Consonance Capital Raises $856m for the Second Fund (Opalesque.com)
New York-based Consonance Capital (CCP) announced that its sophomore private equity fund was closed at its hard cap of $856 million. The healthcare private equity firm said that consistent with its predecessor fund, Fund II will focus on investments in U.S. healthcare companies in the lower and middle markets. Its first PE fund closed on $500 million in 2014. CCP’s four Managing Partners and Co-Founders, Mitchell Blutt, Benjamin Edmonds, Stephen McKenna, and Nancy-Ann DeParle said in a joint press release: “We are very pleased to close our second fund at its hard-cap and want to thank our limited partners for their commitment to our firm. Our team will continue to be highly focused and disciplined as we look at investment opportunities that provide high-quality care and where we believe we can help businesses grow and succeed through our strategic advice, operating expertise, extensive relationships, and prudent financial management.”
Hedge Fund Manager Kyle Bass: I’m Surprised at Size of Market Bounce Given the Terrible Economy (CNBC)
Hedge fund manager Kyle Bass told CNBC on Tuesday that he didn’t anticipate the stock market to recover as significantly as it has from its coronavirus-driven lows in March. “I’m surprised at the size of the bounce when you look at our economy and the fact that we [may] have … 20% unemployment, and in the center of the fairway of where we think it will be by the end of the year, in a perfect world, maybe we’ll be back to 7% to 10% unemployment,” Bass said on “Squawk Box.”
U.S. Billionaire Ray Dalio Calls America’s Jarring Inequality “National Emergency” (NewsGhana.com.gh)
Ray Dalio, a U.S.billionaire, recently said that America’s jarring inequality is a “national emergency，” according to a Business Insider report on Monday. “There need to be powerful forces from the top of the country that proclaim the income/wealth/opportunity gap to be a national emergency and take on the responsibility for reengineering the system so that it works better,” Dalio, the founder of hedge fund Bridgewater Associates, said in an online video chat with Sal Khan, the founder of education nonprofit Khan Academy.
Trident Capital Management Outperforms in a Tough Environment for Systematic Global Macro (Opalesque.com)
Few new funds come to market with the pedigree that Chicago-based Trident Capital Management does. The Trident Futures Fund, a systematic global macro fund which launched in January 2019, is backed by noted systematic trader Jay Feuerstein and is already winning awards. The Trident Futures Fund runs on three proprietary trading models: Vega, RR, and the Engle model which use measures of market volatility and risk appetite to add stability and consistency to Trident’s portfolio. These models are meant to be valuable in times of crisis by either being “short” equity or “long” fixed income, or both. The models work in concert depending on how markets are behaving at any given time. Individual models may turn on or off based on market signals.
PriorNilsson Launched Two-in-One Fund (Hedge Nordic)
Stockholm (HedgeNordic) – Stockholm-based asset manager PriorNilsson Fonder has launched a fund of funds investing in its own hedge funds without charging a double layer of fees. Launched in December of 2019, PriorNilsson Balans allocates capital between the asset manager’s low-risk market-neutral fund, PriorNilsson Yield, and its more aggressive long/short equity fund, PriorNilsson Idea. “The launch of PriorNilsson Balans is a result of investor demand,” Marcus Ehrenpreis, Head of Sales and Marketing at PriorNilsson Fonder, tells HedgeNordic. “We also wanted to launch a fund that has a risk-return target that fills in the gap between our low-risk fund Yield and our fund Idea,” he adds. Whereas PriorNilsson Balans can invest in all the funds managed by PriorNilsson, “the objective is to only invest in Yield and Idea,” explains Ehrenpreis. PriorNilsson’s fund range also includes three equity funds – a Swedish equity fund, a global equity fund, and a real estate-focused equity fund.
Markets Remain Volatile Amid Lockdown Exit “Marathon”, Says BlueBay (Hedge Week)
Volatility across asset classes will remain elevated as global economies grapple with the continued coronavirus lockdown, with Black Swan events appearing “all too often”, according to BlueBay Asset Management. Mark Dowding, BlueBay’s chief investment officer, said it is unlikely that any market rally over the next few months will proceed in a straight line, describing the period ahead as a potentially “bumpy journey” but also “rich in opportunity.” “We should expect markets to remain volatile as we go through the next couple of months. I think the example of the vol spike in oil is a reminder of this,” Dowding said on a recent BlueBay podcast update.
Arbitrage, Biotech & Bitcoin: What Opportunities Hedge Funds May Grasp Amid COVID-19 Storm (SputnikNews.com)
Though hedge funds have suffered severe losses due to the coronavirus-related recession, the White House is not going to bail them out. US hedge fund managers have explained how their businesses are weathering the perfect storm and what unique opportunities COVID-19 has offered. On 24 April, the US Small Business Administration announced that that hedge funds and private equity firms aren’t eligible for the small business relief programme as President Donald Trump inked into law a $484 billion aid package, part of the White House’s $2 trillion-plus response to the COVID-19 pandemic.