JST Capital Readies Long/Short Fund

New York-based JST Capital Partners is gearing up to launch its first fund, a long/short equity vehicle that will use options and futures to hedge its equity positions.

Mark Moskowitz, manager of the new offering, plans to roll out JST Capital Partners L.P. in mid-October with around $7 million in assets under management, and expects to bring in another $15 million to $20 million by year-end.

The fund will invest in between 20 and 30 stocks across all sectors, and Moskowitz is aiming for monthly returns in the 1.5% to 2% range. “My sights are on steady returns with a low standard deviation,” he said, adding that he takes a top-down investment approach, and is placing an emphasis on risk management.

“Before I ever enter a trade, I know what levels I’ll exit,” said Moskowitz, who has spent 15 years in the financial industry, including a 13-year stint at Paine Webber.

The minimum investment in the new fund is $250,000, and fees are 2% for management and 20% for performance. Rothstein Kass is serving as the auditor and Bear Stearns as the prime broker. Integrated Investment Solutions is providing back-office support.