Launches & Closures

Vertical Capital preps liquid RMBS fund


The mortgage focused firm is expanding beyond a strict private equity structure.

   Miriam Freier of Vertical Capital
   Miriam Freier (Photo: Vertical)
Vertical Capital is preparing to launch a more liquid version of its successful four-year-old residential mortgage backed securities fund.

The Resolution Credit Opportunities Fund II is set to launch September 1 and will use a hybrid hedge and private equity fund structure to invest in non-agency residential mortgage-backed securities. The fund will focus on subprime and other mezzanine tranches of RMBS to "capitalize on inefficient pricing and improving housing fundamentals," according to marketing materials. 

Firm co-founder Brett Graham and partner Beth Ferraro are the fund's portfolio