Bay Area Family Office Launches Statistical Arb. Fund

Nov 14 2008 | 3:00am ET

There are actually new hedge funds that didn’t get hammered in September and October: San Francisco-based Quantum Pacific Investments’ long/short equity hedge fund, Quantum Pacific Tactical Equity Fund, netted 3.32% last month on top of its 3.26% return during its first two months of trading.

The fund, which currently manages $22.4 million in assets, is a statistical arbitrage vehicle that strives to be market-neutral, according to the firm. Its objective is to be fully-invested at all times in 100% liquid securities that are publicly-traded and marked-to-market, nightly. The firm emphasizes that its fund does not use a black box approach but seeks to sweep the over 15,000 publicly-traded securities that are traded on U.S. exchanges each day, including stocks, bonds, exchange-traded funds, mutual funds and closed-end funds.

“All trade decisions are done on an individual basis and trades are produced by hand,” said the firm.

The fund charges a 1.5 % management fee and a 20% incentive fee. Its minimum investment requirement is $250,000.

Controller Jeff Coddington said there are several variations of the firm’s tactical equity portfolio in the works, including long-only and short-only adaptations.

Quantum Pacific is the asset management arm of San Francisco Sentry Securities.

In Depth

Related-Company Fees: Normal Industry Practice or Conflicted Compensation?

Nov 11 2015 | 4:23pm ET

Regulatory agencies as well as investors are increasingly exploring whether certain...


Ferrari Roars in Wall Street Debut

Oct 21 2015 | 4:28pm ET

Shares of supercar maker Ferrari jumped as much as 15 percent to a high of nearly...

Guest Contributor

Private Debt - What is the Opportunity?

Nov 11 2015 | 3:28pm ET

In this contributed article, Rob Allard, founding partner of Firebreak Capital...


Editor's Note

    Oct 21 2015 | 10:41am ET

    One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…