Mon, Aug 3, 2015
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
New Managers January 2014

EMERGING MANAGER BULLETIN: Latest developments within the emerging manager community

Former SAC Capital executives are raising piles of cash for new hedge funds

Komfie Manalo, Opalesque Asia:

It seems that the stigma of insider trading scandal that haunts SAC Capital has not rubbed on to many of its former executives who are now raising piles of cash with their own hedge funds, according to a CNBC report.

Jason Karp, Aaron Cowen and James "Jos" Shaver, all SAC alumni, were able to convince investors to trust them with their millions of cash and were responsible for launching the biggest hedge funds last year. The report said more money is coming way for the trio.

Sasha Jensen, founder of hedge fund-focused recruiting firm HFE Search told CNBC, "Investors know it's not fair to paint everyone from SAC with the same brush. They're much more focused on merit to figure out who is a good candidate to invest with or hire. Having SAC on your resume isn't a black mark."

Karp, who worked between 2005 to 2009 at SAC Capital's CR Intrinsic unit as generalist portfolio manager and director of research, launched Tourbillon Capital Partners in Jan. 14, 2013 with $250m in assets. As at Jan. 1 this year, Tourbillon's assets has ballooned to $750m with plans of adding $250m more from investors in the second quarter of 2014. According to the report, former SAC Capital chief investment officer Cowen who worked for the firm from 2008 to 2010, launched the Suvretta Capital Management in October 2012 and generated $165m in capital as of Jan. 1. 2013. Fast forward to Jan. 1, 2014 Suvretta now has $700m in assets after posting a 26.3% gains last year.

Shaver started trading the Electron Capital Partners on May 1, 2012 with $20m in cash. Today, Electron has grown to $191m after posting a 14.72% net of fees from March through December 2013.

"There is very little sense of stigma," one investor consultant told CNBC. SAC Capital's image has been totally tarnished......................

To view our full article please login

This article was published in Opalesque's New Managers a top-down monthly analysis, news and research publication on the global emerging manager space.
New Managers
New Managers
New Managers

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: Despite bumpy June/July, CTAs hold on[more]

    Bailey McCann, Opalesque New York: To say that things have been rocky in managed futures recently is putting it mildly. In June, the industry saw its worst month on a performance basis in the past four years. Then yesterday,

  2. Investing - Hedge fund billionaires bet on London as revival gathers pace[more]

    From Bloomberg.com: London’s fund industry is bouncing back, and U.S. billionaires Steven A. Cohen and Ken Griffin are grabbing a piece of the action. Griffin’s Citadel and Millennium Management, a hedge fund run by Israel Englander, have bulked up in London, where asset growth is outpacing the U.S.

  3. Other Voices: Same day reporting and the evolving role of fund administrators[more]

    By: Scott Price, Head of Business Development and Client Management for North America, Maitland Ernst & Young’s latest glob

  4. Opalesque Roundup: Hedge fund assets rose to 11th consecutive quarterly record level: hedge fund news, week 31[more]

    In the week ending 24 July, 2015, the total global hedge fund industry assets rose to the 11th consecutive quarterly record level in 2Q15 to $2.97tln; Eurekahedge reported that hedge funds raised $93bn in the first six months of 2015; The SS&C GlobeOp Forward Redemption Indicator for July 201

  5. Cowen Group, Inc. to acquire Conifer Securities[more]

    Cowen Group, Inc. and Conifer Securities, LLC had announced the signing of a definitive agreement under which Cowen will acquire Conifer Securities, the prime services division of Conifer Financial Services LLC. The transaction, the terms of which have not yet been disclosed, was approved by the boa

 

banner