The tough markets of 2005 have been particularly hostile for convertible funds. One group that has managed to buck the trend is Laurus Capital Management. Run by Eugene and David Grin, the Laurus fund is up 1.91% since January, compared to a 5.47% drop in the Absolute Return Convertible Index.
With an annualized return of 21.55%, it ranks among the top performing of the 1,000-plus funds in the index. Founded in January 2001, New York based Laurus - which is also involved in asset-based lending - has seen its assets surge from $350 million in