San Bernardino Shows Appetite For Distressed Credit

May 8 2008 | 7:43am ET

The $6.3 billion San Bernardino County (Calif.) Employees’ Retirement Association is making good on its 4% allocation to credit strategies. The plan last month committed a total of $60 million to a pair of distressed-debt funds

The plan committed $30 million to Angelo Gordon Capital Recovery Partners VI, a $2 billion distressed debt fund, and $30 million to M.D. Sass Waterfall Victoria Fund, a hedge fund investing in less-liquid asset-backed securities.

M.D. Sass launched the fund last year as a follow-on to its two-year-old, $1 billion  Waterfall Eden Fund, which specializes in high-yield and distressed ABS, to take advantage of a potentially large supply of less-liquid ABS available in the marketplace, “as holders ran into some difficulty because of being too leveraged or having redemptions in their funds due to poor performance,” according to a source familiar with the fund.

Jack Ross and Tom Capasse, portfolio managers for Waterfall Eden, also serve as managers for the Waterfall Fund.

In Depth

The Importance of Stability in the Evolving Hedge Fund Administration Market

Oct 5 2015 | 8:17pm ET

Hedge fund administration has evolved from simple record keeping to an integral,...


Citadel's Griffin Reaches Settlement in Contentious Divorce

Oct 8 2015 | 10:14pm ET

Billionaire hedge fund manager Ken Griffin and his wife have settled a long-running...

Guest Contributor

Hedge Fund Marketing To Independent RIA Firms

Sep 30 2015 | 1:56pm ET

In this contributed article, Bruce Frumerman of Frumerman & Nemeth Inc. explains...


Editor's Note