Hedge Funds

Convexity Capital mulls customized portfolios


One of the more closely watched hedge fund launches of the year - Jack Meyer's Convexity Capital Management - may not end up looking like a traditional hedge fund at all.

Jack Meyer

That's because one of the offerings the firm has talked to market participants about is a portable alpha strategy through managed accounts. As such, Convexity would offer customized portfolio management: investors would choose an appropriate benchmark, and Convexity would craft a strategy to outperform that benchmark in a way that doesn't pile on more risk.

Investors would then pay performance fees on excess returns.