Laurence Smith, the former global chief investment officer of Credit Suisse Asset Management, has resurfaced with his own hedge fund firm. Smith has partnered with Robert Birnbaum, a former managing director for Columbia Management Group, to start a global macro fund.
Third Wave will incorporate both a quantitative and a qualitative investment process in order to achieve consistent returns. The fund invests primarily in highly liquid financial futures, for long and short exposure across developed equity, fixed-income and currency markets.
Exchange-traded options (generally long) may be used for risk control purposes. Physical securities are used occasionally, generally as a