Hedge Funds

Drake seeks $100m for new low vol product

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After the equity markets got toasted, many investors upped their allocations to fixed-income. Now, with equity markets rebounding, many investors are looking for a surrogate for the long-only portions of their fixed-income portfolios. Billion-dollar Drake Management is ready to capture those investors with the addition of a multi-sector, fixed-income hedge fund set to launch this quarter.

The Drake Low Volatility Fund will focus on various short-maturity instruments and will look to return LIBOR plus 5% net-of-fees. Drake founders Anthony Faillace and Steve Luttrell are looking to raise $100 million to kick off the fund, which will have lower