Hedge Funds

ISA Capital launches small-cap fund


San Francisco-based ISA Capital Management recently launched its first special situations fund, which primarily invests post-reorganisation in micro/ small-cap equities and distressed securities.

Separately, the ISA Recovery Fund also looks to take positions in securities, which have either come out of bankruptcy or are considered late-stage distressed securities. The firm was founded by John Ahn, whose previous experience includes sales and trading of distressed/high yields debt and investment banking.

ISA Recovery's longs will be deep value-based and focused on taking positions in companies which are below the analysts' radar screen. Ahn estimates that 40% of all NASDAQ companies