Prophecy Seeds Hedge Fund Formed By MIT Students

Oct 27 2017 | 10:27pm ET

Hedge fund seeder Prophecy Asset Management has allocated $30 million to a new long/short equity strategy created by Boston-based Birch Island Capital. 

The quantamental strategy incorporates advanced methods of statistical machine learning combined with fundamental analysis applied to a scalable quantitative portfolio construction process, according to a statement. Birch Island was founded by a group of current Massachusetts Institute of Technology students majoring in economics, finance and computer science.  

“As an allocator actively seeking opportunities to deploy a steady flow of investor capital, we interview over 1000 managers a year from a wide range of firms,” said Jeffrey Spotts, CEO & founder of Prophecy, in the statement. “While scouting for innovative investment strategies, different trading methodologies and new launches, we were introduced to the Birch Island team.”

Based in New York and formed in 2001, Prophecy Asset Management operates multi-manager platforms as an SEC-registered RIA, allocating to managers of equity long/short strategies. The company’s clients are U.S. and European family offices, foundations, global high net worth investors and public pension plans. 


In Depth

Q&A: Portfolio Advisors' Brian Murphy On The Advantages of A Private Markets Platform

Jan 2 2018 | 11:05am ET

Most private markets firms reference their platforms as a source of competitive...

Lifestyle

CFA Institute To Add Computer Science To Exam Curriculum

May 24 2017 | 9:25pm ET

Starting in 2019, financial industry executives sitting for the coveted Chartered...

Guest Contributor

Steinbrugge: The Top Hedge Fund Industry Trends for 2018

Jan 2 2018 | 12:22pm ET

Each year, Don Steinbrugge’s Agecroft Partners compiles the insights gained...

 

FINalternatives Trending

From the current issue of