Larch Lane and PineBridge halt fundraising for joint seeding vehicle
By Lawrence Delevingne
Fri Jun 1, 2012
Select Plus fund drops its push to amass $1 billion; still manages $400 million spilt among five hedge funds.
Select Plus Fund, a joint venture of $1.4 billion hedge fund
investor Larch Lane Advisors and $67 billion asset manager
PineBridge Investments to seed early stage managers, has halted
a second round of fundraising.
The private equity fund launched in June 2008 and soon
closed with $400 million from three sources: Larch Lane,
AIG’s asset management unit (which became
PineBridge), and an undisclosed group of institutional
investors. After the financial crisis subsided, the group began
to raise an additional $600 million beginning in mid 2010,
hoping to seed 10 to 15 additional hedge funds with $50 million
to $100 million in exchange for a portion of their management
and performance fees.
The fund’s original partnership agreement for
the second round of fundraising was all or nothing. It mandated
ISSN: 2151-1845 / CDC10004H
TAKE A FREE TRIAL
The full contents of this article are available to Absolute Return subscribers and trialists only.
To continue reading please, take a free trial, subscribe or log in.
Subscribers have unlimited access to all current and archive content. Start your subscription today - click on the button below.