Investcorp has acquired the hedge fund of funds business unit of SSARIS Advisors, a manager of absolute return hedge fund strategies and hedge fund of funds strategies headquartered in Wilton, Connecticut.
Four key members of SSARIS' hedge fund of funds investment team are joining Investcorp this week in New York. The investment management of absolute return hedge fund strategies will remain with SSARIS.
With this business unit's approximately USD800 million in discretionary and advisory assets, and clients across the US, Europe and Asia, this acquisition will help grow Investcorp's existing Hedge Funds platform and is consistent with its long term strategy to focus on its four areas of expertise: Fund of Funds, Single Managers, Special Opportunity Portfolios and Alternative Beta solutions, and to seek superior returns for its clients.
"The hedge fund of funds products and team of SSARIS is the first acquisition for Investcorp's Hedge Funds business and clearly affirms our commitment to the expansion of our business to meet investor demand for innovative and customised solutions," says Lionel Erdely (pictured), Head and Chief Investment Officer of Hedge Funds at Investcorp. "Prior to agreeing on the integration, both Investcorp and SSARIS spent a great deal of time ensuring that transitioning the team to Investcorp's infrastructure would create value and preserve continuity for the clients of our two institutions. These two factors have been paramount in our decision to move forward on this acquisition. Investcorp and SSARIS are well aligned in terms of Investment philosophy and processes."
This acquisition complements the growth initiatives that Investcorp has commenced in its other product lines. Investcorp launched its Alternative Beta offering in June 2015, and recently announced a strategic partnership with Nut Tree Capital Management through its Seeding Platform. Investcorp continues to invest in new senior talent bringing additional resources across its platform. As of 30 June, 2015, Investcorp's Hedge Funds business has approximately USD4.1 billion in assets under management ("AUM") including assets managed by third party managers where Investcorp receives fees calculated on the basis of AUM. The Hedge Fund Business' regulatory assets under management as of 30 June, 2015 was USD1.9 billion.
ity hedged managers have maintained their gross and net exposures, expecting continued opportunities for dispersion and rewards for stock selection.”
