#For the first time since its inception 10 years ago, hedge fund legend Steve Mandel's Lone Pine Capital Management is spawning offspring - and investors hope they are just the beginning of a new family of so-called Lone Pine cubs.
David Stemerman is seeking to create another multibillion-dollar firm around him, launching his Conatus Capital Management on January 2 with as much $2 billion. Matt Iorio is said to be aiming initially for slow, controlled growth and fewer investors. He will begin trading his White Elm Capital this month with about $250 million. Both funds will follow bottom-up, global long/short strategies similar to Mandel's.
The close timing of the launches is apparently coincidental. Both Stemerman and Iorio were ready to put their own...