New Star Asset Management is in discussions with George Soros over whether the billionaire hedge fun...
New Star Asset Management is in discussions with George Soros over whether the billionaire hedge fund manager will put some $100m with the fledgling asset management business, writes Robert Stock.
Soros, who is best known for forcing the UK to leave the ERM with a huge bet that sterling was overvalued, did have discussions with Jupiter at the launch of the Jupiter Hedge Fund, which moved with Alan Miller to New Star. However, Jupiter said this week it did not believe that Soros had committed any money to the fund.
New Star chief executive Howard Covington said that New Star would not comment on rumour and would not talk about individual investors in the business, that included commenting on whether Soros was interested in putting money into the business itself or the asset manager's funds.
The news comes as New Star is finalising plans to launch a five-year protected product through its offshore division on the back of Miller's predominantly UK equity-based, long/short hedge fund.
Investors in the product, which New Star intends to launch with a $25,000 minimum investment, will be guaranteed the return of their principle at the end of their five year investment giving them absolute downside protection. There will be no cap on upside returns, according to Covington.
The full details of the product have not yet been finalised but New Star is aiming to bring it to market within the next few months.
The discussions with Soros come after it was reported that Peter Hargreaves, co-founder of Hargreaves Lansdown had put £25,000 into New Star.
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