Kinetics launches small-cap fund


Kinetics Advisors has launched its fourth hedge fund, a small-cap long/short equity vehicle that began trading on August 20.

The Kinetics Small Cap Partners strategy will focus on companies with market capitalizations of less than $3 billion. The fund plans to employ modest leverage of up to 40%, and may also invest in some options and fixed-income securities.

There are no set restrictions regarding the maximum number or sizes of positions the fund will take, though Kinetics does not plan to employ more than 12% of the fund’s capital in any one position unless the manager can locate