Blue River Asset Management Launches Offshore Fund

Dec 8 2005 | 5:06pm ET

Belvedere, Calif.-based Blue River Asset Management has launched an offshore hedge fund domiciled in the Cayman Islands, the Blue River Muni International fund.

The new offering, managed by Robert Bigelow, employs a relative value municipal bond arbitrage strategy. The fund has approximately $50 million in commitments, and is targeted at U.S. tax-exempt institutional investors such as pension funds and endowments, as well as offshore investors.

According to sources close to the firm, Blue River’s four-year-old onshore municipal-arbitrage vehicle, which uses the same strategy as the new fund, has generated tax-free cash income of over 10% per year while taking AAA credit risk and zero net duration risk.

The expectation is that the offshore municipal arbitrage fund will generate about 1% more in annual income with the same credit and duration risk. Blue River Asset Management has just under $2 billion in assets under management.

The fund has a one-year lockup and a minimum investment of $1 million.


In Depth

In Depth: Are Large Judgments The Next Target for Hedge Funds?

Aug 12 2015 | 3:46pm ET

Hedge funds are no strangers to making investments that are sensitive to litigation...

Lifestyle

Provio Brings Anonymous Interviewing to Wall Street

Aug 12 2015 | 2:44pm ET

Taking a page from social networking and dating websites, a startup technology company...

Guest Contributor

Agecroft Partners: Hedge Fund Industry Assets to increase $250B by Summer 2016

Aug 11 2015 | 11:29am ET

Assets will continue to flow into the hedge fund industry despite long-standing...

 

Editor's Note