Canosa Capital LLP, the global macro hedge-fund manager created by two former Rubicon Fund Management LLP executives, is poised to triple assets under management to $1 billion within its first year, said two people with knowledge of the matter.
Inflows at the London-based firm that started in May are coming from institutional and wealthy investors in Europe and the U.S., said the people, who asked not to be identified because the details are private.
Canosa, founded by Tim Attias, 48, and Santiago Alarco, 50, with backing from Stockholm-based hedge fund manager Brummer & Partners, began with $272 million in assets, with Brummer supplying about $250 million of that. The fund climbed 9.4 percent from May 1 through Dec. 31, according a performance report obtained by Bloomberg News.
Assets were $635 million as of Jan. 20, according to a letter that Attias and Alarco sent to investors that day along with the performance report. Canosa expects to receive another $115 million by Feb. 3, with an additional $250 million or more to arrive by March or April, said the two people with knowledge of the fund. They didn’t provide details on specific investors.
In an e-mail, Alarco declined to comment on Canosa’s performance and inflows.
Emerging markets “will continue to unwind the excesses built up over the past decade,” Attias and Alarco wrote. The MSCI Emerging Markets equity index has fallen 6.8 percent this year, according to data compiled by Bloomberg.
As a global macro hedge fund, Canosa seeks to profit from economic trends by trading stocks, bonds and currencies. Attias and Alarco expect “further improvements” in developed economies this year, they said in the letter, with “easier credit conditions” and “improved household and corporate confidence.
Canosa has a ‘‘bearish bias in U.S. fixed income,’’ and is invested in developed-markets equities, particularly Germany’s benchmark DAX index, they wrote. The measure has declined 2.5 percent this year, according to data compiled by Bloomberg. The fund managers are ‘‘agnostic’’ on Japanese stocks and bonds and maintain ‘‘a bearish view’’ on the yen, they wrote. The Nikkei-225 (NKY) Stock Average has dropped 8.5 percent this year.
To contact the reporter on this story: Chris Larson in London at firstname.lastname@example.org
To contact the editor responsible for this story: Edward Evans at email@example.com