Opportunities to short near-term maturities that will not be met. Opportunities where both credit and owners of credit are distressed, leading to expectations of forced selling.
Spin-offs, recapitalizations, litigation, merger securities, liquidations. Driven by merger arbitrage and distressed securities research.
Reorganizations, bankruptcies, distressed debt and post bankrupt equities, balance sheet arbitrage.
Mergers, tender offers, exchange offers. Corporate change driven by competition and globalization.
We seek positive optionality in corporate events from both the long and short side, generating returns from events (alpha), not from market moves (beta)
Event driven focus, minimal market risk
Navigated two market cycles
22-year history of genrating alpha shorting credit and equity
Unique, repeatable skill set
We are indifferent between being long or short within traditional event driven trades
Equally likely to be short hight yield and distressed as long
Equally likely to reverse risk arbitrage as conventional set-up
NOT a long/short fund: long AND short positions are owned primarily to generate alpha, not as hedges
Currently, we are profiting by being short credit while waiting for distressed debt opportunities
Focus on constructing a balanced portfolio long and short
Seek to utilize low leverage
Primarily liquid tradable instruments