they leave p.e. fund Metalmark Capital, whith $2.5 billion in assets under management, as Citi Capital Advisors' sole remaining fund. The bank hopes to sell that fund to its managers, as well.
Citi is exiting the alternative investments business to come into compliance with the Volcker rule, which will sharply limit banks' hedge and private-equity fund activities.
Sep 22 2014 | 4:15pm ET
"I tell people that everybody likes good news and so if you have good performance that’s wonderful,” explains Mike McKitish of Peddie School's endowment, “but it’s the people that want to talk about the bad news or where they drifted and how they came back and how they stayed to their discipline…” that he wants to hear from. Read more…
Sep 30 2014 | 9:29am ET
The crisp Autumnal days of October are upon us, and so are a few of the hedge fund industry’s favorite charitable events. If you have never been to Rocktoberfest, well, you are missing out. And for a quieter evening of sipping and socializing, stop by HFC’s Wine Soiree. Read more…
Most traders agree that proper risk management is the key to successful trading. However, many traders depend on the deeply flawed measure of standard deviation as a benchmark of risk. Here we put it ...