Michael Germino’s Ghisallo Capital Management has obtained a regulatory license for its Hong Kong operations, marking a rare move by a foreign hedge fund to expand into the city amid challenging economic and geopolitical conditions, according to a report by Bloomberg.
The report cites information on the Hong Kong Securities and Futures Commission’s (SFC) website as confirming that the license was issued late last month.
Ghisallo Capital, based in Boston, Massachusetts, managed $3.4bn in assets as of the end of 2023. The firm incorporated its Hong Kong unit a year ago, according to local business registration records.
Under the leadership of Chief Investment Officer Michael Germino, the firm employs diverse investment strategies, including long and short equity trades, event-driven strategies, credit investments, and global macro trading across multiple asset classes, as detailed in regulatory filings. Germino, who previously worked at Soros Fund Management and Scott Bessent’s Key Square Group – the hedge fund founded by Donald Trump’s Treasury Secretary pick Scott Bessent – established Ghisallo Capital four years ago.
Hong Kong’s government and regulators have been actively working to restore the city’s reputation as a premier financial hub. Once a magnet for international managers, the city’s appeal has waned in recent years due to the pandemic, geopolitical tensions, and a slowdown in China’s economy. These factors contributed to an exodus of financial professionals and a decline in new arrivals.
However, there are signs of recovery, with Bloomberg analysis showing a net increase of approximately 830 licensed financial professionals over four months, bringing the total to nearly 42,000 as of October.
