Los Angeles-based Dalton Investments has launched two new funds, one focused on distressed debt from emerging markets and the other on managed buyouts in Japan.

The funds, Dalton Emerging Market Debt Fund and JMBO Fund Ltd, have been available to offshore investors from 1 April 2003.

Steve Hope, who joined the firm recently from San Francisco Sentry Investment Group, will manage the emerging market debt portfolio and James B. Rosenwald III will manage the Japan management buyout portfolio.

* Former Lazard LLC fund managers Simon Higgo, Mark Pollard and Angus Parker have joined former Lehman Brothers Group Inc. banker Jeremy Graham, to start Jura Capital LLP in London. Jura Capital plans to introduce a long/short European equity hedge fund on 2 June 2003.

* Less than a year after leaving Lazard Asset Management, William von Mueffling is planning to launch a new hedge fund according to newspaper reports. Von Mueffling reportedly wants to raise £350m for a long/short equity fund by September. The new hedge fund will be named after Richard Cantillon, the Irish economist, and will have offices in London and New York.