Friday, 1 August 2014
Last updated 5 hours ago
Oct 29 2013 | 7:48am ET
Cerberus Capital Management has launched a new commercial mortgage-backed securities hedge fund.
The New York-based alternative investments giants rolled out the CMBS Opportunities Fund on Oct. 7, seeking to take advantage of the growing market in commercial mortgage debt, Bloomberg News reports. CMBS issuance is likely to double this year, according to Credit Suisse Group.
The "new issuance market has grown steadily since 2009, with 2013 issuance ahead of last year's pace," Cerberus wrote in a letter to investors.
The new fund is managed by Ross Feldman, Kyle Schneider, Scott Stelzer and Matthew Waldenberg. The team, led by Stelzer, head of commercial mortgage trading at Cerberus, joined the firm in 2008.
CMBS Opportunities trades senior and subordinated mortgage-backed securities, interest-only securities, collateralized debt obligations and mezzanine loans.