Arden Asset Management, which was founded in 1993, has struck a deal to manage a $1.1 billion proprietary hedge fund of funds portfolio for JP Morgan's investment banking division. The arrangement took effect on 1 July. As part of the agreement, JP Morgan's investment bank has agreed to seed several new Arden funds and invest in one of Arden's current flagship funds with these assets.
The deal comes as part of an inevitable consolidation from the contraction in the hedge fund industry. As much of the dust of 2008 has started to settle,