Thursday, 11 February 2016
Last updated 8 hours ago
Jan 2 2009 | 12:00am ET
Zurich, Switzerland-based Finvest Asset Management has been awarded a $2.5 billion allocation for investment in private equity.
According to the firm, the recession, negative sentiment, and the credit crunch, have all combined to create significant value opportunities.
The fund will seek to allocate capital to between 25 and 100 European and U.S. companies, with each allocation ranging in a value of between $10 million and $250 million. The new fund's time horizon will be between 3-5 years, although liquidity will be an important criteria in assessing risk. Companies below a $200 million market capitalization will not be discounted, however, the fund will be favorably disposed towards companies with higher market capitalization levels, and which exhibit a high percentage of outstanding shares.
"While we are not looking to cut corners on due diligence, we are looking to fast track the allocation process, so that we can take advantage of a market which has been beaten to shreds," said Finvest portfolio strategist Mayer Greenwald.
Last year Finvest won a $300 million mandate which will be separately invested in a fund of hedge funds.