Hedge Funds

Merton launching credit fund


Long-Term Capital Management founder and Nobel laureate Robert Merton's Integrated Finance is getting ready to start managing hedge funds. First up for the New York firm which Merton founded with Peter Hancock, the former founder and head of J.P. Morgan's derivatives business, and Roberto Mendoza, the former vice chairman of J.P. Morgan, is a multi-strategy credit fund.

The fund is expected to be launched in September by co-managers Hancock, Cynthia McNulty and Hilmar Schaumann. Taking a broad-based approach to investing in credit products, the fund is also expected to benefit from the research of Merton, Integrated Finance's "chief