New York-based hedge fund manager John Paulson, whose firm now manages USD35bn, has announced in a conference call with investors his readiness to take long positions in mortgage securitie
New York-based hedge fund manager John Paulson, whose firm now manages USD35bn, has announced in a conference call with investors his readiness to take long positions in mortgage securities and banks, as and when their prices fall in his target range. Paulson was one of the most successful hedge fund managers last year after betting against the sub-prime mortgage sector.
However, he still remains extremely bearish and expects total credit losses worldwide to reach USD1.3trn. Paulson & Co will launch the Recovery Fund next month and will allow investors to transfer capital from the firm’s twin Credit Opportunities funds, which have USD11bn in assets after rising by 590 and 352 per cent respectively last year.
Ken Heebner, one of the hottest names in the mutual fund world, plans to raise up to USD5bn for his new hedge fund, Wayfarer Capital, which has so far brought in USD73m from rich individuals and institutions. Heebner’s CGM Focus Fund, which employs a macro strategy, returned 17 per cent in the year to the end June but has struggled since.
Goldman Sachs alumnus Mark McGoldrick, nicknamed ‘Goldfinger’ for his impressive trading record, is looking to raise a USD5bn fund that will invest in special situations, targeting companies and assets that have declined in value due to the global credit turmoil.
US hedge fund manager Fairfield Greenwich Group and Banque Bénédict Hentsch, a Geneva private bank, have merged. While the terms of the deal weren’t announced, the Swiss bank and Fairfield will each have two members from the other on their respective boards, and will manage USD18bn between them. Fairfield currently manages USD16.6bn in assets.
Camulos Capital is offering investors lower fees if they promise not to withdraw their capital until 2010. It will charge 1.25 per cent and 10 per cent, instead of the standard 2 and 20 per cent, under certain conditions.
Citadel Investment Group has hired three portfolio managers and has recruited Glenn Perillo, who previously worked at BlackRock for 10 years, as head of research for its securitised products unit. Citadel may launch a special opportunities fund focused on the troubled mortgage market and its reported to be targeting more than USD1bn.
The three portfolio managers, who will work on securitised products under Bill King, are Kevin Scherer, formerly of Crédit Lyonnais and Midway Group, Brian McDonald, previously a member of JPMorgan’s asset-backed securities principal investment unit, and Rajan Dabholkar from Proxima Alfa Investments. The USD20bn manager is also planning to launch a global macro fund.
Alternative asset manager Angelo Gordon has hired Victoria Aston-Duff as head of Europe. She previously spent 17 years working for Bear Stearns International and was most recently co-head of equity, derivative and prime brokerage sales for Europe. Angelo Gordon manages USD20bn in assets classes including hedge funds, private equity and real estate.
Gottex Fund Management has hired James Singh as deputy head of its business in Asia. He will act as a joint portfolio manager for the Gottex Tiger Fund and will also help with marketing. Singh was previously chief administrative officer and head of strategic planning for capital markets in Asia at Lehman Brothers. He now works closely with Peter Bennett, who heads Gottex’s Asian business.
Jefferies Putnam Lovell, the investment banking arm of Jefferies & Company, has re-hired Karamvir Gosal. Following a seven-year stint at Jefferies Putnam Lovell’s predecessor firm, he joined Credit Suisse’s Financial Institutions Group last year.
Paris-based Olympia Capital Management has hired Laurent Dupeyron as head of sales, marketing and product development, working closely with founder Marc Landeau. Dupeyron was previously a managing director at Goldman Sachs.
London-based hedge fund manager GLG Partners has hired Anthony Burton as the joint portfolio manager of its global technology fund, the latest in a series of appointments as it prepares for life without star emerging markets manager Greg Coffey.
