Citi Alternatives to acquire credit specialist Carlton Hill


Citi Alternative Investments will acquire Carlton Hill Global Capital, a hedge fund startup focused on credit derivatives.

Carlton Hill was cofounded in 2006 by Jim O’Brien and Jon Dorfman, both veterans of Morgan Stanley’s fixed-income group. The firm has about $150 million in equity capital commitments and plans to launch a fund by yearend, according to Citi.

In addition to serving as co-portfolio managers for Carlton Hill, O’Brien and Dorfman have been named co-heads of the global fixed-income group, one of five asset classes within Citi Alternative Investments. In these roles, the pair will lead Citi Alternative Investments’ fixed-income product