London platform Falcon Investment Management is planning to launch a fund of crypto hedge funds with the goal of raising USD250 million for the new product over the next year.
Due to debut in January, the Cayman-domiciled Falcon Fund of Funds will initially invest in five crypto-focused hedge fund teams that sit within Falcon’s platform and are subject to the firm’s risk and compliance controls.
The five separate teams manage arbitrage, market neutral, volatility, directional, and DeFi focused crypto strategies. The fund will charge one and 15, with monthly liquidity. There in an investment minimum of USD100,000.
The plan is to equally allocate investor capital across the five strategies, four of which were collectively up 42.08 per cent YTD at the end of November. Performance for the DeFi strategy will be factored in after it hits its six-month track at the end of this year.